Mackie, C orcid.org/0000-0002-8560-2427 and Velenturf, APM orcid.org/0000-0003-2635-0546 (2021) Trouble on the horizon: Securing the decommissioning of offshore renewable energy installations in UK waters. Energy Policy, 157. 112479. ISSN 0301-4215
Abstract
This article elucidates the principal causes of risk to taxpayers created by the manner in which ‘security requirements’ are currently deployed by regulators in relation to the decommissioning of offshore renewable energy installations (OREIs) in English, Welsh and Scottish waters. It does so to inform policy development pertaining to their more efficacious utilization. In this context, security requirements are a regulatory tool which necessitate that developers/owners evidence their ability to finance decommissioning. Their deployment within the framework that governs the decommissioning of OREIs across the UK has not previously been ‘stress tested’ in the literature. Four causes are identified: excessive regulatory discretion; a flawed focus on financial strength; the dangers of gradual accrual; and uncertainty in decommissioning costing. A series of high-level policy recommendations are presented, several of which may be germane to other sectors and jurisdictions, as to how security requirements may be used more efficaciously to ensure decommissioning is performed.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2021 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/). |
Keywords: | Financial security; Polluter-pays principle; Offshore renewable energy installations; OREIs; Offshore wind; Energy transition |
Dates: |
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Institution: | The University of Leeds |
Academic Units: | The University of Leeds > Faculty of Engineering & Physical Sciences (Leeds) > School of Civil Engineering (Leeds) The University of Leeds > Faculty of Education, Social Sciences and Law (Leeds) > School of Law (Leeds) |
Funding Information: | Funder Grant number EPSRC (Engineering and Physical Sciences Research Council) EP/R511717/1 |
Depositing User: | Symplectic Publications |
Date Deposited: | 16 Jul 2021 12:46 |
Last Modified: | 10 Mar 2023 21:51 |
Status: | Published |
Publisher: | Elsevier |
Identification Number: | 10.1016/j.enpol.2021.112479 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:176196 |