The Australian government is seeking expert guidance to dismantle over 200 aging oil and gas structures set for decommissioning this year. The Department of Industry, Science, and Resources (DISR) has issued a call for technical specialists to oversee the process, ensuring compliance with environmental and regulatory standards.
With a wave of decommissioning ahead, Australia is preparing for large-scale offshore infrastructure removal. The Centre of Decommissioning Australia (CODA) projects significant activity between February and July 2025. The scope includes 41 platform wells, 34 subsea wells, 15 exploration wells, multiple production units, pipelines, and various subsea structures.
Strengthening regulations and industry oversight
The growing number of obsolete offshore installations has prompted a tightening of Australia’s regulatory framework. Amendments to the Offshore Petroleum and Greenhouse Gas Storage Act 2006 (OPGGS Act) have introduced stricter financial requirements, increased oversight on asset transfers, and implemented trailing liability measures—holding companies accountable long after operations cease.
CODA estimates decommissioning liabilities at approximately USD $40.5 billion, with well plug and abandonment (P&A) and pipeline removals making up the bulk of costs. In response, DISR has created a dedicated Decommissioning Branch, recruiting specialists to refine policies, assess risks, and align strategies with international best practices.
Positioning Australia as a decommissioning leader
Beyond environmental and financial safeguards, Australia sees an opportunity to build a competitive decommissioning industry. With an estimated $60 billion in offshore retirement costs over the next 30–50 years, the government is laying the groundwork for a domestic sector that could drive job creation, innovation, and expertise.
The National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA) is leading efforts to uphold safety and environmental protocols throughout the process. By establishing best-in-class decommissioning capabilities, Australia aims to not only manage its offshore legacy but also export its expertise to global markets, transforming a costly challenge into an economic opportunity.
