Offshore Petroleum Activities (Oil Pollution Prevention and Control) Regulations 2005.   

I thank the noble Lords, Lord De Mauley and Lord Dholakia, for their input and for their support for the regulations. I shall try to deal with the questions that were raised. Both noble Lords mentioned the cost, and the impact of that cost on the sector. I do not believe that the cost in the context of the industry which we are discussing is excessive. The regulations try to minimise the impact of cost by having the trading scheme. Without the trading scheme, if you impose limits on each of the producing installations, those that are more expensive in terms of meeting the target would be hit and the overall costs could be considerably more than the cost which will be a consequence of these provisions, including the trading scheme. Both noble Lords referred to comparators. In practical terms, it is only a case of Norway. As I explained in my introductory remarks, Norway’s situation is different. It has to meet the same targets—that is its international obligation—it is better able to do it by introducing technology because of the maturity of its fields and its technologies which are newer than the UK fields. Some of the UK fields go back to the 1970s and 1980s. Discharges from rivers are not covered by these regulations. However, as is clear from what is before us today—and has, I believe, been dealt with in another place—this is just a small part of the issue. However, we have obligations in that respect and this is a mechanism to deal with it. The impact of the oil price was raised. With oil prices as high as they are, this makes the level of cost more bearable and therefore easier to cope with. The impact on the small business sector was also mentioned. It is right to say that these costs will impact directly on major companies as they are involved with   North Sea production. Obviously a lot of the contractors to those companies comprise small companies. However, the assessment is that there will not be a material impact on their circumstances. I hope that I have covered the points which have been raised. If I have not done so, I hope that noble Lords will signify that that is the case or I shall reply in writing if appropriate. Subject to that, I am grateful for the Committee’s support for the regulations. I believe that   they will add to the protection of the marine environment in a manner compatible with the continuing success of the United Kingdom’s oil and gas production. The regulations will integrate with, and enhance, existing offshore environmental practices. We have endeavoured to ensure that we have safeguarded the interests of the UK public and have addressed the legitimate concerns of the offshore oil and gas industry and, consequently, struck a proper balance between domestic requirements and our international commitments. I commend the draft regulations to the Committee. On Question, Motion agreed to.