Framework Agreement For Oil And Gas Developments Between The Uk And Norway

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  • 9 Aprile 2021

In the event of a dispute between the respective governments over the application or interpretation of the framework agreement, the matter is referred to a conciliation committee composed of two representatives from each government and a neutral party. The conciliation committee`s decision is binding on governments with a simple majority. This provision should reduce the potential for political decision-making by both governments. This article deals with the framework agreement that paved the way for unprecedented cooperation between the UK and Norway on North Sea projects. For more information on UK-Norway cooperation in transMedian areas, please contact Judith Aldersey-Williams at judith.aldersey-williams@cms-cmck.com or Norman Wisely on norman.wisely@cms-cmck.com. They both have their headquarters in the Aberdeen office. It was therefore agreed that a new framework agreement would be needed to address both transmedia and infrastructure more broadly, and to ensure a more efficient and effective approach to cross-border oil exploitation in general. The DTI has just published for consultation a draft framework agreement negotiated between the two governments in the framework of such cross-border cooperation. In 2002, the British and Norwegian governments published a paper entitled “Unlocking Value through Closer Relationships”. This was updated in the second half of 2003 with a document entitled “Unlocking Value through Strengthened Relationships.” The principles set out in these documents have been expanded in the draft framework agreement. The aim is for the rules on offshore activities to be flexible and to resolve problems without delay and for the decision-making process between the two governments to be better coordinated. Has it achieved these goals? The agreement may subordinate part or all of the agreement to the agreement of the contracting parties. Not surprisingly, much of the cooperation and coordination between the two states on cross-border projects is linked.

The general provisions of the framework agreement provide, among other things, that the two states encourage the adoption of common health, safety and environmental requirements (including the physical access provisions of competent inspectors from the other state).