Mr. Robert G. HughesTo ask the Secretary of State for Energy if he will make a statement on his future plans for onshore petroleum licensing; and if he will make a statement.
218W
§ Mr. WakehamThe Petroleum (Production) (Landward Areas) Regulations 1991 (SI 1991 No. 981) were laid before the House today. These regulations are in substantially the same form as the previous regulations which provide for separate licences to cover the conduct of each of the exploration, appraisal and development stages. Operations under the licences are subject to the normal planning process. The new regulations, which follow discussions with the industry, incorporate a number of small changes and are designed to facilitate the conduct of operations. They will come into force on 9 May and will govern the arrangements for the next onshore licensing round.
As soon as possible, I will publish in the London and Edinburgh Gazettes a formal announcement giving the detailed financial terms for new landward licences and the basis on which awards will be made. The notice will invite applications for a new round of landward exploration licensing.
In parallel with the new regulations, I will be making arrangements allowing holders of old-style production licences, which covered exploration, appraisal and development activities, to transfer the exploration acreage in these licences to the new style of exploration licences.