1. Carbon Capture and Storage (CCS) Offshore Transport and Storage
Derek Saward
Head, Environmental Management Team DECC EDU-OED

2. Offshore Licensing Energy Act 2008
Non-exclusive exploration licence to search for sites
Covers all UK waters and will be the same as current Petroleum Act exploration licence and issued by DECC
Licensee able to undertake geological survey operations, including shallow boreholes, but cannot drill wells
Exclusive carbon storage licence to assess potential sites (agreement for lease from The Crown Estates required)
DECC is licensing authority for UKCS adjacent to Scotland
Scottish Government (SG) is licensing authority for Scottish territorial waters, except where the facility extends onto the UKCS
Licensee able to undertake geological survey operations, drill trial wells and undertake trial injection operations

3. Energy Act - Storage Licensing
Offshore Storage Facility
Energy Act - Storage Licensing
Exclusive storage permit allows construction, maintenance and operation of CCS storage facility
DECC is licensing authority for UKCS adjacent to Scotland
SG is the licensing authority for Scottish territorial waters, except where the facility extends onto the UKCS (point of injection may be used to determine appropriate authority)
Different devolution arrangements apply for oil and gas and gas unloading and storage
Construction, maintenance and operation outside the landward baseline of the territorial sea is exempted from FEPA Part II, and this will not change when the MCAA and the Marine (Scotland) Act come into force 3

4. Energy Act – Storage Decommissioning
Offshore Storage Facility
Energy Act – Storage Decommissioning
Decommissioning of CCS installations under Section 30 of Act (preparation / approval of decommissioning programme)
Licensing authority arrangements mirror the construction, maintenance and operation functions
DECC is licensing authority for UKCS adjacent to Scotland
SG is the licensing authority for Scottish territorial waters, except where the installation extends onto the UKCS
Different devolution arrangements apply for oil and gas and gas unloading and storage
Decommissioning functions do not qualify for exemption under FEPA Part II 4

5. Offshore Storage Facility
FEPA Part II, Deposits in the Sea
For non-reserved activities, FEPA is administered by the Scottish Government in Scottish internal and territorial waters and on the UKCS adjacent to Scotland
SG would authorise construction and maintenance of CCS facility between MHWS and the landward baseline of the territorial sea, and authorise relevant decommissioning activity in internal and territorial waters and on UKCS
Different devolution arrangements apply for oil and gas facilities and gas storage facilities (and for the other Devolved Authorities)

6. Coast Protection Act (CPA)
Offshore Storage Facility
Coast Protection Act (CPA)
Covers all activities that could interfere with navigation
Consent to locate required for all relevant functions relating to a storage facility that are authorised under the Energy Act or FEPA Part II
The consenting authority will be the relevant licensing authority under the Energy Act or FEPA Part II
When the MCAA and the Marine (Scotland) Act come into force, the relevant provisions of the CPA will be revoked, and Consents to Locate for activities authorised under the Energy Act will be issued under Part 4A of that Act
When the MCAA and the Marine (Scotland) Act come into force, the relevant provisions of the CPA will be incorporated into the MCAA or Marine (Scotland) Act licence 6

7. Energy Act – Carbon Storage Permit
DECC Permitting Process
Energy Act – Carbon Storage Permit
Guidance will be available on the DECC Oil and Gas website
Application submitted to DECC, EDU-LED, CCS Field Team
Developer must also seek a lease from The Crown Estates (TCE), and DECC and TCE will coordinate relevant approvals
Application triggers request for Consent to Locate under Coast Protection Act
Application must be supported by Environmental Impact Assessment (EIA)
DECC liaises with other regulators, and consults on related applications (e.g. EIA) that don’t contain restricted information
Application amended if necessary, but determination withheld
Draft permit submitted to EC, who may give their views 7

8. Energy Act – Carbon Storage Permit
DECC Permitting Process
Energy Act – Carbon Storage Permit
Internal DECC EDU consultation:
OED, Offshore Decommissioning Unit
OED, Environmental Management Team
Related applications to other bodies:
The Crown Estates
Health and Safety Executive
Related DECC applications subject to consultation:
Coast Protection Act (CPA)
Environmental Impact Assessment (EIA)
CPA and EIA consultation and determinations are linked and determinations notified to LED CCS Field Team for inclusion in the sign-off of the permit 8

9. Environmental Regulations
DECC Permitting Process
Environmental Regulations
DECC permit approval under the Energy Act would be underpinned by the following regulations:
EIA Regulations, Habitats Regulations, Conservation Regulations and Chemicals Regulations (as per pipelines)
Offshore Petroleum Activities (Oil Pollution Prevention and Control) Regulations
Offshore Combustion Installations (Prevention and Control of Pollution) (Amendment) Regulations and Greenhouse Gas Emissions Trading Scheme Regulations
Merchant Shipping (Oil Pollution Preparedness, Response Co-operation Convention) Regulations and Offshore Installations (Emergency Pollution Control) Regulations 9

10. DECC Environmental Process
EIA Regulations
Storage facility would normally be covered in the offshore Environmental Statement relating to the CCS project, to underpin the carbon permit application and satisfy the EIA and CPA requirements
ES submitted to EMT, and subject to normal Public Notice and consultation
Applicant required to respond to any representations and to provide supplementary information as directed by EMT
A supplementary application for a Direction may be required prior to commissioning of the facility
Determination of the ES and any application for a Direction is issued to the applicant, copied to interested parties and advertised on DECC Oil and Gas website and in the Gazettes 10

11. Habitats and Conservation Regulations
DECC Environmental Process
Habitats and Conservation Regulations
Relevant habitats and species issues must be addressed in the EIA
A site survey is required to identify any Annex I habitats or Annex II species and to assess potential impacts on those habitats and species
The importance of the area for European Protected Species and, if relevant, the potential impact on those species (mortality, injury or disturbance) must be assessed
The potential impact on the integrity of any protected site, and on its protected features or species, must be assessed
DECC may be required to undertake an Appropriate Assessment to support its determination 11

12. EIA, Habitats, Species and CPA - Consultees
DECC Environmental Process
EIA, Habitats, Species and CPA - Consultees
Internal DECC consultation:
LED, CCS Field Team
External consultation:
MMO and/or DA (e.g. Marine Scotland Policy / Licensing)
Chemical Advisers (Marine Scotland Science or CEFAS)
Statutory Nature Conservation Bodies (e.g. JNCC and SNH)
Ministry of Defence (Defence Estates)
Hydrographic Office
Maritime and Coastguard Agency (MCA)
Light Authorities (NLB or Trinity House)
Relevant Onshore Authorities
Relevant Industries (e.g. BT, SFF, Port Authorities) 12

13. Chemicals Regulations
DECC Environmental Process
Chemicals Regulations
The operation of the storage facility will inevitably involve the offshore operational use and/or discharge of chemicals, and a permit will be required under the Chemicals Regulations
The chemicals must be certified for offshore use
The application is submitted to EMT, and must include a chemical risk assessment, which is reviewed by Marine Scotland or CEFAS on behalf of DECC
Determination of the application is issued to the applicant, copied to interested parties and advertised on DECC Oil and Gas website
The operational use and/or discharge of chemical at the onshore facilities would be regulated by the relevant onshore authority (e.g. SEPA) 13

14. Oil Discharge Regulations
DECC Environmental Process
Oil Discharge Regulations
Any offshore discharge of “oil”, with the exception of machinery space discharges authorised under Merchant Shipping Regulations, must be covered by a permit issued under the Oil Discharge Regulations (OPPC Regs)
The Oil Discharge Permit application is submitted to the DECC Offshore Environmental Inspectorate
The application is not subject to external consultation as the discharges must be separately assessed in the EIA (the permit application contains more detail in relation to the sources and treatment facilities)
Determination of application is issued to the applicant, copied to interested parties and advertised on DECC Oil and Gas website 14

15. Atmospheric Emissions Regulations
DECC Environmental Process
Atmospheric Emissions Regulations
If the aggregated thermal capacity of the combustion equipment installed on the facility is >20 MW(th), a permit is required under the Greenhouse Gas Emissions Trading Scheme Regulations (EU ETS Regs)
If the aggregated thermal capacity is >50 MW(th), a permit is also required under the Offshore Combustion Installations (Prevention and Control of Pollution) Regulations (PPC Regs)
Both applications submitted to EMT, and PPC applications must be advertised in the Gazettes (the emissions are assessed in the EIA, but the PPC and EU ETS applications contain more detail about the equipment and its operation)
Determinations of applications are issued to the applicant, copied to interested parties and advertised on DECC Oil and Gas website 15

16. Contingency Planning Regulations
DECC Environmental Process
Contingency Planning Regulations
All offshore facilities, including relevant pipeline systems, must be covered by an Oil Pollution Emergency Plan (OPEP) that satisfies the requirements of the Merchant Shipping (Oil Pollution Preparedness, Response Co-operation Convention) Regulations (OPRC Regs) and Offshore Installations (Emergency Pollution Control) Regulations (EPC Regs)
The OPEP is submitted to the DECC Offshore Environmental Inspectorate
The OPEP is subject to a 60 day consultation procedure, involving the MCA, the MMO and/or DA and relevant Statutory Nature Conservation Bodies
Approval of OPEP is notified to the applicant and advertised on DECC Oil and Gas website 16

17. Energy Act - Drilling Activities
Offshore Storage Wells
Energy Act - Drilling Activities
Separate approval is required for every trial or storage well
DECC is licensing authority for UKCS adjacent to Scotland, and the assessment and approval process will be based on current procedures for oil and gas wells
SG is the licensing authority for Scottish territorial waters (well location will determine appropriate authority)
Different devolution arrangements apply for oil and gas, and gas storage
CCS well operations outside Scottish territorial water are exempted from FEPA Part II (and the MCAA), but may be covered by the Marine (Scotland) Act in Scottish territorial waters 17

18. DECC Permitting Process
Offshore Storage Wells
DECC Permitting Process
Guidance will be available on the DECC Oil and Gas website
Well consent application submitted to DECC CCS Field Team
Application must be supported by Environmental Impact Assessment (EIA)
Application for EIA relating to a Mobile Drilling Unit (MoDU) would trigger request for Consent to Locate under Coast Protection Act
Environmental approval process would also include assessment under Habitats Regulations, Conservation Regulations, Chemicals Regulations, Oil Discharge Regulations and Contingency Planning Regulations
Environmental processes subject to consultation, and all DECC sign-offs coordinated (including HSE if appropriate) 18

19. Couldn’t be simpler - thank you
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