The Albanese Government will support the creation of thousands of new, well paid and highly skilled jobs by growing an offshore decommissioning industry, complementing Australia’s strong and successful gas sector. 

Decommissioning is when offshore infrastructure comes to the end of its operational life and resource companies make the commercial decision to dismantle the infrastructure. 

The Government’s new Offshore Resources Decommissioning Roadmap, launched today, sets out a long-term plan to capitalise on offshore decommissioning and continue to support Australia’s strong resource sector. 

Around $60 billion of offshore infrastructure, such as gas rigs, are coming to the end of their operational life and will need to be dismantled and recycled in the decades ahead, in a safe and sustainable manner to ensure the preservation of the marine environment. 

The decommissioning work presents an immense economic opportunity, with billions of dollars of metal and plastic needing to be brought onshore for recycling. 

The roadmap outlines plans to capture the value of decommissioning activity here in Australia, which will scale up our industrial recycling capabilities and embed circular economy principles across the supply chain. 

To implement the roadmap, which has been put together in consultation with industry, we are:

• investing over $30 million to establish an offshore decommissioning directorate to coordinate and plan industry decommissioning activity; 
• refining regulatory arrangements to ensure offshore decommissioning remains the responsibility of the resources sector and not the Australian taxpayer; 
• announcing a Memorandum of Understanding with the UK Government, to support greater collaboration and investment flows between our two countries on offshore oil and gas decommissioning;
• appointing Ms Wendy Kennedy, the former Chief Executive of the Offshore Petroleum Regulator for Environment and Decommissioning to the NOPSEMA Board to advise the offshore regulator;
• Finalising an Intergovernmental Agreement with the Government of Western Australia, which will help to streamline decommissioning regulations for the offshore industry and create efficiencies across state and commonwealth regulatory systems. Agreements with other states will follow. 

Comments attributable to Minister Madeleine King: 

“The Albanese Government’s plan for a Future Made in Australia is backing our resources industry to create more highly skilled and well-paid jobs for Western Australians, throughout each project’s lifecycle.

“With an estimated $60 billion of infrastructure in Australian waters to decommission, we cannot afford to miss this opportunity to grow a new industry right here in WA. 

“Whether it is growing our offshore decommissioning industry or growing our critical minerals industry with Production Tax Credits, this Government has a plan to create new jobs and bring in new investment right here in Western Australia.”

Australia’s Offshore Decommissioning Roadmap is available here.