You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

May 2, 2018

Lessons from Thailand on the Importance of Devising and Implementing Detailed Decommissioning Regimes

Oil, Gas & Energy Law Intelligence Journal

David Beckstead, a consultant in Tilleke & Gibbins’ corporate and commercial group and a member of the firm’s regional energy and infrastructure practice, has authored an article on “Lessons from Thailand on the Importance of Devising and Implementing Detailed Decommissioning Regimes” for the Oil, Gas & Energy Law Intelligence Journal.  The peer-reviewed academic journal covers laws related to oil, gas, and energy and has been published by Maris BV since 2003.

David’s article covers the following topics:

  • Decommissioning basics.
  • A legislative history of decommissioning in Thailand, including: The development of Thailand’s Petroleum Act, decommissioning obligations in concession agreements, introduction of legal provisions on decommissioning activities to the Petroleum Act, introduction of the Decommissioning Regulation to the Petroleum Act, and regulatory hurdles.
  • Unresolved issues, including: Who pays decommissioning costs if the concessionaire transfers installations to the state, whether it is desirable for the state to assume coordinating responsibility for decommissioning, and considerations that the Department of Mineral Fuels should take into account when approving the Decommissioning Plan.
  • Lessons from other jurisdictions.

To read David’s article, please download the PDF below.

RELATED INSIGHTS​ 

August 4, 2017
The pace of Thailand’s infrastructure development has continued to grow in the past few years, bringing numerous opportunities for engineering, procurement, and construction (EPC) firms based overseas that are looking for ways to participate in a project in Thailand. However, potential investors will need to have a solid understanding of the country’s legal and regulatory framework prior to investing significant time, energy, and capital.
June 30, 2017
On June 17, 2017, the Petroleum Act (No. 7) B.E. 2560 and the Petroleum Income Tax Act (No. 7) B.E. 2560 were both enacted, amending their predecessor laws. The amendments to both statutes entered into force on June 23, 2017. The amendments had been anticipated for some time, introducing production sharing agreements (PSAs) and service contracts as alternative host government instruments by which upstream oil and gas producers may invest in Thailand.
May 5, 2017
As part of its membership in Lex Mundi, Tilleke & Gibbins has published an updated edition of its Guide to Doing Business in Thailand for 2019.This guide offers a broad introduction to all of the key factors for starting and operating a business in the Thai market. Issues covered include:
April 28, 2017
As the costs of solar photovoltaic (PV) panels decrease, new business opportunities are emerging. In addition to the traditional model of independent power producers establishing large-scale power generating facilities to sell electricity directly to public utilities, a new dynamic model of direct electricity selling is beginning to take shape.