Skills Review for Australian Oil & Gas Decommissioning Industry Awarded

The Centre of Decommissioning Australia (CODA) with the support of the Western Australian Government has taken a significant step forward in addressing the challenge of decommissioning skills gaps by initiating the delivery of a national skills review study. Deloitte, a leading professional services organisation, has been appointed to conduct the study.

The primary objective of the study is to provide an overview and gap analysis of the essential skills and capabilities required for the safe and efficient execution of current and future decommissioning projects, both onshore and offshore. By identifying skill gaps, the study will lay the foundation for a cohesive strategy to enhance decommissioning skills in Australia and develop a competent workforce capable of handling diverse work programs. The findings from this study will inform CODA’s longer-term decommissioning skills strategy framework.

According to CODA’s previous studies, the Australian offshore environment alone is projected to witness up to USD 40.5 billion worth of oil and gas decommissioning activity over the coming decades. This substantial volume, combined with the ongoing additional onshore decommissioning workload, presents a significant opportunity for Australian businesses participation. To seize this opportunity and foster a sustainable domestic decommissioning industry it is crucial to develop a local workforce with the necessary skills, training, and knowledge. Without a proactive plan to address current skills gaps, securing appropriately trained personnel will become challenging, leading to increased costs, delays in decommissioning projects and increased exposure to hazards.

Recognising that this challenge extends beyond regional boundaries, CODA and the Western Australian Government has identified the need for a coordinated effort and for the study to adopt a national perspective. Through this approach, the study will identify areas where skills can be transferred between regions as well as industries to foster knowledge sharing and collaboration among stakeholders. This work will lead the way in addressing skills gaps issues and develop solutions that will benefit not only Western Australia, but the entire country.

Expected to be completed in the fourth quarter of 2023, the skills review will play a pivotal role in ensuring a competent and adaptable local workforce to meet the growing demand for oil and gas decommissioning in Australia.

Western Australia Dismantling Hub Study commissioned

CODA is excited to announce the commissioning of a new Western Australia Dismantling Hub Location study to be conducted by Kent, a well-known industry consultant.

As part of CODA’s commitment to supporting the establishment and growth of an Australian domestic oil and gas decommissioning, dismantling, recycling, and disposal industry, the study aims to identify the optimal location, size, capability, and characteristics of a suitable receival and dismantling yard to support the decommissioning of oil and gas equipment in Western Australia.

CODA’s previous studies indicate there is an estimated USD40.5 billion worth of decommissioning activity that will take place in Australian waters over the next few decades. Furthermore, approximately 60% of this activity will take place off the coast of Western Australia, presenting a significant opportunity for Western Australian businesses to participate in the work. This participation however will be contingent on having access to appropriate local facilities where the decommissioned and removed equipment can be landed for dismantling, with the dismantled materials entering appropriate reuse, recycling or, where necessary, disposal value chains.

Expected to be completed in mid-2023, the findings of the study will be used to support the Western Australian government’s intention of creating a sustainable and thriving decommissioning industry in Western Australia.