Following the launch of the Centre of Decommissioning Australia (CODA) in March 2021, NERA has connected with a wide range of stakeholders with extensive capabilities, capacity and interest both from across Australia and internationally. The level of interest and excitement CODA has attracted reinforces that the time is right for this initiative.
Given the extent of the opportunity and interest, NERA is firmly committed to transparent communication about what we are doing to deliver CODA, planned activities over the next six months and how interested parties can become involved. To that end, NERA will issue regular news and updates on CODA developments and will engage key stakeholders on CODA activities. This is the first of these updates — what we’re calling CODA Connect.
NERA launched CODA to establish a collaborative environment between government, oil and gas operators, engineering and other supply chain companies, technology innovators and research organisations.
CODA aims to realise a huge potential economic value for Australia, drive innovation and efficiencies and create long-term local jobs from decommissioning, recycling or repurposing and decarbonising late-life offshore oil and gas assets.
CODA is the next step on a collaborative journey which started for NERA in 2019 with the launch of the National Decommissioning Research Initiative (NDRI). Since the launch of CODA, NERA has been working to finalise a broader strategy and establish the structure, governance and implementation plan.
What is CODA
CODA has been established to coordinate and transform Australia’s approach to life extension, reuse and decommissioning offshore oil and gas infrastructure and to maximise the value for Australia. CODA enables a more transparent, proactive and collaborative approach that will enable operators, supply chain companies and innovators and governments to pursue and accelerate opportunities to achieve:
- a 35 percent reduction in decommissioning costs in Australia;
- optimal recycling and reuse of offshore infrastructure for emerging low emissions technologies to help meet industry’s net zero targets;
- maximised opportunities for the local workforce, service and technology companies; and
- the building of a domestic decommissioning industry that can then service needs across the Asia Pacific region.
Whilst NERA has framed CODA’s role to engage with all stakeholders to maximise the economic opportunity for Australia, the Federal Government and oil and gas industry are concurrently working through the policy and regulatory frameworks to provide certainty to the industry and support decommissioning decisions. CODA will continue to support this work, including working with governments, regulators and industry associations to modernise the regulatory framework.
How do I get involved?
Launching CODA has catalysed much of the extensive and expert local capabilities that Australia possesses to support decommissioning. This experience is critical to making CODA a success and achieving the objectives. We have appointed an interim Independent Chair to help us establish processes that we will use to develop CODA’s governance and structure, including the tight integration of the supply chain in everything we do. The envisaged governance structure will establish focussed working groups, with operators and supply chain representatives having both dedicated and common forums. These forums will be connected to CODA’s leadership, and with oversight of the delivery of CODA’s work program.
What are the early stage initiatives CODA is undertaking?
To accelerate our understanding of the opportunities for Australia and how to deliver a best practice approach to decommissioning in Australia, NERA released a Request for Proposals (RFP) for three early stage CODA projects:
- Understanding opportunities for local disposal and recycling
- A global review of decommissioning planning and execution learnings
- Development of a decommissioning innovation and technology roadmap
By the close of submissions, we received approximately 50 proposals from across Australia, the US, and the UK. We are now reviewing these and aiming to indicate shortlisted contenders by early May.
What are the next steps to establish CODA?
The journey to a strong and capable Australian decommissioning industry for the benefit of industry and Australia will require the participation and contribution of all key stakeholders, including from across the whole supply chain. NERA is currently framing CODA’s strategy, working structure and funding model. We will be seeking partnership support from industry but also critically, the supply chain.
We expect to provide greater clarity shortly on how CODA will connect with you more substantially. Until then, please feel free to get in touch through email@example.com for any queries, comments or questions.