Falkland Islands has set out the eight basic guidelines of its hydrocarbons development policy which are centred on robust regulation, supply chain support and long-term benefits for Islanders because the statement underlines its resources belong to the people of the Islands.
At its meeting of 24th July 2013, Executive Council agreed an overarching set of policy principles for hydrocarbons developments in the Islands. The policy statements capture the core principles that will govern the development of an oil and gas industry in the Islands and how the benefits of the industry will be managed.
“Hydrocarbons in Falklands’ waters belong to the people of the Falkland Islands and their exploitation must be to the benefit of the people of the Falkland Islands, both those of today and future generations”, points out the statement released by the Executive Council.
The document provides a strong message to the hydrocarbons industry as to what is expected of them, and provides a clear statement of intent to the local community with regards to how revenues will be managed. The eight policies are as follows:
1. Hydrocarbons in Falkland Islands waters belong to the people of the Falkland Islands and their exploitation must be to the benefit of the people of the Falkland Islands, both those of today and future generations.
2. The Falkland Islands Government will maintain constant supervision and control over all hydrocarbon activities within the Falkland Islands Designated Area.
3. Petroleum discoveries must be efficiently managed and exploited to maximise economic recovery and to ensure the development of a long-term industry presence that will benefit the Islands for decades to come.
4. Development of the hydrocarbons industry must ensure the protection and conservation of the Falkland Island’s environment and biodiversity.
5. Development of the hydrocarbons industry must take into consideration existing commercial activity and promote the development of local business capacity.
6. The exploitation of finite natural resources will be used to develop lasting benefits to society across the whole of the Falkland Islands.
7. Transparency and accountability must be present throughout the hydrocarbon development process from all parties involved.
8. The Falkland Islands will only consider onshore hydrocarbon facilities if they are considered to be in the best interests of the Falkland Islands, and can be proven to satisfy all of the above policy goals.