The NSTA’s Annual Report and Accounts has today (7 July 2026) been laid in Parliament, highlighting some of the work done by the authority in the previous 12 months and anticipating the challenges to come.
Significant work done in the past year includes:
Gas storage licence: In August 2025 the NSTA offered dCarbonX Ltd a licence for gas storage in the East Irish Sea on 11 August 2025. The licence allows dCarbonX Ltd to make progress towards seeking the necessary regulatory approvals required before gas storage operations can commence.
Hub stewardship: The NSTA continued its programme of stewardship for hubs and key infrastructure focusing on UKCS energy security and production, with economic recovery from a mature basin while driving reductions in emissions.
Data and Digital Strategy: The NSTA’s 2026-2030 data and digital strategy was unveiled outlining how data and digital will support energy production and security, drive emissions reduction, and accelerate the energy transition.
Greater transparency: The NSTA is publishing more details of ongoing investigations and well P&A data. The P&A data is presented in a table which includes details of which operators have fallen behind in their decommissioning obligations, alongside those that are in compliance. It is intended that the table will be updated as appropriate.
Carbon storage permits: In April 2025 the NSTA awarded three permits to Eni for Liverpool Bay CCS, the CO2 transportation and storage system which will serve HyNet. Phase one of HyNet is designed to store 109m tonnes of CO² – equivalent to taking 60 million cars off the road for a year.
Carbon Storage Stewardship Expectations: The NSTA published a suite of Expectations for the carbon storage industry in September 2025, helping operators clarify expectations
Second carbon storage Licensing Round launched: The UK’s second carbon storage licensing round opened in December 2025. The application window closed in March 2026, and the bids are being evaluated.
Carbon storage appraisal well: In March 2026 the NSTA consented an appraisal well which could become a build-out of the Endurance project. It is an important step towards first injection.
Looking ahead, the report highlights the publication of the North Sea Future Plan (NSFP) in 2025 and the changes it is expected to make to the NSTA’s work when legislation is passed.
The NSFP envisages an ongoing and enhanced role for the NSTA, including three objectives which in the government stated it would introduce in forthcoming legislation:
• to maximise economic value to the UK
• to support the Energy Secretary in meeting net zero goals
• to consider the impact [of activities] for North Sea workers, communities, and supply chains.
We will also have a balancing requirement set out in law to weigh up and balance these three objectives as we best see fit.
The government is also proposing to introduce a number of new powers for the NSTA whilst strengthening and clarifying some of our existing powers to ensure a clear, robust regulatory framework. These include exploring binding dispute resolution powers, new decommissioning powers, higher financial penalties, and a stronger fit and proper test.