The UK’s offshore and onshore energy resources are being developed by a wide range of companies spanning different sectors. These resources continue to attract new companies and investors from within the UK and overseas.
As regulator for oil and gas, offshore hydrogen, and carbon storage, the North Sea Transition Authority uses its powers to make sure that companies from these industries operate in a responsible way which supports the UK’s energy security and helps the government meet its net zero 2050 target.
We use our licensing and consents processes to determine which companies can undertake oil and gas exploration and production, as well as gas storage, offshore hydrogen, and carbon storage activities. They also ensure that work progresses in a timely manner, activities follow good industry practice, and that operators adhere to agreed limits on production volumes and flaring and venting. Operators also need separate authorisation before they construct or carry out work on a pipeline or well.
We also work with a range of partners, including the government, Crown Estate and Crown Estate Scotland, to ensure demand for space is met offshore, including from the oil, gas, wind and carbon storage sectors.
*On 26 November 2025, the UK Government issued the North Sea Future Plan, its response to a consultation. This stipulates that no new licences will be granted in new fields, but allows for the introduction of Transition Energy Certificates (TECs) in adjacent areas to existing fields. Legislation is expected to now be introduced to provide long term clarity. While current legislation remains in place, the NSTA will continue to collaborate with the government, which has a stated policy that the NSTA will need to consider.
The government policy does not preclude the granting of ‘licence extensions’ that extend the duration, term or phase applicable to previously awarded licences of any kind, nor the ‘assignment’ (transfer) of previously awarded licences or licence equity of any kind between parties.
As normal, licensees should make any licence term deadline extension requests to the NSTA in writing at the earliest opportunity, and in any event not less than three months before the end of the relevant term/phase of the licence.
