to gather supplemental fiscal assurance and from one other separate technological improvements A part of this rule. In this situation, BOEM could nevertheless gather supplemental monetary assurance using the previously accepted BSEE deterministic estimate for decommissioning prices. BOEM is amending the subsequent laws as follows:

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BOEM acknowledges the commenters' problems the P70 estimates may very well be larger than the particular cost of decommissioning for distinct platforms. Generally, it might be costlier for the government to decommission a facility than it truly is for an OCS operator to do so. Hence, even though the P70 value is better than business-derived values, it might be a lot more aligned with The prices that the government would incur to execute the decommissioning, that is the applicable consideration when pinpointing the fee to decommission a facility if the corporation fails to do so.

The objective of this ultimate regulatory action is to deal with considerations relating to BOEM's fiscal assurance software. This rule finalizes amendments to the existing provisions to raised protect the taxpayer from bearing the price of facility decommissioning along with other monetary hazards linked to OCS improvement, for instance environmental remediation.

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BOEM agrees Using the commenters' assertion that the First foundation bond total was firm many years in the past and acknowledges that this value ought to be reevaluated. Mainly because BOEM didn't suggest a new worth inside the NPRM and, for that reason, are unable to revise it in the final rule, BOEM options To judge the precise values of The bottom supplemental economical assurance for RUEs, ROWs, and leases in a future rulemaking.

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The current bonding laws at 30 CFR 556.901(d) give five criteria that the Regional Director makes use of to determine regardless of whether a lessee's prospective incapability to perform existing and upcoming decommissioning obligations warrants a demand for supplemental economic assurance; nonetheless, The existing bonding rules tend not to specially explain how the standards are weighted.

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The Division proposed to rename the lease-precise abandonment accounts in 30 CFR 556.904 as “Decommissioning Accounts,” the terminology employed by the sector. This title improve is meant to remove any perceived limitation that this sort of account can use to only only one lease, and also to signify that these accounts could possibly be utilized to guarantee compliance with supplemental monetary assurance prerequisites for any RUE and ROW grant, as well as a lease.

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