Cox & Ors, R (On the Application Of) v The Oil And Gas Authority & Ors [2022] EWHC 75 (Admin) (18 January 2022)

Cox & Ors, R (On the Application Of) v The Oil And Gas Authority & Ors [2022] EWHC 75 (Admin) (18 January 2022)

The OGA's definition of 'economically recoverable' petroleum on a pre-tax basis is consistent with the statutory objective in section 9A of the Petroleum Act 1998 and does not frustrate statutory purpose. The statutory language is open-textured and Parliament intended the expert regulator to determine the method of economic assessment, subject only to rationality. The Claimants failed to show that the OGA's approach was irrational or unlawful, and the Strategy properly integrates climate obligations within the OGA's remit.

Citation
[2022] EWHC 75 (Admin)
Parties
Claimant: Jeremy Cox; Claimant: Mikaela Loach; Claimant: Kairin van Sweeden; First Defendant: The Oil and Gas Authority; Second Defendant: Secretary of State for Business, Energy and Industrial Strategy
Jurisdiction
England and Wales
Judgment Date
18 January 2022
Procedural Posture
Judicial Review / Final Judgment After Substantive Hearing
Outcome
Claim dismissed
Legal Topics
Statutory Interpretation, Judicial Review, Climate Change Policy, Regulatory Powers, Oil and Gas Regulation
Administrative Law Energy Law Environmental Law Public Law Statutory Interpretation Judicial Review Climate Change Policy Regulatory Powers +1 more

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Parties

Jeremy Cox

Claimant

Mikaela Loach

Claimant

Kairin van Sweeden

Claimant

The Oil and Gas Authority

First Defendant

Secretary of State for Business, Energy and Industrial Strategy

Second Defendant

Procedural Posture

Judicial Review / Final Judgment After Substantive Hearing

Legal Issues

  1. 1 Whether the Oil and Gas Authority's definition of 'economically recoverable' petroleum in its Strategy is consistent with the statutory objective in section 9A of the Petroleum Act 1998 or frustrates statutory purpose
  2. 2 Whether the adoption of a pre-tax approach to 'economically recoverable' is irrational in light of the UK's net zero climate obligations

Ratio Decidendi

The OGA's definition of 'economically recoverable' petroleum on a pre-tax basis is consistent with the statutory objective in section 9A of the Petroleum Act 1998 and does not frustrate statutory purpose. The statutory language is open-textured and Parliament intended the expert regulator to determine the method of economic assessment, subject only to rationality. The Claimants failed to show that the OGA's approach was irrational or unlawful, and the Strategy properly integrates climate obligations within the OGA's remit.

Court Disposition

Claim dismissed

Orders

  • The claim for judicial review is refused.
  • No declarations granted as sought by the Claimants.