Details, Fiction and pagbet
Details, Fiction and pagbet
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BOEM acknowledges the commenters' fears which the P70 estimates may be increased than the particular price of decommissioning for certain platforms. Usually, it can be costlier for The federal government to decommission a facility than it is for an OCS operator to do so. Hence, even when the P70 price is higher than business-derived values, it could be far more aligned with The prices that the government would incur to accomplish the decommissioning, that is the appropriate consideration when identifying the associated fee to decommission a facility if the company fails to do so.
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The purpose of this rulemaking is always to finalize amendments to address issues regarding BOEM's monetary assurance method. This rule finalizes amendments to the present provisions to higher defend the taxpayer from bearing the price of facility decommissioning as well as other economic dangers related to OCS development, including environmental remediation.
BOEM acknowledges the read more commenters' support and agrees that employing a credit rating rating threshold of financial investment grade strikes the suitable stability in between the two DOI's and the traditional Power sector's intention to safeguard the American taxpayers from publicity to money loss linked to OCS progress as well as the stress of furnishing financial assurance due to the reduced default risk associated with corporations that maintain an investment decision grade credit history score.
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BOEM disagrees Together with the commenter's assertion that the Section should not need supplemental bonding for ROW pipelines which can be servicing and related to large worth leases.
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