Petroleum PART 1 Introductory Citation, commencement and extent 1 1 These Regulations may be cited as the Petroleum (Transfer of Functions) Regulations 2016. 2 Parts 1, 2 and 4 come into force on the twenty-first day after the day on which these Regulations are made. 3 Part 3 comes into force immediately after the commencement of section 48 of the Scotland Act 2016 . 4 An amendment made by these Regulations has the same extent as the provision to which it relates. PART 2 Provisions transferring the Secretary of State’s licensing functions under the Petroleum Act 1998 to the OGA until the transfer of certain functions to the Scottish Ministers Petroleum Act 1998 2 1 Until the commencement of section 48 of the Scotland Act 2016, Part 1 of the Petroleum Act 1998 has effect as if it were amended as follows. 2 Section 3 (licences to search and bore for and get petroleum) has effect as if— a in subsection (1)— i for “Secretary of State” there were substituted “OGA”, and ii for “he” there were substituted “it”, b in subsection (3), for “Secretary of State” (in both places) there were substituted “OGA”. 3 Section 4(1)(e) (licences: further provisions) has effect as if for “he” there were substituted “the OGA”. 4 Section 5(9) (existing licences) has effect as if for “Secretary of State” (in both places) there were substituted “OGA”. 5 Section 5A (rights transferred without consent) has effect as if for “Secretary of State” (in each place) there were substituted “OGA”. 6 Section 5B(1) (information) has effect as if for “Secretary of State” (in both places) there were substituted “OGA”. 7 Section 7(2) (ancillary rights) has effect as if— a at the end of paragraph (b) “and” were omitted, and b at the end of paragraph (c) there were inserted— ; and d references to the Secretary of State (or the Minister) in sections 4 and 9 of that Act included references to the OGA . PART 3 Consequential amendments to the Petroleum Act 1998 having effect on the transfer of certain functions to the Scottish Ministers Petroleum Act 1998 3 1 Part 1 of the Petroleum Act 1998 is amended as follows. 2 In section 3 (licences to search and bore for and get petroleum)— a in subsection (1) , for “Minister” (in both places) substitute “authority”, and b in subsection (3) — i for “Secretary of State” substitute “OGA”, and ii for “Minister” substitute “authority”. 3 In section 4 (licences: further provisions)— a in subsection (1)(e) , for “he” substitute “the appropriate authority”, and b after subsection (3) insert— 3ZA Before making regulations under this section the Secretary of State must consult the OGA. . 4 In section 5(9) (existing licences), for “Minister” (in both places) substitute “authority”. 5 In section 5A (rights transferred without consent), for “Minister” (in each place) substitute “authority”. 6 In section 5B(1) (information), for “Minister” (in both places) substitute “authority”. 7 In section 7(2)(d) (ancillary rights), for the words following “included references to” substitute— i the Scottish Ministers, in relation to licences granted in relation to the Scottish onshore area, and ii the OGA, in relation to other licences . 8 In section 8(1) (power to inspect plans of mines), for “Minister” (in both places) substitute “authority”. 9 In section 8A (interpretation), after subsection (1) insert— 1A The “appropriate authority” means— a in relation to the Scottish onshore area, the Scottish Ministers; b otherwise, the OGA. . PART 4 Transfer to the OGA of the Secretary of State’s functions under oil taxation legislation, and other consequential amendments Oil Taxation Act 1975 4 1 The Oil Taxation Act 1975 is amended as follows. 2 In section 2(7)(c) (assessable profits and allowable losses), for “Secretary of State” substitute “OGA”. 3 In section 3 (allowance of general expenditure), for “Secretary of State” (in each place) substitute “OGA”. 4 In section 5A (allowance of exploration and appraisal expenditure), for “Secretary of State” (in each place) substitute “OGA”. 5 In section 10(3B) (modification of Part 1)— a for “Secretary of State” substitute “OGA”, and b for “him” substitute “it”. 6 In section 12 (interpretation of Part 1)— a in subsection (1)— i in paragraph (b) of the definition of “licensee”, for “Secretary of State” substitute “OGA”, and ii at the appropriate place insert— “the OGA” means the Oil and Gas Authority; , b in subsection (1A)(a)(ii) , for “Secretary of State” substitute “OGA”, and c in subsection (4), after “Secretary of State” insert “or the OGA”. 7 In Schedule 1 (determination of oil fields), in paragraph 1(2), for “Secretary of State” (in each place) substitute “OGA”. 8 In Schedule 2 (management and collection of petroleum revenue tax), in paragraph 2(2)(c) and (3)(d) for “Secretary of State” substitute “OGA”. 9 In Schedule 3 (petroleum revenue tax: miscellaneous provisions), in paragraph 4, for “Secretary of State” substitute “OGA”. Finance Act 1981 5 1 Section 118 of the Finance Act 1981 (licence payments other than royalties) is amended as follows. 2 In subsection (1)— a in paragraph (a), after “Secretary of State” insert “or the OGA”, and b in paragraph (b), for “Secretary of State” substitute “OGA”. 3 In subsection (2)— a after “Secretary of State” (in the first place) insert “or the OGA”, b for “Secretary of State” (in the second place) substitute “OGA”, and c in paragraph (b), for “Secretary of State” substitute “OGA”. Finance Act 1982 6 1 The Finance Act 1982 is amended as follows. 2 In section 140 (increase of gross profit by reference to royalties in kind), for “Secretary of State” (in each place) substitute “OGA”. 3 In Schedule 19 (supplementary provisions relating to APRT), in paragraph 3(1)(a) , for “Secretary of State” substitute “OGA”. Finance Act 1983 7 In section 36(3)(b) of the Finance Act 1983 (increased oil allowance for certain new fields), for “Secretary of State” substitute “OGA”. Finance Act 1984 8 In section 113(5)(b) of the Finance Act 1984 (restriction on PRT reliefs), for “Secretary of State” substitute “OGA”. Finance Act 1987 9 1 The Finance Act 1987 is amended as follows. 2 In Schedule 10 (nomination scheme for disposals and appropriations), in paragraph 1(3) — a for “Secretary of State” substitute “OGA”, and b for “him” substitute “it”. 3 In Part 3 of Schedule 14 (relevant new fields and associated companies), in paragraph 8(2)(b), for “Secretary of State” substitute “OGA”. Finance Act 1988 10 In section 138(3)(b) of the Finance Act 1988 (reduced oil allowance for certain Southern Basin and onshore fields), for “Secretary of State” substitute “OGA”. Taxation of Chargeable Gains Act 1992 11 In section 196 of the Taxation of Chargeable Gains Act 1992 (definitions relating to UK licences), for “Secretary of State” (in each place) substitute “Oil and Gas Authority”. Finance Act 1993 12 In section 185 of the Finance Act 1993 (abolition of petroleum revenue tax for oil fields with development consent on or after 16th March 1993), in subsections (1C)(a) and (b) and (2)(b) , for “Secretary of State” substitute “OGA”. Petroleum Act 1998 13 1 Part 1 of the Petroleum Act 1998 is amended as follows. 2 In section 4(4) (licences: notice of grant)— a for “Secretary of State” substitute “OGA”, b for “the London Gazette” substitute “such manner as it thinks appropriate”, and c omit the words from “and, if that area” to the end. 3 In section 4A(1) (onshore hydraulic fracturing: safeguards), for “Secretary of State” in the first place substitute “OGA”. 4 In section 4B(8) (section 4A: supplementary provisions), in the definition of “well consent”, for “Secretary of State” substitute “OGA”. Capital Allowances Act 2001 14 In section 556(2)(a) of the Capital Allowances Act 2001 (disposals of oil licences: definitions), for “Secretary of State” substitute “Oil and Gas Authority”. Corporation Tax Act 2010 15 1 The Corporation Tax Act 2010 is amended as follows. 2 In section 278 (general definitions for Part 8), at the appropriate place insert— “the OGA” means the Oil and Gas Authority, . 3 In section 332DA(5) (restriction where field qualified for field allowances as new field), for “Secretary of State” substitute “OGA”. 4 In section 332DB(5) (restriction where project in additionally-developed field qualified for field allowance), for “Secretary of State” substitute “OGA”. 5 In section 356IB(2) (authorisation of development: oil fields), in paragraph (a) of the definition of “national authority”, for “Secretary of State” substitute “OGA”. 6 In section 356J(4) , (authorisation of development: drilling and extraction sites), in paragraph (a) of the definition of “national authority”, for “Secretary of State” substitute “OGA”. 7 In section 356JD (meaning of “cluster area”), for “Secretary of State” (in each place) substitute “OGA”. 8 In Schedule 4 (index of defined expressions), at the appropriate place, insert— the OGA (in Part 8) section 278 Scotland Act 2016 16 1 Section 48 of the Scotland Act 2016 (onshore petroleum: consequential amendments) is amended as follows. 2 In subsection (19), for ““Secretary of State”” substitute ““OGA””. 3 In subsection (20), for “Secretary of State” (in each place) substitute “OGA”. Neville-Rolfe Minister of State Department of Energy and Climate Change 10th September 2016