How offshore laws differ across jurisdictions

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Any offshore oil, gas, and mineral development in the U.S. is governed by a complex web of state, federal, and international laws and treaties. All of this can make jurisdiction difficult to establish. 

Are you involved in a dispute over offshore drilling and subsurface land use? Do you have questions about who is liable for injury or damages in an accident? It’s important to know how offshore laws differ across jurisdictions, and which laws apply in which situations.

Your rights and legal options vary depending on which state or nation’s laws apply. If you have been injured in an offshore accident or otherwise suffered damages, contact our Houston offshore injury attorneys. We can investigate the matter and explain your rights under the applicable laws.

police boat out in the middle of the ocean approaching fishing boat

Who has control over offshore areas?

International maritime law sets guidelines for controlling offshore areas. In the U.S., federal maritime law follows and expands on them regarding states’ rights to land use. Individual states control waters up to three miles from shore, except for Texas and Florida’s territorial waters in the Gulf of Mexico. These extend up to nine nautical miles offshore. After that, the federal government has authority over areas up to 200 nautical miles offshore.

Federal offshore exploration, development, and leasing fall under the purview of the U.S. Secretary of the Interior and are covered under the Outer Continental Shelf Lands Act (OCSLA). OCSLA also contains environmental, health and safety, and financial regulations for offshore activities. The regulations in OCSLA are subject to change; Congress can revise the Act to modify offshore development limitations.

State laws vary due to differences in geography, offshore development potential, economic interests, and state constitution. Individual states exercise their jurisdiction over their territorial waters.

Differences in jurisdictional control over offshore oil and gas exploration and development

Each coastal state takes a different approach to oil and gas development regulations. Most of it depends on its economy, environmental concerns, and attitude toward energy production. The primary differences concern permitting, revenue sharing, regulatory oversight and limitations, and environmental protection initiatives.

Leasing and permitting differences

Some states completely ban offshore oil and gas development. Others have relatively generous leasing opportunities for developers.

Louisiana and Texas have established offshore leasing programs for oil and gas developers, with regulatory frameworks to support economic growth in the oil and gas industry. Alaska also promotes offshore resource exploration and extraction. Its state offshore leases work in collaboration with federal agencies to ensure that any development works within regulations for environmental protection.

California, by contrast, has prohibited new leases for offshore oil and gas development since 1994. Florida has amended its constitution to ban offshore oil drilling in state territorial waters as its focus has shifted toward promoting tourism and away from oil and gas production.

Regulatory standards for environmental protection

Each state’s environmental regulations influence offshore development and resource extraction regulations. California has some of the most stringent environmental regulations, requiring in-depth impact assessments for proposed offshore development. This includes detailed spill prevention measures and safe decommissioning plans for the offshore infrastructure after the project is complete.

Louisiana, by contrast, has more industry-friendly offshore leasing regulations. While they do have environmental regulations, they’re less stringent since the state’s economy significantly benefits from offshore drilling.

Alaska, with its diverse marine ecosystems and economic interests in offshore development, has strict protections over certain locales. However, it supports offshore development in certain areas, like Cook Inlet.

Economic policies for revenue-sharing between developers and states

States that allow offshore development may assess specific taxes and collect oil and gas royalties. States whose economies rely more on oil and gas extraction typically have less stringent development regulations. Texas and Louisiana benefit from offshore oil and gas revenues and allocate funds for coastal infrastructure, restoration, and economic development within their states.

States like California and Washington, which mostly prohibit offshore development, have little revenue from these enterprises.

Recourse for injured people and corporate disputes

State laws govern more than regulations for offshore developers and oil and gas extraction. In state territorial waters, that state’s laws for personal injury claims and business disputes apply for civil claims—unless U.S. maritime law applies. 

For example, injuries in Texas territorial waters may either be covered under Texas tort laws or by The Jones Act. In Louisiana, Louisiana personal injury laws or The Jones Act may protect injured workers.

Taking action for your case

Your rights after an offshore accident depend largely on the jurisdiction and which laws (state, federal, or international) apply. If you’ve been injured in an offshore oil and gas accident, the attorneys at Havens & Associates can help you understand your options. 

We know how offshore laws differ across jurisdictions and can explain your options in a free consultation. Call (713) 955-2215 today. 

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