Arup said that skilled workers tend to favour roles in exploration and production, exacerbating the skills gap for the decommissioning sector.

Another issue identified by Arup is that vital knowledge about old infrastructure slated for removal could soon be lost as the industry’s ageing workforce gears up to retire. The report urges the industry to find ways of transferring older workers’ knowledge on to younger workers.

Meanwhile, given that the decom industry is inherently different to that of E&P, procurement strategies need to become significantly distinct, and oil and gas companies need to explore new entrants to the industry who may have less history in the sector but who will bring innovation and new technology.

Clare Lavelle, Scottish Energy Consulting Lead for Arup, said: “The decommissioning market will require upwards of GBP 30 billion [$48 billion] of expenditure before 2040 in the [United Kingdom Continental Shelf].

“This offers a significant socio-economic opportunity in terms of job creation in the Scottish, UK and European supply chain, and a foundation from which North Sea based firms can export expertise to other parts of the world.

“To take full advantage of this opportunity, the industry must build on its existing capacity and capability to service the complex and demanding nature of decommissioning work in the North Sea.”

Arup prepared the report for Decom North Sea and Scottish Enterprise.