Energy ministers from the UK, the Netherlands and Malta raised concerns at a meeting in Brussels late Thursday over new safety rules for EU offshore oil, gas drilling proposed by the European Commission last month.
All three EU countries said they welcomed the rules proposed by the EC in October but had "serious concerns" over some of the detail.
"Our understanding of the proposed regulation would mean a repeal of existing national legislation. If so, we have serious concerns and would propose rules in the form of a directive so as to avoid disruption of our existing robust regime and uncertainty for companies," UK junior energy minister Charles Hendry said.
Deputy permanent representative for the Netherlands Derk Oldenberg said the Dutch would also be in favor of a directive rather than a regulation.
"A directive would minimize problems with existing legislation. Like other member states we want sufficient flexibility in organizing supervisory powers," he said.
An EU regulation becomes law immediately in all the EU-27 countries whereas a directive needs to be transposed into national law in each country.
Malta also raised concerns over the "substantial financial burden" to small and medium sized oil companies if they are made "fully liable" for any damage to any EU marine waters.
"These companies have long been active in exploring EU waters and have contributed to Europe's security of supply," said George Pullicino, minister of resources for Malta.
"The EC should propose measures to ensure adequate financial measures are in place like risk pooling," he added.
All operators of EU offshore oil and gas infrastructure would face stricter licensing and independent assessments from late 2012 under the draft offshore safety rules proposed by the EC.
Operators would have to submit major hazard reports for their installation, similar to the UK's safety cases but with more information on environmental risks, to national safety regulators for approval. The reports would have to include an emergency response plan.
The regulators would use the reports to verify the "safety, environmental protection and emergency preparedness" of offshore installations.
The draft regulation has to be debated and approved by the European Parliament and EU Council, representing the EU's 27 national governments, before it can become law. This process usually takes at least a year -- so it could apply from early 2012 at the earliest.
The EC proposes that the regulation should apply to new installations as soon as it becomes law. It proposes a period of up to two years before the rules are applied to existing installations, meaning that they could be impacted from 2014.
