CIVIL LIABILITY AND COMPENSATION FOR OIL POLLUTION DAMAGE RESULTING FROM OFFSHORE OIL EXPLORATION AND EXPLOITATION
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Abstract
Technological advancement and the increase in the demand for petroleum products will increase the possibility of incidents involving offshore oil exploration and exploitation in Thailand, leading to rising of marine oil pollution damage from such activities which is normally massive and has substantial impact upon marine environment and relevant natural resources. In this regard, appropriate civil liability and compensation regime is acceptable as one useful mechanism to recoup the damage and restore the damaged natural resources to their baseline.
Thai law recognizes civil liability and compensation regime for natural resource damages caused by oil pollution from offshore oil exploration and exploitation and natural resource damages acceptable. However the compensation is still, in practice, not effectively and efficiently enforceable in Thailand due to the problem on quantification of natural resource damages. This problem is also an obstacle for court to award reasonable and fair compensation for natural resource damages.
This article aims at studying on the US law and Thai law relating to civil liability and compensation for natural resource damages caused by oil pollution resulting from offshore oil exploration and exploitation to analyze relevant problems and to seek solutions to make compensation for natural resource damages for such case more practical, effectively and efficiently in Thailand. In conclusion, this thesis proposes that the responsible governmental authority in charge for natural resource damage assessment (NRDA) and establishment of a claim against the offshore oil operator should be designated and NRDA regulations providing the NRDA process as well as the economic criteria and methods utilized to assess the natural resource damages caused by oil pollution from offshore oil exploration and exploitation should be established. For the court’s standard practice to quantify natural resource damages, the President of the Supreme Court should issue the guideline for the court to award compensation in this case. Moreover, the Enhancement and Conservation of National Environmental Quality Act B.E. 2535 should be amended to add financial security and a fund scheme against the offshore oil operator to ensure the payment of compensation for natural resources.
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References
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