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Home»Offshore»BOEM Boosts Monetary Penalties for Oil & Gas firms
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BOEM Boosts Monetary Penalties for Oil & Gas firms

January 11, 2025
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BOEM Announces 2025 Inflation Adjustments for Civil Monetary Penalties

Today, the Bureau of Ocean Energy Management (BOEM) has taken a significant step by announcing a final rule that implements the 2025 inflation adjustments for the maximum daily civil monetary penalties as outlined in BOEM regulations, in compliance with Federal law.

The Federal Civil Penalties Inflation Adjustment Act Improvements Act (FCPIAA Improvements Act) of 2015 mandates that Federal agencies make annual adjustments to the level of civil monetary penalties to account for inflation. These adjustments are crucial to ensure that civil penalties remain effective deterrents and align with the policy goals of the relevant statutes.

Under the provisions of the FCPIAA Improvements Act, the final rule issued by BOEM sets the maximum civil monetary penalties at $55,764 per day per violation for infractions under the Outer Continental Shelf Lands Act, and $59,114 per day per violation for violations falling under the Oil Pollution Act.

This final rule has been made available for reference in the Federal Register, and the adjusted penalty levels will come into effect immediately upon publication of the rule.

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BOEM Boosts firms gas Monetary Oil penalties
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