Field allowance: authorisation of development
Authorisation of development means either the Secretary of State or a Northern Ireland Department:
- Granting a licensee consent for development for the field,
- Serving on a licensee a programme of development for the field, or
- Approving a programme of development for the field.
Consent for development does not include consent which is limited to the purpose of testing the characteristics of an oil-bearing area.
Development means winning oil from the field otherwise than in the course of searching for oil or drilling wells.
Where the development of a field is phased, only the first authorisation of development may trigger an allowance as a new field.
** This guidance is superseded by the introduction of the Investment Allowance legislation in Finance Act 2015. This applies to investment expenditure incurred on or after 1 April 2015. The relevant legislation is in Part 8 Chapter 6A of CTA 2010. Transitional rules are at paragraphs 7 and 8 of Part 2 Schedule 12 Finance Act 2015. Full updated guidance will be provided shortly. **