Regulation 3 Liability to pay production levy
A licensee is liable to pay the production levy in respect of each offshore production licence which is held by the licensee at the relevant time and in respect of which either of the criteria at paragraph (2) is satisfied.
The criteria are that at the relevant time the licensee is, in accordance with that licence, entitled to—
erect or carry out any relevant works (within the meaning of the licence) either in the licensed area or elsewhere, for the purpose of getting petroleum from that area or for the purpose of conveying to a place on land petroleum got from that area; or
get petroleum from that area otherwise than in the course of searching for petroleum, drilling wells or testing wells.
Where the licensee is more than one person, the liability under paragraph (1) is joint and several.