The collective term "supplier firms" is used for companies involved in drilling, catering, supply, oil service and subsea services, as well as other enterprises whose main activity is linked to upstream oil and gas activities on the Norwegian continental shelf.
See the Norwegian Oil and Gas Association's by-laws for a more detailed description of companies which can be accepted as members.
What membership costs
Membership of the Norwegian Oil and Gas Association also requires membership of the Confederation of Norwegian Enterprises (NHO). When a company becomes a member of the Norwegian Oil and Gas Association and the NHO, it also becomes affiliated with a regional association within the latter.
Costs differ between supplier and oil companies.
Companies in the Norwegian Oil and Gas Association's supplier company branch:
Set at 0.15 per cent of the total wages paid, minimum NOK 20 000.
Companies in the Norwegian Oil and Gas Association's oil company branch:
Oil companies pay a membership fee determined for each budget year as a total amount equal to the budgeted costs of regular association activities, after deducting the membership fees paid by the supplier companies.
Membership fees are distributed between the oil companies on the following basis: an amount equal in size for all the companies, and an amount calculated on the basis of wages paid during the preceding year for activities covered by Norwegian Oil and Gas Association membership.
Costs for the Norwegian Oil and Gas Association's direct assistance in areas where oil company tasks are best tackled collectively, such as joint projects, research and development activities and the payment of financial support, are distributed among the oil companies and determined for each company as the ratio between:
- total budgeted exploration costs, operating costs and investments in the company’s own operated licences for the coming budget year
- total budgeted exploration and operating costs and investment in all licences operated by oil companies belonging to the Norwegian Oil and Gas Association.
In addition, member companies subject to collective pay agreements must make payments to the collective schemes operated by the NHO and the Norwegian Confederation of Trade Unions (LO).