Tag: offshore

2011 ISN Annual Users Conference: Navigating Through BOEMRE Regulatory Waters

At the ISN Annual Users Conference, Doug Slitor, Acting Chief of the Office of Offshore Regulatory Programs, is presenting the new regulations and best practices for offshore operators and contractors as previously set forth by BOEMRE. BOEMRE, the Bureau of Ocean Energy Management, Regulation and Enforcement, was reorganized on October 1 into two separate entities: the Bureau of Ocean Energy Management (BOEM) and the Bureau of Safety and Environmental Enforcement (BSEE). Mr. Slitor explains the function and scope of these new bureaus’ work.

Originally created from the former Minerals Management Service, BOEMRE’s intention has been to make the Gulf of Mexico safe for workers and the environment alike. Now as two distinct organizations, BOEM and BSEE play specific roles.

BOEM focuses on resource identification, leasing, and compliance with environmental regulations. BSEE takes on the job of regulatory development, inspection, technical research, and enforcement of safety regulations.  Another important component of BSEE’s work is oil spill response oversight, a function whose value was magnified after the Deepwater Horizon spill in April 2010.

As part of its effort to encourage and regulate safe practices in the Gulf of Mexico, BSEE has created SEMS, Safety and Environmental Management Systems. It is mandatory for offshore operators to have a SEMS plan in place by November 15, 2011.

Mr. Slitor also outlines SEMS expectations in his presentation. Elements of an approved SEMS plan include: Hazard Analysis, Emergency Response and Control, and a Contractor/Operator interface. Operators must also provide records of their contractors’ knowledge and training for the job they perform. ISN has partnered with its Owner Clients to use the Training Qualification (TQ) tool in ISNetworld in order to meet this requirement.

ISN assists contractors in meeting TQ requirements set forth by their Owner Client by providing a comprehensive activity list, templates to organize and upload employee information, and step-by-step written instructions on how to meet SEMS requirements in ISNetworld.

http://green.blogs.nytimes.com/2011/09/13/farewell-to-an-acronym/?scp=1&sq=bsee&st=cse
http://www.boemre.gov/
http://www.nytimes.com/gwire/2011/04/22/22greenwire-debate-on-protecting-oil-rig-workers-takes-a-n-82148.html?scp=1&sq=SEMS%20boemre&st=cse

Restoration of Gulf Creates Potential Jobs

According to a new study by Quest Offshore Resources, Inc., if permitting in the Gulf of Mexico for offshore development returned to pre-spill levels before the Obama administration’s moratorium, as many as 190,000 jobs could potentially be created in the next two years.  This study was done for the American Petroleum Institute (API) and the National Ocean Industries Association (NOIA).  Projected jobs could include not only offshore drilling, but also indirect jobs including companies nationwide that supply the oil and gas industry with valves, pipes, rope and other related equipment. 

Randal Luthi, president of NOIA said, “This new study clearly shows that the offshore oil and gas industry is an essential part of creating and sustaining…American energy, the American economy and American jobs.”

NOIA and API are citing the report as new evidence that lawmakers and regulators should do more to accelerate drilling in the Gulf of Mexico and also expand oil and gas development on the outer continental shelf. API president Jack Gerard said that the oil and gas industry is “still not as close to providing all the benefits it could.”  He also stated that having a strong domestic industry that is allowed to produce more of the energy our nation needs is “the best way to help our economy, strengthen our energy security…and help drive down our debt.”

The report also found that the Gulf offshore oil and gas industry contributed more than $26 billion to the nation’s gross domestic product in 2010. 

Over the next couple years, the potential addition of jobs to increase production of domestic oil and natural gas may be extremely beneficial to our economy as we pay down our financial debt.

Sources:
http://www.api.org/Newsroom/gulf-jobs-possible.cfm
http://blog.chron.com/txpotomac/2011/07/study-restoring-gulf-drilling-to-pre-spill-levels-could-create-190000-jobs/
www.noia.org

SEMS: A New Standard for Offshore Operations

Time is running short for offshore energy operators.

April 15th gives industry operators only seven more months to plan and implement Safety & Environmental Management Systems (SEMS,) an approach made mandatory by the Bureau of Ocean Energy Management, Regulation and Enforcement (BOEMRE) last November.

Previously voluntary, the BOEMRE’s now-mandatory compliance deadline is November 15, 2011. This regulatory push by the BOEMRE, the federal agency responsible for overseeing the safe and environmentally responsible development of energy and mineral resources on the Outer Continental Shelf (OCS,) has even greater support in the wake of the Deepwater Horizon spill in the Gulf of Mexico, which poured more than four million barrels of oil into the Gulf of Mexico.

According to BOEMRE, the SEMS is a nontraditional, performance-focused tool for integrating and managing offshore operations. The approach is composed of 13 elements and was created to enhance the safety and cleanliness of operations by reducing the frequency and severity of accidents. Applicable to all OCS oil and gas operations under the BOEMRE jurisdiction, affected industries include: drilling, production, construction, well workover, well completion, well servicing and DOI pipeline.

The BOEMRE has four chief SEMS objectives:

  1. Focus attention on the influences that human error and poor organization have on accidents
  2. Continuous improvement in the offshore industry’s safety and environmental records
  3. Encourage the use of performance-based operating practices
  4. Collaborate with industry in efforts that promote the public interests of offshore worker safety and environmental protection.

With the Deepwater Horizon disaster still top of mind, the complexity and risk of offshore operations continue to draw attention to the need for strengthened safety audits and has furthered the importance of the SEMS initiative. Regulators are adamant and have set strict consequences for compliance, including the possibility of facilities being closed if the program implementation deadline is not met.

In a March 15 workshop, the BOEMRE provided an overview and background on SEMS, addressed frequently asked questions and reviewed the process for SEMS audits and reviews. Suggestions for creating a SEMS plan include having a strong commitment from management, getting an early start and utilizing a multi-disciplined team approach.For more information, please visit http://www.boemre.gov/semp/ or view the SEMS PowerPoint presentation here.

Sources
http://www.boemre.gov/semp/
http://af.reuters.com/article/energyOilNews/idAFN0425169520110404
http://www.energylegalblog.com/archives/2010/10/06/3231