MAJOR JOR FACTORS TORS IMPAC ACTI TING G OF OFFSH SHORE RE OI - - PowerPoint PPT Presentation
PUBLIC IC POLICY Y TRENDS S & DEVELOP LOPMENTS MENTS FOR OFFSHORE OF SHORE OI OIL & G & GAS AS EX EXPLORATIO ORATION Inters rsta tate e Oil and Gas Compact ct Commiss ssion, , Midyear r Issues Summit May 23-25,
Inters rsta tate e Oil and Gas Compact ct Commiss ssion, , Midyear r Issues Summit May 23-25, 2010, Lexingto ton, , Kentucky ky
MAJOR JOR FACTORS TORS IMPAC ACTI TING G OF OFFSH SHORE RE OI OIL & GAS
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l Offshore re Program 2010 -2015 & 2012 – 2017 2017
e to Oil Spill: l: Regulato tory ry and Legislative ive
rium on Drilling
l Ocean Policy
ate Change/Oc /Ocea ean Acidification
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d for opening new areas
lic c support rt at new highs and Congress s allowed d moratori rium um to expire
st external l outreach h campaign garnered more than 350,000 comments ts in support t of offshore e energy
ustr try y & coalition efforts accounted ed for more than 71% of the 500,000+ 500,000+ com commen ents received received by by MMS S
sible ble for such a significant t positive e response se – almost four times the response e from the 2007-2012 2012 comment t period
OB OBAMA MA ADMINISTRATI INISTRATION N OC OCS POL OLIC ICY: Y: What t the Ad Admi ministr istrati ation is saying ing
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OP: We are opening new areas for offshore re oil and gas developmen pment t as part of a comprehens ensive ive energy plan for the country. y.
LORE: E: We are expandi ding g offshore re oil and gas explorat ation and scientific analysi sis to gather the informati tion we need to develop p resources in the right places and the right ways.
ECT: We are protecting special places that are simply y not appropri riate te for oil and gas drilling. g.
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, CGOM, , and EGOM Beyond d 125 miles of Florida
tly Clarified ed to apply y to islands s like the Florida Keys
Atlanti ntic/ c/Sout South h At Atlantic tic (Will be studies s : May not offer leases)
fort, t, Chukc kchi hi (Will be studies: s: May not offer more leases or develo lopme pment) t)
c Off-Li Limi mits ts (40 percent t of Atlanti tic Resource e Base)
Aleutian n Basin (Bristol l Bay) Off-Li Limi mits ts (Prove ven n discoveries) es)
Limi mits ts (proven – larger than EGOM)
s exist there
m Line: Areas Taken off the Table have more oil and gas potential al than what they say was added
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AL ALASKA SKA AR AREAS
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ry Revised d Program (PRP) & 2012-2017 Scoping Notice for Draft EIS released
ts due; final leasing program to be announce ced d sometime thereafte fter
s due
y, 2010: Public c meetings s held on scope of EIS
d Program Schedule ule and Draft EIS expected ed
y 2012: 2012-2017 Proposed d Final Program and Final EIS expecte ted, d, followed d by final decision no sooner than 60 days later
y 1, 2012: 2012-2017 Program takes effect
WHAT AT IS BEING NG DON ONE
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DOI investigat ation launched hed
d to complet ete e report by May 28 on additional l safety measures es for offshore re operations
rium: : AP APDs for any new offshore drilling ng activity y not to be considere red d until safety y review complete ted d
shed d OCS Safety y Oversight ht Board
ted d inspecti tions s of all 30 deepwate ter r drilling rigs. No significant t issues
/DOI OI announce ce review of NEPA procedure ures s for MMS.
l Ac Academy y of Engineerin ring analysis s and technical l investigat ation
utive e Order established shed the National Commissi sion on the BP Deepwater Horizon Oil Spill and Offsho hore re Drilling
cturing g MMS into three separate te entities
h program on incident
WHAT AT COU OULD LD BE DON ONE
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ase e in liability ty cap from current t limit set forth in the Oil Pollut ution
d statuto tory ry time currently tly allowed for DOI to act on explora rati tion plans (e.g. from 30 days for existing leases, as set forth rth in OCS Lands Act, to 90 days, and when necessary ry even further er for the complet etion
menta tal/s l/saf afety ty reviews. . Potential l breach of contrac ract.
US. US.
ase e in excise tax that oil companies s pay to finance Oil Spill l Liability ty Trust Fund (e.g. from 8 cents/ba barr rrel l to 9 cents/bar barre rel l starting this year, , and rising to 10 cents/ba barr rrel el starting in 2017). Tax extende der r language could raise to 32 cents
y expendi ditur ture limitation from Oil Spill l Liability ty Trust Fund (e.g. from $1B to $1.5B) and increase the cap on natural l resource damage assessments ents and claims (e.g. from $500M to $750M)
tional l DOI inspecti tions s and enforcemen ment t studies s and activities
tion of a new national l ocean policy that further er restricts ts and regulate tes s offshore energy developmen pment.
ed later ter)
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Co-cha haire red d by former Florida Governor
r Bob Graham m & former EPA A Ad Administr trato tor r William Reilly
ting and mitigating g the impact of future re oil spills resulti ting from offshore e drilling, g, includi ding options involvi ving:
response se capabilities; s; prote tect ct health th and safety ty, occupati tional l health lth and safety ty, and the environme ronment t and natural l resour urces; ces; and addres ress s affecte cted d communities ties; and
2) organizati tional l or othe her reforms rms of fede deral ral agenci cies or processe sses s necessa ssary ry to ensure re such improveme vements ts are implemente ted and maintained”
l Adviso sory ry Committee ttee Act
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arial al Order restruc uctur turing ng the Minerals ls Management nt Service into 3 separate entities with independ ndent nt missions: s:
reau of Ocean Energy rgy Management--
wable le energy rgy resources, including resource evaluation, planning, and other activities related to leasing”
reau of Safety ty and Environmental tal Enforc rcement--
ction in all offsho shore re energy activities”. Both report to Asst. Secy for Land & Minerals ls Management
fice ce of Natur ural l Resour urce ce Reve venue ue--
buti tion of revenue, ue, auditing and compliance, and asset management”. Reports to Asst. Secy. For Policy, Management & Budget
lemen menta tati tion schedule le to be develo lope ped d within 30 days of Order
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