Regulation

The Bureau of Ocean Energy Management, Regulation and Enforcement (BOEM) said in a report sent to Congress Friday that it was nearing the orderly close of the scandal-riddled royalty-in-kind (RIK) program. The program officially ends on Sept. 30 when the remaining contracts expire, the Interior Department agency said.

Postponing for two-three years Environmental Protection Agency (EPA) regulation of greenhouse gas (GHG) emissions from power plants, oil refineries and other stationary sources “should be an urgent priority for Congress,” 23 associations, including the American Petroleum Institute, American Chemistry Council (ACC), National Association of Manufacturers, National Petrochemical & Refiners Association and U.S. Chamber of Commerce said in letters sent last week to the Senate and House Appropriations committees.

Interior Secretary Ken Salazar and the director of the Bureau of Ocean Energy Management, Regulation and Enforcement (BOEM) announced Wednesday that they will require Gulf of Mexico operators to permanently plug nearly 3,500 nonproducing wells that are currently completed with a subsurface safety valve in place. Operators also will be required to dismantle about 650 production platforms if they are no longer being used for exploration or production.

Postponing Environmental Protection Agency (EPA) regulation of greenhouse gas (GHG) emissions from power plants, oil refineries and other stationary sources “should be an urgent priority for Congress,” 23 associations, including the American Petroleum Institute, American Chemistry Council (ACC), National Association of Manufacturers, National Petrochemical & Refiners Association and U.S. Chamber of Commerce said in letters sent last week to the Senate and House Appropriations committees.

The director of the Bureau of Ocean Energy Management, Regulation and Enforcement (BOEM) Monday acknowledged the frustration of shallow-water drillers in the Gulf of Mexico as they face a slower permit approval process, but he said safety will not be compromised.

Both the House and Senate Tuesday rolled out legislation aimed at increasing federal regulation and inspection of oil and natural gas operations in the Outer Continental Shelf (OCS).

In response to a mid-2008 incident when it still operated a natural gas utility in the state, PNM Resources’ New Mexico utility was fined $371,000 Tuesday by the state Public Regulation Commission (PRC) for allegedly mishandling a gas leak in an underground vault at a busy Albuquerque intersection. The regulators said it was the largest penalty ever assessed on a utility in the state.

The U.S. House of Representatives late Wednesday voted out the conference report calling for sweeping financial regulatory reforms, including regulation of the over-the-counter (OTC) derivatives market for the first time. But the fate of the reform package in the Senate remains uncertain (see Daily GPI, July 1).

The House was poised to vote out possibly as early as Wednesday evening legislation calling for sweeping financial regulatory reforms, including regulation and transparency of the over-the-counter (OTC) derivatives market for the first time. Passage of the bill in the Senate, however, wasn’t expected to be as easy.