American Oil and Gas Reporter - December 2016 - 23
IndustryDigest
industry.
"Today's FOIA requests augment
continued industry efforts to gain
greater clarity into how BOEM and DOI
determined that new financial assurance
requirements were necessary, and the
considerations underpinning and
informing their decision making," the
groups say. "Combined, these efforts
represent our industry's commitment to
understand how DOI and BOEM
determined that changing the rules by
way of the NTL guidance was
appropriate, rather than undertaking a
formal rule-making process, (which is)
a much more transparent and equitable
process."
According to the trade groups,
transparency typically afforded to
companies under normal circumstances
with NTLs has been at a premium with
BOEM in this instance, as information
central to the rationale of NTL No.
20160-N01 has not been released to the
public or companies attempting to
satisfy the new financial assurance and
bonding requirements.
"The new rules are a solution in
search of a problem, as the existing
framework has protected taxpayers for
decades," the groups contend.
"Moreover, offshore operators made
significant investments based on the
existing regulatory framework, and
BOEM now has changed the rules in a
manner that threatens to trigger the very
risk it is trying to protect against, as
these new burdensome bonding
requirements will tie up capital that
otherwise would be available for
exploration, development, jobs, and
revenues to states and the federal
government-and most ironically, for
actual plugging and abandonment
work." ❒
Committee issued a report in October
that concludes "the EPA made no effort
to ensure the WOTUS rule was based
on sound science, and pushed the rule
through on an accelerated timeline that
appeared to have been motivated by
political considerations."
TIPRO notes that WOTUS refers to
the rule making finalized by EPA and
the Army Corps of Engineers in May
2015 that changed the CWA's definition
of navigable waters, thereby expanding
the agencies' ability to oversee activities
affecting smaller bodies of water,
streams and wetlands.
Among the key findings of the
Oversight Committee's report, TIPRO
says:
* Some officials involved in the
process reportedly believed politics
deprived them of the opportunity to
conduct a meaningful and full review of
Committee Says EPA
Politicized WOTUS Rule
AUSTIN, TX.-The White House and
Environmental Protection Agency are
guilty of politicizing federal water
regulations and cutting corners in their
haste to expand the jurisdiction of the
Clean Water Act, according to a report
cited by the Texas Independent
Producers & Royalty Owners
Association.
TIPRO says the U.S. House
Oversight and Government Reform
DECEMBER 2016 23
American Oil and Gas Reporter - December 2016
Table of Contents for the Digital Edition of American Oil and Gas Reporter - December 2016
Contents
American Oil and Gas Reporter - December 2016 - Cover1
American Oil and Gas Reporter - December 2016 - Cover2
American Oil and Gas Reporter - December 2016 - Contents
American Oil and Gas Reporter - December 2016 - 4
American Oil and Gas Reporter - December 2016 - 5
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American Oil and Gas Reporter - December 2016 - Cover3
American Oil and Gas Reporter - December 2016 - Cover4
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