BSEE proposes revisions to Production Safety Systems regulations

In response to a Presidential Order to reduce undue burden on industry, the Bureau of Safety and Environmental Enforcement (BSEE) completed a comprehensive review of the Production Safety Systems regulations. The proposed regulations will be published Friday in the Federal Register.  The announcement describes the proposed revisions and invites public comment on the proposal.

“I am confident that this revision of the Production Safety Systems Rule moves us forward toward meeting the Administration’s goal of achieving energy dominance without sacrificing safety,” said Director Scott A. Angelle. “By reducing the regulatory burden on industry, we are encouraging increased domestic oil and gas production while maintaining a high bar for safety and environmental sustainability.”

The Production Safety Systems Rule addresses safety and pollution prevention equipment, subsea safety devices and safety device testing for the production of oil and gas resources on the US outer continental shelf (OCS). The proposed amendments address provisions of the regulations that create an unnecessary burden on operators, while providing the same level of safety and protection of the environment. BSEE’s initial regulatory impact analysis estimates that the proposed amendments would reduce industry compliance burdens by at least $228 million over 10 years.

“It’s time for a paradigm shift in the way we regulate the OCS,” Mr Angelle said. “There was an assumption made previously that only more rules would increase safety, but ultimately it is not an either/or proposition. We can actually increase domestic energy production and increase safety and environmental protection.”

One out of every six barrels of oil produced in the United States is produced on the OCS. Annual production on the OCS totals over 550 million barrels of oil and 1.3 trillion cu ft of natural gas. BSEE permits operations and conducts inspections on approximately 2,400 production platforms located in the three OCS regions: Arctic, Gulf of Mexico, and Pacific.

Stakeholders can view and provide comment on the proposed amendments to the Production Safety Systems Rule via regulations.gov, the federal government’s official rulemaking portal.  The proposed regulations are also available here. The public comment period for will remain open for 30 days.