Arctic Offshore Drilling Review Robert Steedman National Energy Board, Calgary, Alberta, Canada The Society of Naval Architects and Marine Engineers, Arctic Section November 16, 2011 Calgary, Alberta
Outline • National Energy Board’s Role in the North
• The Arctic Offshore Drilling Review • What We’ve Heard
The National Energy Board
Gaétan Caron Chair & CEO
Lyne Mercier Member
Sheila Leggett Vice-Chair
David Hamilton Temporary Member
Rowland Harrison Member
Hans Matthews Temporary Member
Roland George Member
Bob Vergette Temporary Member
Kenneth Bateman Member
Georgette Habib Member
The National Energy Board has nearly 400 staff, including
85 specialists focused on safety, engineering, environment, geo-science and socio-economic matters
The NEB regulates a project from start to finish:
Application Phase
Decision Process
Operations Phase
Compliance Verification
Abandonment Phase
The NEB regulates oil & gas exploration and 6 production activities in the North
How we regulate Company must demonstrate: • procedures and capabilities to protect workers and the environment • proof of Financial Responsibility If a company doesn't have these, it cannot drill 7
Key Aspects of Application Review Environmental Assessment
Safety Evaluation
Technical Review
Any company planning to drill in the Arctic must demonstrate to the NEB they have the procedures and capability to protect workers and the environment. If a company doesn’t have these, they can’t drill.
Working with other Federal Departments The Federal government develops regulations, laws and policies for offshore drilling in the Canadian Arctic
Aboriginal Affairs and Northern Development issues Exploration Licenses and approves Benefit Plans
The Arctic Offshore Drilling Review will examine the best available information on the hazards, risks and safety measures associated with offshore drilling in the Canadian Arctic
Scope of the Arctic Offshore Drilling Review Drilling safely while protecting the environment
Responding effectively when things go wrong
Learnings
Filing requirements
Arctic Offshore Drilling Review Phase 1
• Fact Finding and Information Gathering
Phase 2
• Information Sessions and Inuvik Roundtable
Phase 3
• Public Report
Phase 1 – Fact Finding and Information Gathering
Meetings with Northern communities and Aboriginal groups
Calls for Information and Submissions
Review of technical reports
Phase 2 – Considering the Facts and Information
Opportunity to ask questions and comment on the information collected in Phase 1
Meetings scheduled in Yellowknife, Inuvik, Whitehorse and Iqaluit
Up to $300,000 to help with travel costs for the Inuvik Roundtable
Phase 3 – Public Report & Next Steps • The Board will consider the information gathered and issue a public report • The NEB will use the results to develop Filing Requirements for future Arctic offshore drilling applications
How we regulate What are Filing Requirements? • Information to be provided with an Application • How are they prepared?
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What We’ve Heard • Meetings with Northern communities • Technical staff reviewed Calls for Information and technical reports
Key Community Concerns • Same Season Relief Well Capability
• Dispersants • Spill response capability and infrastructure
• Training • Compensation for Northern residents in the event of a spill • Wildlife/Environmental Monitors
Key Community Concerns • Unique Arctic environment including currents and ice • Inspections and Monitoring
• Clean-up Methods • Clean-up Costs and Responsibilities
• Clarity of Roles
Inuvik Roundtable • Hear from experts about scope elements
• Ask questions of any participants • Offer opinions on what should be addressed in the NEB Public Report • Express your views on what to include in Filing Requirements for a future application to drill a well in the offshore