In the April Oil and Gas Journal, an interesting article entitled ‘Tempering the Revival with Regulation,’ discusses changes as a result of the surge of activity in West Texas. “With new levels of drilling…across the state, energy regulators want to ensure rules can keep up.”
The author goes on to discuss how TIPRO (Texas Independent Producers & Royalty Owners) and other organizations are working to navigate the “ever-changing” business climate. Many regulations are outdated, and thus, the rules are changing very rapidly as well. Energy companies also have reason for concern if regulations become too constricting, because their businesses depend on “a balance between sound environmental stewardship and sustained industry growth.”
And as we’ve discussed before, many oil and gas companies don’t necessarily have the visibility into their software or processes to understand if regulations are translating to actual practice. “Oil and gas companies want to do right in terms of regulatory compliance,” but some of them may need help to actually accomplish that.
If your company is relying on Excel spreadsheets or disconnected databases to implement regulations, it may be time to consider alternatives. I cover some of the questions energy companies should be asking themselves as they evaluate whether their processes or the oil and gas software for managing regulatory compliance currently in use are up to the job in this rapidly shifting environment.
You may also find our guide to buying or building software solutions for oil and gas helpful should you start investigating your options…