June 22 - Legislation that would create three separate federal agencies to administer offshore oil and gas exploration, extend the time to consider drilling permits and make the industry pay for increased safety inspections was introduced late June 21 in the US Senate.
The bipartisan bill would enshrine changes proposed last month by Interior Secretary Ken Salazar, including splitting the Minerals Management Service into three separate agencies: one to administer leasing and permitting activities, one to enforce safety and environmental regulations, and a third to collect royalties.
Salazar signed a secretarial order on June 18 officially renaming the Minerals Management Service the Bureau of Ocean Energy Management, Regulation and Enforcement.
The bill would also require the president to appoint the directors of each agency and would make those appointments subject to approval by the Senate.
Currently, regulatory authority over development of the Outer Continental Shelf is exercised by an agency that exists only under the authority of the Interior Secretary.
Salazar has been pushing for legislation that more formally established that authority.
The bill would also allow Interior to have offshore accidents investigated independently by the National Transportation Safety Board.
It establishes an independent science advisory board to provide oversight of drilling safety requirements and imposes new inspection fees that will be dedicated to hiring additional offshore inspectors.
A key provision would extend the time that Interior has to approve a drilling permit application from 30 to 90 days. Interior could also extend that time by another 180 days if the secretary determines more time is needed to conduct environmental, safety or other reviews.
The bill also specifies that new permits will not be approved unless a drill plan includes detailed information about blowout technology.
The bill would also require an engineering review of all plans that would mandate drillers to use the "best available technology" in blowout prevention systems.
Redundant blowout prevention features and remote triggering capability would also be mandated under the proposed legislation.
The bill was introduced by senators Jeff Bingaman, Democrat-New Mexico, the chairman of the Senate Energy and Natural Resources Committee; Lisa Murkowski, Republican-Alaska, ranking member of the Energy and Natural Resources Committee; and Byron Dorgan, Democrat-North Dakota.
Bingaman said his "Outer Continental Shelf Reform Act" is designed to "create a culture of excellence in this endeavor that benefits those who work in the oil industry, those who depend on other marine resources, and all Americans who care deeply about our oceans and coastal environment."
The bipartisan bill would enshrine changes proposed last month by Interior Secretary Ken Salazar, including splitting the Minerals Management Service into three separate agencies: one to administer leasing and permitting activities, one to enforce safety and environmental regulations, and a third to collect royalties.
Salazar signed a secretarial order on June 18 officially renaming the Minerals Management Service the Bureau of Ocean Energy Management, Regulation and Enforcement.
The bill would also require the president to appoint the directors of each agency and would make those appointments subject to approval by the Senate.
Currently, regulatory authority over development of the Outer Continental Shelf is exercised by an agency that exists only under the authority of the Interior Secretary.
Salazar has been pushing for legislation that more formally established that authority.
The bill would also allow Interior to have offshore accidents investigated independently by the National Transportation Safety Board.
It establishes an independent science advisory board to provide oversight of drilling safety requirements and imposes new inspection fees that will be dedicated to hiring additional offshore inspectors.
A key provision would extend the time that Interior has to approve a drilling permit application from 30 to 90 days. Interior could also extend that time by another 180 days if the secretary determines more time is needed to conduct environmental, safety or other reviews.
The bill also specifies that new permits will not be approved unless a drill plan includes detailed information about blowout technology.
The bill would also require an engineering review of all plans that would mandate drillers to use the "best available technology" in blowout prevention systems.
Redundant blowout prevention features and remote triggering capability would also be mandated under the proposed legislation.
The bill was introduced by senators Jeff Bingaman, Democrat-New Mexico, the chairman of the Senate Energy and Natural Resources Committee; Lisa Murkowski, Republican-Alaska, ranking member of the Energy and Natural Resources Committee; and Byron Dorgan, Democrat-North Dakota.
Bingaman said his "Outer Continental Shelf Reform Act" is designed to "create a culture of excellence in this endeavor that benefits those who work in the oil industry, those who depend on other marine resources, and all Americans who care deeply about our oceans and coastal environment."
