A change to provincial regulations is set to streamline projects in the oil and gas industry.
New software called the Integrated Decision Approach has been implemented by the Alberta Energy Regulator and is meant to save companies both time and money.
“We heard from industry who said they needed a more transparent regulatory system one where applications were processed as quickly as possible and where they didn’t have to submit that same information again and again and where one application means one review and one decision," Energy Minister Margaret McCuaig-Boyd.
It’s anticipated that under the new system project applications will be processed faster with more transparency.
There were several test phases including an application from Suncor for its Meadow Creek East oil sands project where the regulatory review was cut from an estimated five years down to just 15 months and a smaller heavy oil development proposal from Canadian Natural Resources that saved nearly $1 million and four months in regulatory time.
“One of the AER’s objectives is to find efficiencies by eliminating duplication and simplifying the regulatory approvals process. The Integrated Decision Approach has improved regulatory efficiency and provides us with a path forward for further savings in the future,” says Jim Ellis the president and CEO, of Alberta Energy Regulator
The province says it’s a big step toward modernizing industry practices.
“We're fighting for jobs and making our oil and gas sector more competitive by modernizing the application process for energy projects. This saves industry time and money, while making it easier for everyday folks to make their voices heard. These improvements are a win for communities and a win for hard-working people in Alberta's energy industry,” says McCuaig-Boyd, Minister of Energy
To date, this approach has saved the industry more than $140 million with an expected $600 million in direct savings by 2021.
