Today Oil and Gas is a heavily regulated industry. Exploration, drilling, extraction and pipeline organisations not only must respond to Government and Federal regulations but they frequently lead the way by setting their own very high internal standards which need be enforced at all times to ensure operational integrity. Oil and Gas operations can affect the environment in which they operate. This means that the enforcement of Government and international environmental and community-protection regulations is extremely important. One only has to consider public reaction to localised drilling to see why meeting regulatory compliance at all times is absolutely necessary.
Risks to both personnel and to those in the supply chain from seismic exploration through to consumer pump supply can be critical. The hydrocarbon chain of supply consists of companies operating at national, international and global levels, employing people across almost every territory on earth. Consequently it makes great sense to ensure compliance throughout the supply chain, rather than just approaching it through localised strategies.
When enforcement fails, penalties for violations can be huge, environmental impact catastrophic, as well as the huge negative impact on the business itself. Enforcement agencies inspect facilities and often require self-reporting, and set punishing penalties for the violation of regulations and standards. Financial penalties can vary depending on the gravity of the violation. In addition Governments may also request bonding (financial assurance) to help enforce environmental protection from organisations which do not meet regulatory compliance.
The regulatory and reporting landscape today is particularly complex for oil and gas organisations. Due to the risk of non-compliance, oil and gas firms can face a wide range of issues caused by non-compliance internally. Organisations can suddenly find themselves face delays in drilling, at the worst possible moment, face delays in oil and gas production and extraction, hit project overruns, , find themselves the victims of anti-competitive practices, find that their restricted data has been compromised and much more. Internal lack of compliance can mean sensitive and restricted data is shared with the wrong audiences, putting in jeopardy critical operations and even risking operational security.
The mitigation of risk from your position within the supply chain places your business in a better place and helps you define a stronger and safer business model. That’s how Orchestra Oil and Gas helps your organisation. Not only do you want all employees to be up to date with the latest regulations and policies but you want to be able to know that they have read them and prove that they have complied.
Ensuring that all your employees, teams and contractors are working to the very latest operational standards, procedures, policies and regulations seven days a week makes all the difference. Being able to generate real-time employee-compliance reports for regulatory and agency audits allows you to remain in control in the complex regulatory industry you are operating in. This plays its part in ensuring that wherever you are positioned within the hydrocarbon supply chain, you are not only helping ensure your own operational success but also those operations directly related to you both upstream and downstream.
For more information contact us on 0207 788 9445.