Call For Robust Offshore Leasing Program Supported by Strong API Standards

Anchal Liddar
Posted February 16, 2023

As we continue to press the Biden administration to put forward a five-year offshore leasing program that creates significant opportunities for the oil and natural gas production needed to help ensure America’s long-term energy security, know that the call is backed by strong API standards to help protect workers and the environment.

We recognize the administration has been focused on an energy transition, yet, as President Biden acknowledged in his State of the Union address, America will need oil and natural gas for some time to come. That’s why safe, robust offshore development is so critically important.

In 2021, offshore accounted for 15% of America’s total oil production, and at times in recent years it has represented more than 30% of American output.

Because offshore development can take seven to 10 years to bring online, the federal government’s leasing program – an opportunity for future leasing and production – must provide ample access. The government’s current proposal includes options that fall well short of what is needed, and even includes an option for zero lease sales over the next five years.

Offshore producers continue to operate at the highest levels of safety, with API standards playing a leading role in protecting workers and helping ensure safe operations.

There are 275 API standards related to offshore oil and natural gas operations, covering fixed offshore platforms, drilling operations, floating production systems, subsea equipment and much more.

One key standard critical to safe offshore operations is API Recommended Practice (RP) 75, Safety and Environmental Management System for Offshore Operations and Assets. Now in its 4th edition, API RP 75 provides guidance for establishing, implementing, maintaining and continually improving Safety and Environmental Management System (SEMS) for offshore natural gas and oil operations, and incorporates the latest advancements in technology and risk management.

Meanwhile, the important work of the Center for Offshore Safety (COS) is based on RP 75. COS enables operational excellence, in part, by enhancing and continuously improving industry’s safety and environmental performance and stimulating cooperation within industry to share learnings. Established by industry more than a decade ago, COS promotes safety for offshore exploration and production through leadership, effective SEMS implementation, and collecting safety and incident data to support the continuous improvement of SEMS.

COS coordinates with the U.S. Coast Guard and Bureau of Safety and Environmental Enforcement (BSEE), showing how industry and regulators can collaborate. BSEE regulatory requirements incorporate the third edition of RP 75, requiring that offshore operators implement SEMS and have their SEMS audited by an independently accredited auditing firm. COS members – including operating companies, drilling contractors and energy services firms – have obtained and maintained SEMS certificates, demonstrating the industry’s drive to achieve the highest standards for safety and environmental protection.

As Interior and the Biden administration develop a five-year leasing program, API and the industry continue to advance robust safety and environmental standards to ensure affordable, reliable energy while tackling the climate challenge and enhancing environmental performance.