The Enhanced Production Audit Program, or EPAP, is a compliance program that encourages operators to improve their measurement and reporting systems to make them more compliant with the Alberta Energy Operator, or AER.
EPAP allows operators to avoid paying excessive amounts of money for enforcement activities. This program is used in places where regular oil, heavy oil, crude bitumen, and natural gas are processed. Designed for operators who are listed on Petrinex as the “operator of record” and for facilities that report volumetric activity and are also subject to AER measurement and reporting regulations.
In 2010, the AER developed EPAP and later required producers to begin conducting self-evaluations and reporting the results. Similarly, the Ministry of Energy and Resources (MER) in Saskatchewan decided to implement the same program.
Implementation of the Enhanced Production Audit Program
For small and medium-sized companies, the EPAP provider typically conducts an annual audit with a declaration and remediation recommendations.
Usually, remediation recommendations are forgotten after the declaration has been signed and submitted, and the next year, when the EPAP audit comes around again, all the previous issues will still be there. This problem occurs very often, and it’s usually not taken care of. By using Intricate’s low-cost, high-value solution, EPAP owners and their management can avoid having unpleasant talks and annual speculations about the upcoming year’s results
This solution strengthens the company’s interaction with EPAP quarterly and involves a team evaluating a company’s controls. An auditor will request and receive control data and calculate mitigating levels. This approach will allow the determination and prioritization of goals to be carried out simultaneously. Everyone involved will have a clearer picture of their roles and responsibilities, and the company’s EPAP program will benefit from the added value of control performers customizing and taking responsibility for their areas.
When these pain points and ways to fix them have been found, they will be talked about at the next quarter’s meetings to figure out how to evaluate the results.
Benefits of the Enhanced Production Audit Program:
Any business, no matter how big or small; can only succeed by adopting efficient and effective ways to conduct business. Implementing a more practical strategy within the EPAP program would not only meet the government’s requirements but also provide more tangible results for the company.
Intricate Group has been a part of many reviews of the Enhanced Production Audit Program all over Alberta.
Thanks to this, we have a clear understanding that the requirements for a company vary greatly depending on its size, resources, business processes, and current level of measurement compliance. What might be necessary or required for a large producer is often not needed for a smaller producer.
Intricate provides a deep understanding of EPAP and its corresponding requirements. Our team is committed to establishing EPAP implementation and consulting sustainably and cost-effectively to guarantee:
- Effective annual declarations
- Controls-based testing
- Remediation identification
- Continuous improvement opportunities
- EPAP compliance with both the AER (Alberta Energy Regulator) Directive 076 and ER (Saskatchewan Energy and Resources) PNG017.
If you need assistance with the upcoming EPAP declaration, contact Intricate today.