ARCHIVED - Update on the Modernization of the Act, Regulations, and Systems (MARS) - Volume 2, Issue 1

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IOGC Quarterly Newsletter

Reporting Period – April 1st to June 30th, 2012

The last three months have seen continued progress on the development of a firm policy base for the new regulations. As reported in earlier updates, the policy documents to be used by the regulatory drafters for the Drainage and Compensatory Royalty and Conservation modules have been completed and work is ongoing to have draft regulations prepared.

Work on the remaining modules is also on track for the end of calendar year 2012 deadline to complete regulatory drafting instructions. Drafting instructions for the Surface Tenure Module have been completed and work continues to finalize the Sub-Surface Tenure Module instructions.

Work on the remaining modules is ongoing and further updates will be provided as milestones are met:

Issues beyond our control have impacted our consultation activities with First Nations and the Joint Technical Committee (JTC) during this reporting period. It is anticipated that we will be able to re-engage the JTC during the next reporting period and resume the joint work we have started. It is very important to the success of this project that the policy basis for the proposed regulations is shared with First Nations and that they have every opportunity to provide input.

Interest from the oil and gas industry in consultations on the regulatory amendments has been increasing as we near some important milestones. While IOGC endeavors to accept all industry invitations to discuss the amendments, a formal consultation process is not planned to begin until we have completed the policy basis for all modules. This is important to ensure that when we engage industry we have a full picture of the range and scope of amendments, not just each individual piece. This consultation process will occur well before the pre-publication of the drafted regulations to ensure that industry input is discussed and considered before final decisions are made on the content of the amendments.

The Business Process Modeling of the "Design State" has been deferred in order for IOGC to gather material for JTC review and for the regulatory drafters. "Design State" process mapping is now projected to be complete by March 2013.

Informatics enhancements are proceeding on schedule. By the end of June, documents seeking Treasury Board spending authority were proceeding to internal departmental review by the Information Management Branch. The final document is projected to be submitted for Treasury Board Secretariat review towards the end of calendar year 2012 and should be ready for Treasury Board Ministers' consideration shortly thereafter.

IOGC has been conducting a study on the benefits of joining the Petroleum Registry of Alberta. The membership of this authoritative data source currently includes Alberta, Saskatchewan, Manitoba and Statistics Canada. The first part of the expected two-part study is projected to be complete by April 2013.

Along with managing the business and technical side of change, effectively dealing with the "human" side of change is a priority at IOGC. Efforts are currently underway to contract for management of change services throughout the expected life cycle of the MARS Project.

For further information, please contact IOGC at:

Indian Oil and Gas Canada
100 - 9911 Chiila Blvd.
Tsuu T'ina AB T2W 6H6
Phone: (403) 292-5625
Fax: (403) 292-5618

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