PRIME-Time For PRIME
TransGas
Saskatchewan Oil and Associated Gas Workshop
April 18, 2012
Jeff Ritter, Director, PRIME
www.er.gov.sk.ca
Agenda
• PRIME 101
– What is PRIME
– Why PRIME is needed
– What are the benefits of PRIME to industry
• Transition has begun
– Petroleum Registry
– New billing modules
• What’s next for PRIME
PRIME 101 – What is PRIME?
Process Renewal and Infrastructure
Management Enhancement Project
PRIME 101 – Customer focused approach
• PRIME’s objectives:
– Enhance Saskatchewan’s reputation as a great place to do business
– Streamlined, efficient and accurate processes and systems
– Business process changes have to make sense to ministry and to
industry
– Prepare industry for changes PRIME will introduce
• Industry consultation is a key PRIME project
• Key industry benefits include:
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Self-service
Accurate and timely information
Reduced turnaround times
Alignment of key business processes with other jurisdictions
Petroleum Registry now live
• The Petroleum Registry became available to industry on
April 2 for Saskatchewan data
– Companies can enter oil and gas infrastructure, volumetric,
valuation and royalty-related information online
• Saskatchewan is a full and equal partner in the Registry
• Related legislation and regulations came into force on
April 1
• Thank you to industry for its efforts to prepare operations
for Registry implementation
Benefits of the Registry for Industry
• Standardization of reporting between oil and gas jurisdictions
• Streamline administrative processes
– Single, secure, web-based source
• Access to timely and accurate information
• Facilitates commercial activities:
– Partner-to-partner reporting
– Financial analytics
– Compliance assurance
– Production accounting
• Validation tools
– Reduced errors, fewer amendments and re-work
• Government, regulatory and industry partnership
New billing modules implemented
• ER will calculate and invoice oil and gas crown royalties and freehold
production taxes based on information reported in Registry
• Non-Compliance Penalties Module
– Assessed based on missing data and errors identified by Registry sweeps
• Provisional Royalties Module
– New process that assesses a Provisional Royalty based on the imbalance
volume at a facility level
– Once balanced, facility operators receives a credit and appropriate royalty
tax payer will be billed
• Modules will be part of the ministry’s Integrated Resource Information
System (IRIS)
– The system PRIME is building
Benefits of billing modules for industry
• Move from paper to e-filing, e-billing and e-payment
– Invoices will be delivered through the Registry for:
• Royalties and taxes on oil and gas production
• Provisional royalties on volume imbalances and gas
metering differences associated with facility level reporting
• Non-compliance fees based on missing data and errors in
Registry reporting
– Electronic payment options
• Industry will no longer be required to provide estimate
payments
How the Registry and billing system
streamline reporting
Today:
Tomorrow:
Replaces:
Petroleum Statistics Reporting Forms
• Facility Infrastructure
ER-705
• ER-63 and ER-705
• ER-61, ER-61S, ER-61U, ER-61R and
ER-386
• ER-18 and ER-219
• ER-283, ER-256, ER-256A, ER-399
and ER-701
• ER-704
• ER-700
• Well Infrastructure
ER-63
•Volumetrics
ER-18, ER-61, ER-219, ER-256,
ER-256A, ER-283, ER-399 and
Cleaning Plants and Oil
Pipelines
• Pipeline Splits
ER-61 (partially)
•Waste Plants
ER-700
•Royalty/Tax Invoicing through
Registry
EM-687
•Oil Valuation and NGL
Valuation (gas plants)
ER-61, ER-61S, ER-61U, ER61R, ER-386 and ER-701
•Natural Gas Valuation (raw gas)
Raw gas reporting on ER-704
• Royalty/Tax Payer
EM-689
Revenue Operations Forms
• EM-687
• EM-688
• EM-689
• EM-720
Where PRIME is today
• Registry Saskatchewan Inclusion Project – Implemented
• Revenue Management and Billing Project
– Release 1 implemented
– Work continues on Release 2
• Monitoring and Analytics Project – Ongoing
• Conversion and Legacy Project – Ongoing
• Central Operations Repository (COR) Project – Implemented
• XDE Project – Implemented
• Regulatory Modernization Project – Ongoing
• Industry Consultation Project- Ongoing
What’s next for PRIME
• Well and Facility Infrastructure
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Kicks-off June 2012
Will address well and facility business processes
Replace the current Well Information System (WIS)
Will be another IRIS module
Need help?
• Registry Service Desk (Registry use)
– 1-800-992-1144
– E-mail: [email protected]
– Website: www.petroleumregistry.gov.ab.ca
• Saskatchewan Energy and Resources Support
(oil and gas regulations)
– 1-855-219-9373 E-mail: [email protected]
– Website: www.er.gov.sk.ca
Thanks. Questions?
Jeff Ritter, Director, PRIME
[email protected]
306-787-0999