Prosecutor General’s Office submits oil theft prevention proposals to Govt
Firstly, using only automated oil metering. "Nowadays, in addition to automated metering, the Law allows using other ways. We propose to leave only automated metering units and approve the unified requirements for such devices. As a result, gauge tanks and measuring bars will not be used. Thus, it will make a barrier for oil thefts at wells", Suindikov noted.
They also suggest changing the Administrative Code in terms of stopping well operation in case of failure to install automated metering devices as prescribed.
Secondly, implementing advanced technologies for field protection. "It is proposed to implement modern electronic security systems with remote site observation. I.e. the systems performing online monitoring of people and machines traffic, making photo and video recording of the territory under protection and sending alarm messages", the first deputy prosecutor said.
Thirdly, standardizing determination and approval of oil quantities used for internal requirements as well as process losses. Determining an explicit calculation procedure and approving of specific calculations by competent authorities will minimize the conditions for oil shadowing.
In addition, the team of experts proposes to consider the advantages of establishing a special tax or other payment into the treasury for using oil as process losses or internal needs. This will motivate subsurface users to implement minimum loss production technologies.
Fourthly, improving the information tracking and monitoring system. Presently, this system of the Energy Ministry mainly consists of information obtained from the subsurface users. For proper accounting, analysis and monitoring of oil and oil products production and migration, it is proposed to integrate the information systems of all concerned agencies. This will make it possible to automatically track and compare oil travel data by using various sources.
Fifthly, implementing a special reporting procedure for oil transportation. Currently, oil transportation is accompanied by a minimum set of documents, although it is classified as strategic raw materials. Moreover, petrochemical products sales are subject to monitoring by tax authorities. It refers to gasoline, diesel and aviation fuels. All operations with the above products are shown in the tax base and confirmed by a purchaser and a seller. The team of experts proposes to use the same reporting procedure for oil as well. This will minimize illicit trafficking of oil.
Sixthly, monitoring of oil delivery trucks. It is proposed that oil transportation services can be rendered with a special permit only. For instance, oil can be ascribed to the dangerous cargo category. Also, it is proposed to bind oil truck owners to equip their vehicles with travel tracking and remote monitoring systems, the so-called GPS.
Seventhly, regulation of organizations' procedures for development and approval of oil product standards. The current standards of organizations also need to undergo the procedure of studying and approval by competent agencies. As an option, the authorities can cancel all the existing standards of organizations and implement the unified national standards.
"We forwarded the proposals regarding prevention of the causes and conditions for oil thefts to the Prosecutor General's Office. The Prosecutor General's Office supported and submitted them to the Government. We hope that the accountable ministries will study our proposals with due attention and will soon take the necessary measures for their implementation", Nurdaulet Suindikov said.