21st Century Compliance — Paper is Not Enough

Executive Summary

 
THE 2010 SAN BRUNO INCIDENT DEMONSTRATED THE EXCEPTIONAL CRIMINAL AND CIVIL LIABILITIES THAT UTILITIES CAN FACE, SHOULD COMPLIANCE OPERATIONS FAIL. THE EVOLVING LESSON OF THE DISASTER IS THAT FIELD ACTIVITY IS NOT ENOUGH TO SATISFY PUBLIC SERVICE COMMISSIONS — OPERATORS MUST BRING BACK OBJECTIVE EVIDENCE OF SUCCESSFUL COMPLIANCE. IN AN ERA OF NEW STANDARDS NATURAL GAS OPERATIONS, EXECUTIVES SHOULD ASK, “EVEN IF WE ARE IN COMPLIANCE, CAN WE PROVE IT?”
 
BY CAPTURING EVERY ACTION IN THE FIELD, AYAWORKS TECHNOLOGY AND TOOLS PROVIDE THE NEW LEVEL OF RISK MANAGEMENT NEEDED, AND EXPECTED, IN A POST-SAN BRUNO WORLD.

 

San Bruno Redefines Corporate Responsibility and Risk
The September 2010, San Bruno incident elevated the criticality of compliance beyond any event in American energy regulatory history. Pacific Gas & Electric (PG&E) was punished: fines, remediation costs, loss of market value, and ongoing lawsuits will cost the company over $5 billion by decade’s end. Also among the punished was the California Public Utilities Commission (CPUC). Public, press, municipal, and congressional critics savaged the Commission for its perceived “cozy” relationship with PG&E.

Stung by criticism, the CPUC and commissions around the US reacted, by:

  • Becoming more focused on standard compliance activities.
  • Elevating special compliance and risk issues.
  • Stating that gas pipeline operators unable to prove compliance will face
    severe sanctions.

Beyond the Commissions, San Bruno demonstrated that the courts:

  • Will permit criminal charges to be filed in cases of incomplete compliance.
    Twelve felony charges were filed against PG&E in April, 2014.
  • Have no issues with follow-on civil liabilities that may cost PG&E billions more than already incurred.

 
Utilities and Pipeline Operators React — But Are They Moving In Right Direction?
No. Despite significant investment in compliance operations, many companies can only demonstrate activity, rather than evidence. The difference is critical. Most compliance departments can show that a field team visited a site on a certain date — that is activity.

What most cannot demonstrate is:

  • Was the correct location visited?
  • Was the correct pipeline walked, or the correct asset inspected?
  • Was the pipeline or asset inspected to internal standards?
  • When did the inspection occur, and by whom?
  • What was the condition of the asset in question?
  • Was followup work ordered, if a problem was found?

 
Having the answers to these questions is evidence.
We all know the difficulties of ensuring accurate results. Field techs wander off walk lines. Pipelines and assets can sometimes be inaccessible. What is the best way to track and follow up on such “No Access” events? Paperwork arrives at the compliance office late or incomplete. No single list of missed compliance tasks exists. Is complete compliance in the San Bruno era an impossible goal?
 
Not an Impossible Dream — the Complete Results Technology Exists from AyaWorks
AyaWorks technology meets the challenge of immediate, visible, verifiable results. Our AyaBiz suite addresses both the field and office challenges of managing and reporting compliance with indisputable evidence:

  • Mobile GPS-based workflows and tracking systems tied to your GIS system. No asset goes uninspected. Missed walks are caught, and deferred inspections or work orders are captured and relayed from the field. Every event is time/date and geo-coded.
  • Up-to-date results and evidence is available in your compliance office. There are no questions as to which inspections are complete — with complete evidence backup – and which are still outstanding.

 
SETTING ASIDE THE OBVIOUS PRODUCTIVITY BENEFITS, HAVING EVIDENCE OF ALL COMPLIANCE EFFORTS IS PRICELESS
 

Begin the Next Generation of Corporate Risk Management Today
For as little as $15,000, AyaWorks will work with your compliance managers to develop a 90 day test of our system. Your workflows, your GIS, your team. Our technology. See if AyaWorks can convert your company from one that tracks compliance activity to one that captures evidence of compliance.
 
The Next Step
The AyaWorks team will be happy to:

  • Demonstrate our inspection and compliance solutions for leak survey, maintenance work management, cathodic protection, as-built management, ROW management and inline inspections.
  • Share our experiences regarding handheld workflow, data management, reporting, and evidence-based compliance.

Download the ’21st Century Compliance — Paper is Not Enough’ PDF

 

For more information, contact Susan Friedman at 720.837.9500
 
Start a conversation with us today to move your company forward.