Alberta Upstream Petroleum Research Fund (AUPRF)

Resourceful

To provide an efficient and effective mechanism to coordinate, initiate, fund, complete and communicate on Environmental research needed by the industry and government regulators enabling a prosperous upstream oil and gas industry achieving socially and environmentally responsible recovery of Canada’s petroleum resources through effective, market-driven collaboration.

Industry Led

The Alberta Upstream Petroleum Research Fund (AUPRF) is an industry-sponsored fund supported by the Canadian Association of Petroleum Producers (CAPP) and the Explorers and Producers Association of Canada (EPAC). The AUPRF Fund is managed and administered through PTAC Petroleum Technology Alliance Canada.   PTAC is a neutral facilitator of multi-stakeholder industry research and technology development projects.

This fund supports applied, peer-reviewed research that increases knowledge, assists in decision-making, and develops solutions to industry environment, health and safety/social issues. The science supporting AUPRF projects is based on independent, peer-reviewed research performed by consultants and university and government scientists.  The reports arising from this research are thorough and objective. They identify required improvements as well as practical cost-effective solutions.

Unique Collaborative Platform Unprecedented

The long-term success of the oil and gas industry in Canada depends on the collective advancement of this environmental agenda between all stakeholders.  AUPRF research is not undertaken in isolation.  Industry funds are leveraged by government, institutional and other stakeholder support, often at the rate of four to five dollars for every industry dollar.   Through PTAC, industry works closely with all stakeholders to ensure projects focus on high-priority issues and coordinates research efforts with other organizations.    Industry and government work together in the early design of research projects to address environmental issues resulting in efficiency in financial and technical resources and buy-in and uptake of  results.

To view full Terms of Reference document – download here.

Each producer company who sits on an AUPRF committee gets one vote. The Alberta Energy Regulator (AER) and Alberta Environment and Parks (AEP) also each get one vote if they sit on a committee. One of the unique benefits of the AUPRF program is the engagement with regulators and government policy makers who provide support to the projects technically and then advocate internally for acceptance of results and revisions to directives/regulations based on the science to support decision making.

The AUPRF program has resulted in significant contributions in the areas of cost reduction, ease of operations, social license, and regulatory impact on risk influenced by science based choice, fast tracking development activities, avoiding unnecessary cost/adversarial hearings, and helping the regulator understand the environmental impact of hydrocarbon development.The AUPRF program has proven against the conventional wisdom of economics that there is a trade-off between social and economic performance. Business can indeed make profit while solving social and environmental problems.

Below is a snapshot of past performance and value creation estimates that have stemmed from the AUPRF Program in recent years:

• 300+ Projects launched to date
• 28 Best Management Practices to date
• Significant financial leveraging, averaging ~1:6
• Value creation from the AUPRF Program as determined by producer participants:
  • $15M – $35M in annual industry savings due to 3 recently implemented Soil and Groundwater projects alone (2015/16). These three projects had a research investment from AUPRF of only $765K combined.  
  • $5M per year savings from the Alberta Water Tool (2017), an application that provides all stakeholders with open access to detailed hydrology information for every stream, river and lake in west-central Alberta. 
  • With these four projects alone, industry has realized savings of a minimum of $20M in 2017.

As per direction from the CAPP Board of Governors, PTAC has facilitated the development of 28 practical field guides/best management practices (BMPs).   Ten of these field guides have been presented to industry at PTAC events/webinars and the remaining will be featured early 2018.  PTAC has also dedicated resources to support the uptake of these BMPs with subject matter expert support to junior producers.  The adoption of these learnings enables producers to assist in the ease of operations with a focus on cost-savings and efficiency.   We have also engaged new junior producers in learning how to adopt the field practices to recognize the savings.

2018 Air Policy Issues and Knowledge Gaps

2018 Ecological Policy Issues and Knowledge Gaps

2018 Reclamation and Remediation Policy Issues and Knowledge Gaps

2018 Water Policy Issues and Knowledge Gaps

2018 Well Abandonment Policy Issues and Knowledge Gaps

Air Research

Ecological Research

Reclamation and Remediation Research

Water Research

Well Abandonment Research 

Alberta is the largest oil and gas producer in Canada and has been seen as innovative and progressive with a robust environmental research program that is inclusive of both industry and government.   The tangible value of which has been demonstrated though regulation change, significant financial savings for industry, improved operating practices, and continuous improved environmental and social performance.  Industry and government have collectively agreed there is significant value in the Alberta Upstream Petroleum Research Fund (AUPRF) Program.

The Canadian Association of Petroleum Producers (CAPP) and the Explorers and Producers Association of Canada (EPAC) jointly request that the Alberta Energy Regulator’s (AER) administration fee process be used to annually collect the required funds to fund the AUPRF Program. The AER has agreed and includes an amount for this voluntary funding contribution in the oil and gas well administration fee invoices.   For more information, please click here

PTAC will utilize an open Call for Funding Applications and Request for Proposals process to solicit proposals to address the high priority policy issues/knowledge gaps as identified by industry with support from government and others. PTAC will also accept unsolicited proposals from innovators including Small and Medium Enterprises (SME) and researchers with ideas to address industry challenges.

AUPRF Management Committee

Air Research Planning Committee (ARPC)

Ecological Research Planning Committee (ERPC)

Methane Research Planning Committee (MRPC)

Remediation Reclamation Research Committee (RRRC)

Well Abandonment Research Initiative Committee (WARI)

Water Innovation Planning Committee (WIPC)

Methane emissions reductions continued to dominate the discourse among government, industry, and regulators in 2017. Mandated targets of reducing emissions by 45% (from 2012 levels) by 2025 has spurred industry to seek innovative solutions. PTAC has responded, bringing to bear our unique position as a trusted neutral-facilitator skilled at uniting diverse stakeholders in a common vision.  Through 22 years of collaborative technology development, PTAC’s consortia have developed numerous technologies that currently have the collective capacity, with full industry uptake, to reduce overall methane emissions by over 30%; this is significant progress in achieving the technology capacity to meet the 2025 targets.  PTAC also shifted its 2017 activities to address industry’s challenges in achieving emissions reduction targets, establishing new networks and launching 17 methane-related projects throughout the year.

Expanding upon the existing Methane Research Planning Committee, an AUPRF subcommittee focused on accelerating research and technology development projects to support timely regulatory development, PTAC has also established the Methane Emissions Reduction Network.  This network draws upon established PTAC committees and consortia to create an ideal platform which accelerates the commercialization of relevant, critical, and cost-effective methane-reduction technologies. The Methane Emissions Reduction Network will allow all stakeholders to freely access information related to methane initiatives and encourage and equip them to work together to align priorities, identify and address gaps, and avoid duplication.

PTAC: Nurturing Oil and Natural Gas Innovation