The SEC has denied the American Petroleum Institute’s request to stay a rule to implement Section 1504 of Dodd-Frank, which is already imposing massive compliance costs and competitive harm on US oil and gas companies.
‘The oil and natural gas industry strongly supports payment transparency,’ said API Director of Federal Relations Justin Spickard. ‘We’ve been working hard to increase transparency for a decade, but this rule could interfere with ongoing efforts by making US firms less competitive against state owned firms in China and Russia that have no interest in transparency.
‘The rule as written would impose enormous costs on US firms and put them at a competitive disadvantage against government owned oil giants not subject to the rule,’ Spickard said. ‘The SEC can achieve its goal of transparency, but it chose a path that will do so in a way that compromises proprietary information of US firms. Not only will the rule hurt the millions of Americans who own shares in oil and natural gas companies, it will also cost jobs and damage American’s energy security by making it more difficult for US firms to gain access to resources abroad.’
Adapted from press release by Claira Lloyd
Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/14112012/sec_request_denied_123/