The Texas Railroad Commission has announced the 13 members of its newly established task force to stop escalating petroleum thefts in the state.
Energy companies have sounded the alarm about disappearing equipment, materials such as copper and even tanker trucks of oil and entire pumpjacks.
The State Taskforce on Petroleum Theft, or STOPTHEFT, was created by Senate Bill 494 during the 89th Legislature to study and make recommendations on preventing such theft plaguing the energy industry.
Railroad Commissioner Christi Craddick said in a statement that oilfield theft has become increasingly organized and sophisticated, costing Texans millions of dollars and threatening the integrity of the state’s energy sector.
“The STOPTHEFT Task Force brings together law enforcement, industry leaders, and local officials to coordinate a comprehensive strategy to stop these crimes before they happen,” Craddick said. “Protecting Texas energy means protecting Texas jobs, communities and taxpayers — and this task force is a critical step in that effort.”
Gov. Greg Abbott signed the legislation into law in June, saying it and other recently passed legislation, like the Beacon Budget Appropriation, is key for protecting Texas’ oil and gas industry and promoting economic growth across West Texas.
“Today is a defining moment for the Permian Basin, the future of this region, and the future of Texas,” Abbott said at the signing. “We are bringing the full weight of the law to crack down on oil theft in the Permian Basin to protect the critical role energy development plays in fueling our economy.”
Of 80 oil and gas executives surveyed in September, 41% said their operations were impacted by theft in the oil field in the past year, according to a report from the Federal Reserve of Dallas.
The impacted executives mostly said the impacts on their firm’s operations were “low.”
They were also asked what items were stolen. The most selected response was crude oil (61%), piping, valves and wiring (58%) and equipment (39%).
Permian Basin Petroleum Association President Ben Shepperd told the Odessa American that thieves are targeting a variety of valuables such as copper, an entire pumpjack and full tanker truck loads of produced oil.
Shepperd described the thefts as organized crime.
“These illegal activities require organization and communication before, during and after the commission of the crime by multiple involved parties,” he said. “When it comes to oil, this type of theft also requires the knowledge of a willing end-buyer who doesn’t question the origins of the oil.”
The task force, which was selected from a pool of applicants, will review product theft laws and regulations, analyze the economic impact of the thefts and make recommendations on law enforcement training.
The task force will prepare and submit a report every other year to Abbott and state lawmakers.
The group’s first meeting will be later this month.
Railroad Commission Chairman Jim Wright will chair the task force, which will be advised by Bill Keffer of Texas Tech University and Cole Harrison of Fiesta Energy.
This reporting is part of the Future of North Texas, a community-funded journalism initiative supported by the Commit Partnership, Communities Foundation of Texas, The Dallas Foundation, the Dallas Mavericks, the Dallas Regional Chamber, Deedie Rose, Lisa and Charles Siegel, the McCune-Losinger Family Fund, The Meadows Foundation, the Perot Foundation, the United Way of Metropolitan Dallas and the University of Texas at Dallas. The News retains full editorial control of this coverage.