Katy Hassan's Code Of Ethics Case Study

Team Response: Recommendation to Katy

Eden Resources has been negligent regarding the routine maintenance that is required at their sour gas processing plant in Calgary. Katy Hassan, a Professional Engineer (“P.Eng.”), certified by The Association of Professional Engineers and Geoscientists of Alberta (“APEGA”) and an employee at Eden Resources, is aware of management’s failure to address the problem. As a P.Eng., Katy is faced with an ethical dilemma and in providing a solution, she must consider the interests of all stakeholders involved while simultaneously, adhering to her professional code of ethics. Her Professional Engineering designation is at stake in this situation as she is challenged to incorporate the ethics it represents in

Her code of ethics under the Guideline for Ethical Practice 4.1 (the “Code”), requires her to “hold paramount the health, safety, and welfare of the public, and have regard for the environment” [3]. To do this, under 4.1.2 of the Code, Katy must first report her issues regarding the lack of routine maintenance and safety in the plant “with those professionals who are responsible” [3], in this case, her manager. She exercises her “professional leadership” under 4.1.3 of the Code, by recognizing her “legal obligation to protect the public interest” [3]. In addition, under section 4.1.2, Katy also has an obligation to report her concerns regarding Eden Resources’ lack of routine maintenance to the regulatory authorities who oversee the sour gas processing industry, the Energy Resources Conservation Board, “ERCB” [3]. As a stakeholder whose job is to enforce the rules within the oil and gas industry, the ERCB is obligated to protect all stakeholders at risk regarding Eden Resources’ lack of safety protocol [1]. This should start with the ERCB providing an open forum for the community environmental and safety organizations to attend to voice their complaints and hear first-hand how the ERCB will address the situation. It is common practice that “100% of complaints are investigated, and upon request, field staff conduct follow-up visits with complainants to

However, whether Eden Resources has the financial means to return the plant to safety, it would require an in-depth cost-benefit analysis before this conclusion could be made. Katy should enlist the support of Eden Resources’ accounting department to perform this financial analysis as an important element in determining the future of Eden. Setting precedent for Eden Resources’ case is the actual story of Lexin Resources, a case first reported in 2016 of a sour gas processing facility in Alberta that much like Eden Resources, due to financial constraint, had compromised the safety of their employees and the surrounding community [5] by ignoring the importance of routine maintenance. It was a professional engineer, tipped off by a Lexin employee and abiding by his code of ethics, who exposed the crisis to the provincial regulator, resulting in a plant shut-down and eventual financial receivership for the company. As difficult as it was for the Lexin P.Eng. to report the inadequacies at the plant, Katy, as a stakeholder herself, must do the same even though she compromises her own financial well-being, that of her colleagues, and the financial health of the surrounding community if Eden Resources’ sour gas operations are shut down. Jobs