Bill > HB170

This bill establishes a regulatory framework for carbon capture and storage (CCS) technologies, specifically focusing on the geologic sequestration of carbon dioxide (CO2) for long-term storage. It amends existing laws related to oil and gas, defining terms like "carbon dioxide well" and "carbon sequestration project," and introduces new sections to govern these activities. The bill grants the Division of Oil and Gas Resources Management sole authority over carbon sequestration within the state, except for federally regulated activities where the state lacks primacy, and allows for cooperative agreements with other states. It mandates the adoption of rules for permitting, monitoring, record-keeping, and reporting, including specific provisions for drainage system protection, state land use, closure plans, and the ability to obtain permits while consolidation applications are pending. The bill also outlines requirements for seismicity monitoring, project design to isolate oil and gas production, and the process for statutory consolidation of pore space ownership for storage facilities, requiring consent from 70% of pore space owners and a significant application fee. Furthermore, it establishes a certificate of project completion that releases the storage operator from regulatory requirements and transfers primary liability to the state, with exceptions for prior violations or significant issues. Finally, it creates funds to support post-closure care and administrative costs, and mandates fees for host communities, while also clarifying ownership and liability for injected CO2 and defining the conditions under which damages can be recovered from storage operators.