Louisiana House Bill HB545

Louisiana 2019 Regular Session

• Introduced: 3/29/19
• Refer: 3/29/19
• Refer: 4/8/19
• Report Pass: 4/24/19
• Engrossed: 5/2/19
• Refer: 5/6/19
• Report Pass: 5/21/19
• Enrolled: 5/30/19
• Chaptered: 6/11/19
• Passed: 6/11/19

Caption

Provides for the disposal of produced waters

Impact

The bill's enactment will modify the existing legal framework governing the management of produced waters in Louisiana. By specifically allowing for the injection of saltwater without the unitization requirement, HB 545 targets efficiency in waste management practices in the drilling sector. This can potentially facilitate increased oil and gas production by making it easier for operators to manage the byproducts of these operations. However, the requirement for consent from adjacent operators introduces a level of community cooperation that aims to mitigate potential environmental and operational conflicts.

Summary

House Bill 545, sponsored by Representative Jim Morris, addresses the disposal of produced waters, particularly focusing on regulations surrounding the disposal of saltwater from oil and gas operations. It specifically authorizes owners, producers, or operators in the Caddo Pine Island Field in Caddo Parish to inject produced saltwaters into the Nacatoch and Blossom formations. This legislation is positioned as a measure to streamline the disposal process by allowing for the injection without needing unitization of the entire reservoir, contingent upon obtaining consent from neighboring owners and operators within a specified radius.

Sentiment

The sentiment around HB 545 is generally positive among many stakeholders in the oil and gas industry, who view it as a beneficial adjustment to existing regulations that can promote operational efficiency and reduce costs. However, it has not been without its critics, who express concerns over environmental impacts and the adequacy of consent measures. The balance between facilitating industry growth while safeguarding environmental interests represents a significant aspect of the ongoing discourse surrounding this bill.

Contention

Noteworthy points of contention involve the environmental implications of expanded saltwater disposal methods and the level of oversight required to protect surrounding land and water resources. Critics might argue that while the bill aims to enhance operational effectiveness, it might inadvertently pave the way for potential ecological risks associated with the improper disposal of produced waters. This raises questions regarding regulatory oversight and the adequacy of community consent mechanisms to ensure responsible stewardship of natural resources.