Oklahoma Senate Bill SB18

Oklahoma 2024 Regular Session

• Introduced: 2/6/23
• Refer: 2/7/23
• Report Pass: 2/16/23
• Engrossed: 3/7/23
• Refer: 3/29/23
• Report Pass: 4/5/23
• Enrolled: 4/29/24
• Passed: 5/1/24

Caption

Oil and Gas Produced Water and Waste Recycling and Reuse Act; modifying definition; excluding certain persons from liability. Effective date.

Impact

This legislation significantly impacts state laws regarding oil and gas operations, particularly in waste management. It provides clearer guidelines that may enhance operational efficiencies for oil and gas companies by facilitating the reuse of produced water and reducing the overall liability concerning the handling of this substance. By removing certain liabilities for parties involved in the recycling process, the bill aims to incentivize the safe management of produced water while balancing operational needs with environmental concerns.

Summary

Senate Bill 18, known as the Oil and Gas Produced Water and Waste Recycling and Reuse Act, aims to address the treatment, recycling, and reuse of produced water in the oil and gas industry. It revises existing laws to clarify definitions and responsibilities regarding the handling of produced water and waste. The bill designates that the ownership and control of such water and waste shall lie with operators and non-operators involved in oil and gas production, allowing them to process, recycle, or dispose of it under specific regulations established by the Oklahoma Corporation Commission. This move is intended to promote beneficial uses of the produced water while ensuring safe disposal methods.

Sentiment

General sentiment around SB 18 appears to be positive among industry stakeholders who support the need for methodical recycling of produced water, viewing it as a necessary step towards sustainable practices in oil and gas extraction. However, environmental advocates express concern about potential overreach, particularly around the implications of reducing liability for certain actors in the recycling process. The debate surrounding the bill highlights a tension between promoting economic interests in oil and gas and maintaining stringent environmental protections.

Contention

Notable points of contention include concerns regarding public health and environmental safety. Critics argue the amendments might lead to lax practices in managing produced water, especially regarding contamination risks from improper recycling methods. Proponents, on the other hand, argue that the enhanced regulatory clarity and reduced liability will encourage more innovative recycling technologies and practices, ultimately leading to safer and more efficient management of produced water in Oklahoma's oil and gas industry.