Relating to the regulation of certain pits used to store flowback or produced water from an oil or gas well on which a hydraulic fracturing treatment has been performed.
Impact
If enacted, HB 2277 would amend the Natural Resources Code in Texas, specifically enhancing regulations around water storage related to hydraulic fracturing. The legislation is expected to impact both energy companies and environmental oversight, particularly in how produced and flowback water is managed. By removing the lining requirement under certain conditions, it could lead to cost savings for companies but may also raise concerns among environmental advocates regarding the potential for water contamination if standards are not strictly enforced.
Summary
House Bill 2277 focuses on the regulation of pits used for storing flowback or produced water from hydraulic fracturing operations at oil and gas wells. The bill establishes criteria for these storage pits, stipulating that they are exempt from being lined if the water quality stored is equal to or better than that used in the hydraulic fracturing process. This provision aims to streamline regulatory requirements while ensuring certain safety and environmental standards are maintained.
Sentiment
The sentiment surrounding HB 2277 can be seen as mixed. Proponents, primarily from the oil and gas industry, argue that the bill's provisions support industry efficiency and reduce unnecessary regulatory burdens, which can encourage investment and operational flexibility. Conversely, environmental groups and certain lawmakers express reservations, fearing that the relaxed regulations may compromise environmental protections, particularly concerning groundwater sources and public health.
Contention
A notable point of contention surrounding HB 2277 is the balance between fostering energy production and protecting environmental resources. Critics of the bill argue that eliminating the lining requirement could lead to adverse environmental impacts, especially in areas where water quality is already a significant concern. Proponents counter that with adequate monitoring and quality assurance, the bill could serve both industry and environmental interests by promoting responsible hydraulic fracturing practices.
Relating to an exemption from the severance tax for gas produced from certain wells that is consumed near the well and would otherwise have been lawfully vented or flared.
Relating to an exemption from the severance tax for gas produced from certain wells that is consumed on site and would otherwise have been lawfully vented or flared.
Relating to the reduction and plugging of orphaned oil and gas wells; providing for the imposition of a fee and an exemption from certain taxes and fees.
Relating to the reduction and plugging of orphaned oil and gas wells; providing for the imposition of a fee and an exemption from certain taxes and fees.