| 1 | 1 | | 89R4130 CMO-F |
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| 2 | 2 | | By: Eckhardt S.B. No. 1216 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to the authority of the Railroad Commission of Texas to |
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| 10 | 10 | | permit the release into the air of natural gas from a gas well. |
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| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 12 | | SECTION 1. Section 86.185, Natural Resources Code, is |
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| 13 | 13 | | amended to read as follows: |
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| 14 | 14 | | Sec. 86.185. PROHIBITION AGAINST GAS IN AIR. (a) No gas |
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| 15 | 15 | | from a gas well may be permitted to escape into the air after the |
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| 16 | 16 | | expiration of 10 days from the time the gas is encountered in the |
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| 17 | 17 | | gas well, or from the time of perforating the casing opposite a |
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| 18 | 18 | | gas-bearing zone if casing is set through the zone, whichever is |
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| 19 | 19 | | later, but the commission may permit the escape of gas into the air |
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| 20 | 20 | | for an additional time if: |
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| 21 | 21 | | (1) the operator of a well or other facility presents |
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| 22 | 22 | | information to show: |
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| 23 | 23 | | (A) the necessity for the escape; and |
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| 24 | 24 | | (B) the operator made a good faith and |
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| 25 | 25 | | commercially reasonable effort to capture and sell the gas, or |
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| 26 | 26 | | otherwise use the gas for another productive purpose, as defined by |
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| 27 | 27 | | commission rule; and |
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| 28 | 28 | | (2) [provided that] the amount of gas which is flared |
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| 29 | 29 | | under the [that] commission's authority is charged to the |
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| 30 | 30 | | operator's allowable production. |
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| 31 | 31 | | (b) For the purposes of Subsection (a): |
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| 32 | 32 | | (1) a [A] necessity includes [but is not limited to the |
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| 33 | 33 | | following situations]: |
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| 34 | 34 | | (A) [(1)] cleaning a well of sand or acid or both |
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| 35 | 35 | | following stimulation treatment of a well; and |
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| 36 | 36 | | (B) [(2)] repairing or modifying a gas-gathering |
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| 37 | 37 | | system; and |
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| 38 | 38 | | (2) an operator of a well or other facility is |
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| 39 | 39 | | considered to have made a good faith and commercially reasonable |
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| 40 | 40 | | effort if: |
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| 41 | 41 | | (A) the well is: |
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| 42 | 42 | | (i) connected to a pipeline on which |
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| 43 | 43 | | pipeline takeaway capacity is not expected to meet the demand for |
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| 44 | 44 | | gas produced from the well; or |
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| 45 | 45 | | (ii) not connected to a pipeline and |
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| 46 | 46 | | connection to a pipeline is technically or commercially unfeasible; |
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| 47 | 47 | | (B) the operator evaluated options for on-site |
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| 48 | 48 | | consumption of the gas and determined: |
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| 49 | 49 | | (i) on-site consumption of the gas is |
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| 50 | 50 | | technically or commercially unfeasible; or |
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| 51 | 51 | | (ii) commercial interest in on-site |
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| 52 | 52 | | consumption does not meet the demand for gas produced from the well; |
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| 53 | 53 | | and |
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| 54 | 54 | | (C) the operator evaluated options to use the gas |
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| 55 | 55 | | for another productive purpose and determined it would be |
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| 56 | 56 | | technically or commercially unfeasible. |
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| 57 | 57 | | (c) The commission shall adopt rules necessary to implement |
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| 58 | 58 | | this section. |
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| 59 | 59 | | SECTION 2. Not later than December 1, 2025, the Railroad |
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| 60 | 60 | | Commission of Texas shall adopt rules necessary to implement |
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| 61 | 61 | | Section 86.185, Natural Resources Code, as amended by this Act. |
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| 62 | 62 | | SECTION 3. This Act takes effect September 1, 2025. |
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