February 20, 2023
Shale Law Weekly Review—Week of February 20, 2023
State Regulation: RRC Updates Requirements for New Disposal Well Permits in the Permian Basin ⚡
On February 7, 2023, the Railroad Commission of Texas (RRC) published updated requirements for new disposal wells permits issued in the Permian Basin. According to the update, new disposal wells must be equipped with gauges for “bottomhole pressure monitoring” in order to be permitted. This applies to both deep and shallow disposal wells in the Permian Basin. The data collected daily from these gauges must be reported on a monthly basis to the RRC, including injection pressure, volume, and rate. This information will be made available to the public on the Bureau of Economic Geology’s (BEG) website.
State Regulation: Minnesota Governor Approves Bill Requiring 100 Percent Electric Utilities by 2040
On February 7, 2023, the Minnesota Governor signed into law a new bill that modifies the obligations of electric utilities and requirements for electric generation facilities. The bill includes many environmentally focused amendments, including a “carbon-free standard” with goals set at 5-year intervals from 2030-2040. By 2030, the bill calls for 80 percent of electricity for public utilities to be generated from “carbon-free energy technology.” By 2035, this requirement increases to 90 percent for all electric utilities. By 2040, 100 percent of electricity for all utilities in Minnesota must be generated from a carbon-free source.
International Development: European Parliament Adopts Standards to Achieve Zero-Emission Roads by 2035
On February 14, 2023, the European Parliament adopted proposed amendments to the regulatory standards for CO2 emissions from cars and vans to further its goal in achieving zero-emissions roads by 2035. The amendments apply specifically to new passenger cars and light commercial vehicles, two significant sources of CO2 emissions that the EU hopes to eliminate by 2050. This effort includes several short-term and long-term goals, including revised road infrastructure to better support electric and other renewable fuel vehicles, the construction of charging and fueling stations at more regular intervals along major highways, and other measures to ensure the gradual decline in emissions from cars and vans from now to 2050.
Oil & Gas Law & Policy Resources:
Sartain, Waiting Too Long to Sue For a Working Interest is a Loser (February 13, 2023)
Bloomberg, Oil Drops on US Plan to Sell More Crude From Strategic Reserve (February 14, 2023)
Bibikos, At the Well Weekly (v.2.10.2023), (February 15, 2023)
Akin Gump, The SEC Reminds Companies Not to Forget the ‘S’ in ESG: Activision Blizzard Reaches $35 Million Settlement over Disclosure Controls Related to Workplace Complaints and Violation of Whistleblower Protection Rule (February 15, 2023)
Sartain, An Asset is an “Asset” Whether or Not BOEM Consents (February 16, 2023)
McFarland, Van Dyke v. The Navigator Group – Double Fractions and the Presumed Grant Doctrine (February 17, 2023)
Follow us on Twitter @AgShaleLaw—Top #ShaleLaw HotLinks February 11– February 17, 2023:
Australian Government proposes more controls on LNG exports (Oil & Gas Journal)
Freeport LNG in US exports first cargo since June 2022 fire: vessel tracking (S&P Global)
Pakistan in bailout bid sharply raises natural gas taxes (PoliticoPro)
CANADA’S GAS INDUSTRY LAUNCHES SECURE ENERGY INITIATIVE (Natural Gas World)
States with fracking disclosure rules have higher water quality: study (The Hill)
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Penn State Farmland Energy Legal Podcast: Listen to the latest episode here.
FEDERAL ACTIONS—EXECUTIVE & LEGISLATIVE
U.S. DEPARTMENT OF ENERGY
Biden-Harris Administration Announces Historic Investments to Support America’s Energy and Industrial Communities (February 13, 2023)
Biden-Harris Administration Announces Funding for Zero-Emission Medium- and Heavy-Duty Vehicle Corridors, Expansion of EV Charging in Underserved Communities (February 15, 2023)
DOE Announces $50 Million for Tribal Clean Energy Projects (February 17, 2023)
U.S. ENVIRONMENTAL PROTECTION AGENCY
Biden-Harris Administration Reaffirms Scientific, Economic, and Legal Underpinnings of Limits on Toxic Air Pollution from Power Plants (February 17, 2023)
Biden-Harris Administration Announces $75 Million in Bipartisan Infrastructure Law Funding to Address Emerging Contaminants like PFAS in Drinking Water in Pennsylvania (February 14, 2023)
Statement from Regional Administrator Debra Shore on the East Palestine Train Derailment (February 14, 2023)
Biden-Harris Administration Announces $2 Billion in Bipartisan Infrastructure Law Funding to States and Territories to Address Emerging Contaminants like PFAS in Drinking Water (February 13, 2023)
FEDERAL EXECUTIVE AGENCIES (Federal Register February 11–February 17, 2023):
Environmental Protection Agency
88 FR 10253: Proposed Rule, Comments Close 3/23/23: “Air Plan Approval; Texas; Oil and Natural Gas Reasonably Available Control Technology in the Dallas-Fort Worth and Houston-Galveston-Brazoria Ozone Nonattainment Areas” (February 17, 2023)
Federal Energy Regulatory Commission
88 FR 9513: Notice: “Wyoming Interstate Company, LLC; Notice of Schedule for the Preparation of an Environmental Assessment for the Diamond Mountain Abandonment Project” (February 14, 2023)
88 FR 9336: Rule: “Air Plan Disapprovals; Interstate Transport of Air Pollution for the 2015 8-Hour Ozone National Ambient Air Quality Standards” (February 13, 2023)
Ocean Energy Management Bureau
88 FR 9749: Rule: “2023 Civil Penalties Inflation Adjustments for Oil, Gas, and Sulfur Operations in the Outer Continental Shelf” (February 15, 2023)
88 FR 9797: Proposed Rule, Comments Close 4/17/23: “Protection of Marine Archaeological Resources” (February 15, 2023)
Other Agencies
88 FR 10258: Proposed Rule, Comments Close 4/18/23: “Endangered and Threatened Wildlife and Plants; Establishment of a Nonessential Experimental Population of the Gray Wolf in Colorado” (February 17, 2023)
88 FR 9970: Rule: “Small Business Size Standards: Manufacturing and Industries With Employee-Based Size Standards in Other Sectors Except Wholesale Trade and Retail Trade” (February 15, 2023)
88 FR 9249: Notice: “Taking and Importing Marine Mammals; Taking Marine Mammals Incidental to Geophysical Surveys Related to Oil and Gas Activities in the Gulf of Mexico” (February 13, 2023)
88 FR 9256: Notice: “Taking and Importing Marine Mammals; Taking Marine Mammals Incidental to Geophysical Surveys Related to Oil and Gas Activities in the Gulf of Mexico” (February 13, 2023)
U.S. HOUSE ENERGY AND COMMERCE COMMITTEE
H.R.1051 “To require the Secretary of Energy to obtain the consent of affected State and local governments before making an expenditure from the Nuclear Waste Fund for a nuclear waste repository, and for other purposes.” Referred to the House Committee on Energy and Commerce. (February 14, 2023)
H.R.1023 “To repeal section 134 of the Clean Air Act, relating to the greenhouse gas reduction fund.” Referred to the House Committee on Energy and Commerce. (February 14, 2023)
H.R.995 “To direct the Secretary of Energy to conduct a study on the global status of the civilian nuclear energy industry, and for other purposes.” Referred to the Committee on Energy and Commerce, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. (February 14, 2023)
H.Res.124 “Expressing the sense of the House of Representatives that the United States should support the expansion of domestic nuclear energy and advanced nuclear technology as a viable source of power in order to promote United States nuclear energy leadership and global energy independence.” Referred to the Committee on Energy and Commerce, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned. (February 14, 2023)
U.S. SENATE ENERGY AND NATURAL RESOURCES COMMITTEE
S.515 “A bill to require the Secretary of Energy to conduct a study to determine the feasibility and effectiveness of establishing a national strategic propane reserve.” Read twice and referred to the Committee on Energy and Natural Resources. (February 16, 2023)
S.452 “A bill to require the Secretary of Energy to establish a Nuclear Fuel Security Program, expand the American Assured Fuel Supply Program, and submit a report on a civil nuclear credit program, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources. (February 15, 2023)
S.440 “A bill to designate certain land administered by the Bureau of Land Management and the Forest Service in the State of Oregon as wilderness and national recreation areas, to withdraw certain land located in Curry County and Josephine County, Oregon, from all forms of entry, appropriation, or disposal under the public land laws, location, entry, and patent under the mining laws, and operation under the mineral leasing and geothermal leasing laws, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources. (February 15, 2023)
S.438 “A bill to amend the Natural Gas Act to provide for expanded natural gas exports.” Read twice and referred to the Committee on Energy and Natural Resources. (February 15, 2023)
S.429 “A bill to amend the Infrastructure Investment and Jobs Act to require the Secretary of Energy to establish an abandoned wells research, development, and demonstration program, and for other purposes.” Read twice and referred to the Committee on Energy and Natural Resources. (February 15, 2023)
STATE ACTIONS—EXECUTIVE & LEGISLATIVE
PENNSYLVANIA DEPT. OF ENVIRONMENTAL PROTECTION PRESS RELEASES
PENNSYLVANIA EXECUTIVE AGENCIES (Pa. Bulletin Vol. 53, No. 7 February 18, 2023)
OFFICE OF THE GOVERNOR
53 Pa.B. 933: Executive Order: “Building Efficiency in the Commonwealth’s Permitting, Licensing and Certification Processes”
SUSQUEHANNA RIVER BASIN COMMISSION
53 Pa.B. 1042: Notice: “Projects Approved for Consumptive Uses of Water”
PENNSYLVANIA LEGISLATURE
SB 351 “An Act amending Title 75 (Vehicles) of the Pennsylvania Consolidated Statutes, in liquid fuels and fuels tax, providing for report to General Assembly.” Referred to TRANSPORTATION [Senate] (February 10, 2023)
Written by:
Kole Zellers, Research Assistant
Kendal Ashman, Research Assistant
Jackie Schweichler, Staff Attorney