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RESOLUTION 17.051 Urging the Congress of the United States to Establish a Process for Delegating Primacy to the States for the Regulation of Oil and Gas Operations on Federal Public Lands
RESOLUTION 17.101 In Support of Cooperative Federalism Initiative
RESOLUTION 17.102 Clarifying Issues Related To The Transitioning Of Class II Carbon Dioxide Enhanced Oil Or Gas Recovery Project To A Class VI Geologic Storage Project
RESOLUTION 17.103 Prioritizing Construction of the Integrated Alaska Gasline and LNG Project
IOGCC Resolution Annual Business Meeting Oklahoma City, Oklahoma
Urging the Congress of the United States to Establish a Process for Delegating Primacy to the States for the Regulation of Oil and Gas Operations on Federal Public Lands
WHEREAS, the member states of the Interstate Oil and Gas Compact Commission have endorsed and support the States First Initiative established by IOGCC in 2013
WHEREAS, States have historically demonstrated the ability to efficiently and effectively regulate oil and gas operations within their respective borders,
WHEREAS, State regulatory processes have proven successful in ensuring responsible, economic, and environmentally protective development of oil and gas resources,
WHEREAS, State oil and gas regulatory agencies have the local and regional knowledge and experience to make scientifically sound decisions to promote economic recovery of oil and gas while protecting the environment,
WHEREAS, examples of effective federal primacy delegation from federal government to the states exist both in the U.S. Department of Interior and other federal organizations,
WHEREAS, established examples of federal primacy delegation allow the opportunity for each state to elect whether to obtain such primacy delegation from the overseeing federal authority, and
WHEREAS, delegation of primacy to the states for regulation of oil and gas operations would allow the BLM to devote its administrative resources to other necessary resource management functions such as mineral leasing and associated analysis,
NOW, THEREFORE, BE IT RESOLVED, the IOGCC urges Congress to establish by legislative action the appropriate mechanism to allow federal primacy delegation to the States for the regulation of oil and gas operations on federal public land within each of the states.
IOGCC Resolution Annual Conference Pittsburgh, Pennsylvania
In Support of a Cooperative Federalism Initiative
WHEREAS, the Interstate Oil and Gas Compact Commission (IOGCC) represents the governors of thirty-one oil and gas producing States; and
WHEREAS, States have been the principal regulatory authority for domestic onshore oil and natural gas production for more than 80 years; and
WHEREAS, numerous Federal agencies are engaged in establishing and adopting regulatory standards dealing with public health and safety and environmental issues with regard to the oil and natural gas industry; and
WHEREAS, the States recognize the importance of involving and coordinating efforts with those federal agencies engaged in oil and natural gas regulation to limit regulatory duplication, streamline federal regulatory mandates and, where appropriate, transfer those regulatory authorities to the States; and
WHEREAS, the Federal government recognizes the key leadership role of States in continuous regulatory improvement of the oil and natural gas programs; and
WHEREAS, the inherent flexibility and efficiency of State programs offer the opportunity to better manage oil and gas resources development in cooperation with federal agencies; and
WHEREAS, the appropriate funding support from the Federal government, the States could undertake a more cooperative role with Federal agencies in administering those federal programs not transferred to the States;
NOW THEREFORE BE IT RESOLVED that member states of the IOGCC agree to pursue a program of cooperative federalism to work closely with agencies of the Federal Government, including the U.S. Environmental Protection Agency, the Department of Energy, the Department of Interior and others to pursue regulatory improvement and innovation; and
BE IT FURTHER RESOLVED that these efforts concentrate on management of public lands, environmental protection, increasing technical capacity for state regulators, resource conservation and workforce development; and
BE IT FURTHER RESOLVED that the IOGCC pursues relationships within Congress to further efforts to centralize regulatory responsibilities within State government for oil and gas exploration and production operations; and
BE IT FURTHER RESOLVED that the IOGCC appoint teams of leaders interested in pursuing a path of cooperative federalism with the ultimate, equally important goals of improved environmental protection and maximized oil and natural gas recovery.
IOGCC Resolution Annual Conference Pittsburgh, Pennsylvania
Clarifying Issues Related To The Transitioning Of Class II Carbon Dioxide Enhanced Oil Or Gas Recovery Project To A Class VI Geologic Storage Project
WHEREAS, the business of carbon capture, utilization and storage (CCUS) has been slow to advance, the United States Environmental Protection Agency (USEPA) is to be commended for addressing one of the key obstacles, in their April 23, 2015 clarification Memorandum to Regional Water Division Directors, “Key Principles in EPA’s Underground Injection Control Program Class VI Rules Related to Transition of Class II Enhanced Oil or Gas Recovery Wells to Class VI” (the Memorandum); and
WHEREAS, the transition discussed in the Memorandum provides some clarification, and proposes “the best implementation approach is for states to administer both the Class II and the Class VI UIC program” and further “encourages states to apply for primacy for all well classes, including Class VI”; at the same time USEPA has failed to act in a timely manner to approve the Underground Injection Control (UIC) Class VI Primacy Application from the Great State of North Dakota, submitted on June 21, 2013; and
WHEREAS, the states contend that the regulatory tools of the Class II UIC program do in fact properly manage the risk throughout the life of an enhanced oil or gas recovery (EOR) project, and the states agree with USEPA that the Class II program director (in most cases a state official) will have the relevant data regarding storage, risk, commerciality, and project life; and
WHEREAS, the states desire to remove the regulatory uncertainty created by the potential of a forced transition from Class II UIC to Class VI UIC and any other regulatory barriers, and to replace these barriers with incentives to encourage both the carbon dioxide (CO2) capture and the CO2 EOR industries to work together to advance carbon capture technology; and
WHEREAS, CO2 is a valuable commodity when utilized to enhance recovery of oil, gas, and other mineral resources; and current research indicates that great volumes of CO2 can be sequestered at the same time it is being used for EOR purposes; and in many states CO2 is currently being injected in large quantities for purposes of EOR; and
WHEREAS, the injection of CO2 for EOR generates significant revenue which can be utilized to facilitate capture of CO2; and
WHEREAS, USEPA has not acknowledged that a transition in UIC regulatory authority and administration creates legal and regulatory uncertainty as to impacts on existing state mineral law, including but not limited to, states rights, pore space ownership, private property rights, mineral rights, existing and future unitization agreements.
NOW, THEREFORE, BE IT RESOLVED, that the Interstate Oil and Gas Compact Commission requests the USEPA to ensure and confirm that states have the right to administer injection of CO2 for EOR under Class II UIC; and that the states and owner/operators have the right to regulatory certainty that injection of CO2 for EOR is managed as Class II UIC throughout the commercial life of each project; and that the Class II UIC program director has the right to determine if and when transition from Class II UIC to Class VI UIC is required to address risk.
BE IT FURTHER RESOLVED, that the USEPA acknowledge that such regulatory certainty offers great promise in advancing CCUS; by avoiding legal uncertainty regarding treatment of CO2 as a commodity for EOR as opposed to a waste for geologic storage.
IOGCC Resolution Special Meeting of the Compact
Prioritizing Construction of the Integrated Alaska Gasline and LNG Project
WHEREAS, Alaska contains world class supplies of proven, conventional natural gas and can materially contribute to the Nation’s energy dominance; and
WHEREAS, harnessing those supplies by constructing a gasline from Prudhoe Bay to Nikiski (Alaska Gasline) and LNG production facility at Nikiski constitutes a major infrastructure investment and jobs program for residents of Alaska; and
WHEREAS, the integrated Alaska Gasline and LNG project is a major construction project at US$40 Billion and can also foster the development of many additional resource projects in Alaska; and
WHEREAS, gas infrastructure investments on this scale could create 70,000 jobs in the region; and
WHEREAS, those investments could generate directly more than $8 to 10 billion in direct exports; and
NOW, THEREFORE, BE IT RESOLVED, that the Interstate Oil and Gas Compact Commission (IOGCC) supports the State of Alaska’s efforts for construction of the Alaska Gasline and LNG project and urges Federal agencies with jurisdiction over the project to expeditiously approve the initiative, as appropriate.