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InducedSeismicityfromOilandGasWastewaterInjection
AComparisonofStateandFederalLawRegardingClassIIUndergroundInjectionControl(UIC)Wells
KathrynMutzandCodyPhillips
ColoradoCollaboratoryforInducedSeismicity,UniversityofColorado–Boulder
KathrynMutzisaresearcherwiththeColoradoCollaboratoryforInducedSeismicityattheUniversityofColorado–Boulder,DirectoroftheIntermountainOilandGasBMPProject,andprincipalofNaturalResources,LLC.SeetheCollaboratoryathttps://www.colorado.edu/research/induced-seismicity/SeetheBMPProjectathttp://www.oilandgasbmps.org/CodyPhillipsisalawstudentatUniversityofColorado–BoulderLawSchool.
TheLawAtlasInducedSeismicitydataset,whichisthebasisofthisdocument,isavailableonthePolicySurveillanceProgramwebsite.Seehttp://lawatlas.org/datasets/IS-oil-gas-wastewaterOrgotohttp://lawatlas.org/topics(chooseEnvironmentalHealth,then“InducedSeismicityfromOilandGasWastewaterInjection”)
InformationontheColoradoCollaboratoryforInducedSeismicityanditsproject:HazardsSEES:TheRiskLandscapeofEarthquakesInducedbyDeepWastewaterInjection,isavailableat:https://www.colorado.edu/research/induced-seismicity/
Acknowledgements
ThankstotheNationalScienceFoundation(NSF)asthismaterialisbaseduponworksupportedbytheNSFundergrantno.1520846totheColoradoCollaboratoryforInducedSeismicity.
ThankstothefacultyresearchersandgraduatestudentsoftheColoradoCollaboratoryforInducedSeismicitywhowelcomedalawschoolresearcherintotheirengineeringandsocialscienceworld.
ThankstotheNaturalResourcesLawCenter,nowtheGetches-WilkinsonCenter,attheUniversityofColoradoLawSchoolthatgavemyresearchandcommunityengagementprojectsahomeforalmost20years.
ThankstothestaffoftheCenterforPublicHealthLawResearchatTempleUniversity’sBeasleySchoolofLawandLegalScience,LLCfortheirencouragementandhelptohostourresearchintheirLawAtlasdatabaseandMonQcleplatform.
Thankstothecontractattorneys,lawstudentsandundergraduateinternswhohaveworkedonthisprojectoveritsfour-yearlifespan:TrevorAdkins,ShelbyAnderson,ShaulaEakins,KayleenGlaser,ValerieGooch,CharlesGoodson,ConnerKingsley,KyleShaby,KatherineStruthers,JodiWallace,BruceWalters,TaberWard,andMichelleWhite.SpecialthankstoMichaelMazottiwhostuckwiththeprojectlongaftertheenthusiasmofotherstudentswaned.
TableofContentsEXECUTIVESUMMARY....................................................................................................................................................1INTRODUCTION................................................................................................................................................................3REGULATINGFORINDUCEDSEISMICITY...................................................................................................................61.REGULATORYAUTHORITY(Q1-Q3)............................................................................................................................................72.WELLPERMITTINGANDSITING(Q4–Q5)................................................................................................................................11WellPermitting(Q4)....................................................................................................................................................................................11WellSiting(Q5)...............................................................................................................................................................................................14
3.WELLCONSTRUCTIONANDOPERATION(Q6–Q11)...............................................................................................................18CasingandCementing(Q6).......................................................................................................................................................................18MechanicalIntegrity(Q7)..........................................................................................................................................................................18FluidInjectionProcesses(Q8)..................................................................................................................................................................19Monitoring,RecordKeeping,andReporting(Q9–Q10)............................................................................................................23AdaptiveManagement(Q11)...................................................................................................................................................................30
4.PUBLICPARTICIPATION,FINANCIALASSURANCES,FEES,ANDLIABILITY(Q12-Q16).........................................................35PublicParticipation(Q12).........................................................................................................................................................................35FinancialAssurances(Q13).......................................................................................................................................................................39Fees(Q14)...........................................................................................................................................................................................................42Liability(Q15–Q16).....................................................................................................................................................................................43
CONCLUSION....................................................................................................................................................................46APPENDICES.....................................................................................................................................................................48APPENDIXA:STATUTESANDREGULATIONSCITEDINTHELAWATLASDATASET.......................................................................48APPENDIXB:SUMMARYOFREGULATORYISSUESADDRESSEDINTHELAWATLASDATASET,QS1–16..................................58APPENDIXC:LAWATLASDATASETSTATISTICALREPORT:QSANDAS........................................................................................60APPENDIXD:LAWATLASDATASETSTANDARDREPORT:ANSWERS,SUPPORTINGCITATIONS,ANDCAUTIONFLAGS............60
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ExecutiveSummaryThisdocumentcomparesthelawsandregulationsofsevenstatesandthefederalgovernmenttocontrolthedisposalofoilandgaswastewaterintoClassIIUndergroundInjectionControl(UIC)wells.Thebasisofthiscomparisonisacompilationofapplicablestatutesandregulationsintoapubliclyavailable,on-line,free-accessdatasetonLawAtlas.org,hostedbythePolicySurveillanceProgramattheCenterforPublicHealthLawResearchatTempleUniversity’sBeasleySchoolofLaw.MostofthefederalandstatelawdisplayedintheLawAtlasdatasetandadditionalmaterialsgleanedfromstateagenciesweredesignedtoprotectundergroundsourcesofdrinkingwater(USDWs),althoughsomearespecifictocontrollinginducedseismicity.Thefocusofthedatasetandthiscomparisonistohighlightwhichjurisdictionshaveregulatorytoolstoaddressthehazardsandrisksofinducedseismicity.
Theregulatorytools,citedinanswering16LawAtlasquestions(Qs),address:
(1) RegulatoryAuthority(Q1-Q3)(2) WellPermittingandSiting(Q4-Q5)(3) WellConstructionandOperation(Q6-Q11)(4) PublicParticipation,FinancialAssurances,andLiability(Q12-16)
Mostofthelawdiscussedinthefirstthreesectionsaddressesthepotentialhazardsofinducedseismicity.Thelawdiscussedinthefourthandfinalsectionismoreapplicabletoamelioratingoratleastredirectingriskawayfromthepublicandinternalizingittotheoilandgasindustry.
(1)RegulatoryAuthority:Alljurisdictionssurveyedallowoilandgasdevelopmentstodisposeofwastewaterbyinjection(seeQ1).Sixofthesevenstatessurveyedhaveprimaryresponsibility(primacy)forregulatingundergrounddisposalofwastewater(seeQ2).Fourstateshaveregulationsspecifictocommercialdisposalwells.
(2)WellPermittingandSiting:Allofthejurisdictionsrequireoilandgasfluidinjectionwellstobepermittedandallrequiretheapplicanttosubmitinformationonsubsurfacefeatureswiththeirpermitapplication(seeQ4).Whilemultipleregulationsrequireapplicantstosubmitinformationduringthepermittingprocess,onlyafewregulatoryprovisionsexplicitlyprohibitorseverelyrestrictthesitingofawellbasedonspecificcriteria(seeQ5).SomeoftheserestrictionsarespecifictoprotectingwaterqualityofUSDWs;otherscouldbemoregenerallyapplicable.
(3)WellConstructionandOperations:Beyondestablishingsitingrestrictions,alljurisdictionswithprimacyforClassIIwellsregulatebyspecifyingwellconstructionrequirementsand/orrestrictingtheoperationofthewell.AlljurisdictionsrequirecasingandcementingofClassIIinjectionwells(seeQ6)andrequiremechanicalintegritytestingbothbeforeinjectionoperationsbeginandthroughoutthelifeoftheinjectionwell(seeQ7).Alljurisdictionsregulatethefluidinjectionprocess,includinginjectionpressure.Someregulatethevolumeorrateofinjection(seeQ8).Allofthejurisdictionsalsorequiremonitoring,recordkeeping,andreportingtoverifycompliancewithpermitrequirementsandidentifypotentialproblems(seeQ10),althoughonlyonestatehasspecificregulationsregardingoperatormonitoringforseismicity(seeQ9).All
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jurisdictionshaveauthoritytorequirecorrectiveactionundercertaincircumstances(seeQ11).Theseactionsincludemodifyingpermitsorshuttinginwells.
(4)PublicParticipation,FinancialAssurances,FeesandLiability:Althoughnoneofthejurisdictionssurveyedhavepublicnotice/comment/hearingregulatoryrequirementsspecifictoseismicevents,allofthemrequirepublicnoticeandopportunitiesforpublichearingsregardingClassIIwellpermitapplications.Publicparticipationopportunitiesare,however,morelimitedonceinjectionwellsareoperating(seeQ12).Alljurisdictionsrequiretheoperatortopostfinancialassurances,generallysuretybonds,forinjectionwells,althoughthepurposeandamountoftheseinstrumentsvaries(seeQ13).Thestatesalsochargevariouscombinationsofpermitprocessingfeesandannualoperating(licensure)fees(seeQ14)thatcanoffsetthecostsofregulation.Mostofthejurisdictionsdonotdirectlyaddressliabilityorburdenofproofregardingeitherthecauseofseismicityorfordamagescausedbyinducedseismicity(seeQ15).Onlytwoofthesevenstatesrequireoperatorstoholdliabilityinsurance(Q16).
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IntroductionHazardouswasteinjectionintodeepwellsattheRockyMountainArsenalnearDenver,COwasrecognizedasthecauseofearthquakesintheearly1960s,1butverylittleinducedseismicityhasbeenattributedtooilandgaswastewaterdisposaluntilrecently.2Inthelastdecade,however,disposalofoilandgasproductionwastewaterbyinjectionintodeepwellshasbeenimplicatedinhundredsofsmallearthquakesandseveral,largerdamagingearthquakesinseveralstates.3ThisdocumentisacomparisonofthelawsandregulationsavailabletostatesandthefederalgovernmenttocontrolthedisposalofoilandgaswastewaterintoClassIIUndergroundInjectionControl(UIC)wells.Thebasisofthiscomparisonisacompilationofapplicablestatutesandregulationsintoapubliclyavailable,on-line,free-accessdatasetonLawAtlas.org,hostedbythePolicySurveillanceProgramattheCenterforPublicHealthLawResearchatTempleUniversity’sBeasleySchoolofLaw.4
WastewaterdisposalbyinjectionwaslargelyunregulateduntilthepassageoftheSafeDrinkingWaterAct(SDWA)in1974.5WhiletheSDWAandmostofthestatelawthatcontrolsClassIIUICwellsisintendedtoprotectundergroundsourcesofdrinkingwater(USDWs)fromcontamination,6ourdatasetprovidesacross-sectionalcomparisonofthestateandfederallawsthatmightalsobeusedtomanageinducedseismicity.ThedatasetiscurrentasofAugust16,2019forregulationsoftheU.S.EnvironmentalProtectionAgency(EPA)thatimplementtheSDWAandstatutesandregulationsofsevenstateswithsignificantoilandgasdevelopment.Ofthesevenstates–Arkansas
1DavidM.Evans,TheDenverAreaEarthquakes&TheRockyMountainArsenalDisposalWell,3TheMountainGeologist.23(1966),availableat:https://scits.stanford.edu/sites/default/files/evans_0.pdf
2See,NationalResearchCouncil,InducedSeismicityPotentialinEnergyTechnologies,2013(NRC,2013),at88andAppendixC(listinginducedeventsasof2011),availableat:https://www.nap.edu/read/13355/chapter/1.
3See,GroundWaterProtectionCouncilandInterstateOilandGasCompactCommission,PotentialInjection-InducedSeismicityAssociatedwithOil&GasDevelopment:APrimeronTechnicalandRegulatoryConsiderationsInformingRiskManagementandMitigation.SecondEdition,2017(GWPCISPrimer),at3and23,availableat:http://www.gwpc.org/sites/default/files/ISWG%20Primer%20Second%20Edition%20Final%2011-17-2017.pdf
4TheLawAtlasInducedSeismicitydatasetisavailableat:http://lawatlas.org/datasets/IS-oil-gas-wastewaterOrseehttp://lawatlas.org/topics(chooseEnvironmentalHealth,then“InducedSeismicityfromOilandGasWastewaterInjection”.Seealsohttps://monqcle.com/forinformationonthedatabaseplatform.
5SafeDrinkingWaterActof1974,42U.S.C.§300h(2016);https://www.govinfo.gov/content/pkg/USCODE-2010-title42/pdf/USCODE-2010-title42-chap6A-subchapXII.pdf.Seealso,L.Warner,Deep-WellInjectionofLiquidWaste:AReviewofExistingKnowledgeandanEvaluationofResearchNeeds,U.S.Dept.ofHealth,Education,andWelfare.36-37(1965),availableat:https://nepis.epa.gov/Exe/ZyPDF.cgi?Dockey=94003ZVN.PDFlso
6NRC,2013,at118.
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(AR),Colorado(CO),Kansas(KS),Ohio(OH),Oklahoma(OK),Pennsylvania(PA),andTexas(TX),onlyPA7hasnotexperiencedinducedseismicity.8Thelawofthreestates,AR,COandOK,canalsobeviewedovertime(longitudinally)includinglawchangesin2019.
LawAtlas.orgorganizestheapplicableClassIIUICwellregulationsinaseriesof16questions(Qs)andanswers(As)withanswerselection(coding)basedsolelyonstatutoryorregulatorylanguagethatisinterpretedliterally.Ratherthaninferringhowaregulationmightbeinterpretedbytheagency,onlyexplicitlanguageofalaworregulationiscodedasarequirementinthatjurisdiction.9Similarly,astate’sbroadauthorityregardinganissue,e.g.,totakenecessaryactiontoabateaproblem,isnotcodedtoincludetheindividualoptionsforaction,e.g.,shuttinginawell.Wherethereisambiguityinananswer,theanswerchoiceorapplicablelawtextisexplainedorqualifiedwithcautionflags.
Whileeachjurisdictionhasrulesspecifictodisposalwells,10EPA,CO,OH,KS,andPAhaveadditionaloilandgasregulationsthatapplymorebroadly.Theseadditionalregulationsapplytoinjection/disposalwellsbecause“injectionwell”or“disposalwell”isincludedinthejurisdiction’sdefinitionof“well”.11Incontrast,AR,OKandTXdonothaveinclusivedefinitionsof“well,”butmaydefinewelltypesindividually.12Thedatasetfocusesonregulationsofthejurisdiction’soilandgasregulatoryagency,e.g.,theCOOilandGasConservationCommission,withafewregulationsor
7See,PennsylvaniaDepartmentofEnvironmentalProtection,InjectionWellsforEnhancedRecoveryandDisposal(Apr.2018)(PADEP,2018)(“noinducedseismiceventshavebeenobservedinPennsylvaniainassociationwithinjectionwellsatthetimeofthispublication.”),at2,availableat:http://www.depgreenport.state.pa.us/elibrary/GetDocument?docId=1419032&DocName=INJECTION%20WELLS%20FOR%20ENHANCED%20RECOVERY%20AND%20DISPOSAL.PDF%20%20%3cspan%20style%3D%22color:blue%3b%22%3e%3c/span%3e%2011/15/2020
8Inthisdocument,thesevenstatessurveyedarereferredtoas“thestates”;whenEPAisincluded,theeightentitiesarereferredtoas“thejurisdictions”.
9Forexample,neitheraregulationthatrequiresthepermitapplicanttoreportthemaximumvolumeofwaterexpectedtobeinjected(e.g.,CO),noraregulationrequiringtheoperatortoreporttheamountinjected(allstates)isinterpretedasthejurisdiction“restricting”thevolumeinjected.
10Forexample,2Colo.CodeRegs.§404-1-325UNDERGROUNDDISPOSALOFWATER.
11Forexample,COdefines“well”as:“WELLwhenusedaloneintheseRulesandRegulations,shallmeananoilorgaswell,aholedrilledforthepurposeofproducingoilorgas,awellintowhichfluidsareinjected,astratigraphicwell,agasstoragewell,orawellusedforthepurposeofmonitoringorobservingareservoir.”2Colo.Code.Regs.§404-1-100DEFINITIONS(italicsadded)
12Forexample,TXdefines“gaswell”,“oilwell”,“exploratorywell,”etc.intheirAdministrativeCode(16Tex.Admin.Code§3.79Definitions)and“disposalwell”and“injectionwell”intheirWaterCode(2Tex.WaterCodeAnn.§27.002[InjectionWells]Definitions).ARdistinguishesbetweenClassIIDisposalWells(a.k.a.privateornon-commercialwells),ClassIICommercialDisposalWells,and,asof2019,hasaddedthedefinitionofa“highvolumedisposalsystem”basedonon-sitestoragecapacityofgreaterthan1000barrelsofClassIIfluids.(Ark.CodeR.RULEH-1(a)(1),(8),and(11))
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commentsofotherstateenvironmentalagencies,e.g.,theARDepartmentofEnvironmentalQuality(ARDEQ)thatregulatessurfacefacilitiesofbothcommercialandhighvolume,non-commercialdisposalwells.
Thefocusofthissummaryistocomparemanagementofoilandgaswastewaterinjectionbasedontheanswerstothedatasetquestions(e.g.,Q1–Q16)andthetextofthestatutesandregulationsincludedintheLawAtlasdataset.13Whileonlyrequirementsspecifiedinthesestatutesandregulationareusedtoselectanswerstodatasetquestions,thissummaryalsoincludesdisposalwellregulationreflectedin(1)agencyforms,(2)agencyactionsandpolicies,and(3)afewlegislativeandregulatoryproposals.Forexample:
(1) Somejurisdictionshaverequirementsinpermittingorreportingforms,notexplicitlyincludedinregulations,thatoperatorsmustusetoapplyforapermitand/oroperateaninjectionwell.Theseformsareidentifiedinthedatasetthroughcautionflagsandincludedinthissummarywithparentheticalreferencesinthetext(e.g.,Form2).
(2) Jurisdictionsalsorequestorrequireinformationoruseagencydiscretioninevaluatingpermitapplicationsortoimposeconditionsofapprovalforoperatinginjectionwells.Thissummaryincludesexamplesoftheseagencyactionsandpolicystatements,e.g.,orders,directives,permitconditions,protocols,andguidancedocuments,thataddnuancetothestates’regulationofClassIIUICwells.Thesourcesoftheseactionsandpoliciesarecitedinfootnotes.
(3) Andfinally,thissummaryoutlines,attheendofeachapplicablesection,afewpertinentlegislativeproposalsandagencyproposedrulesorrulerecommendationsconsidered,butrejected,byKSlegislatorsandtheTXRailroadCommissioninthelastfewyears(seethe“REJECTEDLEGISLATION/RULES”boxes).
Whilethissummaryprovidesverylittleanalysisandcommentonthelaw,itprovideseasyaccesstothepertinentprovisionsofeachjurisdiction,andourhopeisthatthisstimulatesevaluationanddiscussionofthevariousjurisdictions’approachestoClassIIUICwellmanagementasitrelatestoinducedseismicity.Theprojectteamwelcomesotherresearchers,regulators,industryandindividualstoutilizethedatasetinitscurrentform,toupdateit,ortoexpandittoincludeadditionalstatesortoaddressadditionalissues.14
13ThefulltextofapplicablestatutesandregulationsareincludedintheLawAtlasdatasetascitations.Specificcitationtothesestatutesandregulationsarenotincludedinthissummaryunlessthediscussionincludesaquotedpassage.SeetheLawAtlas.orgdatasetforindividualcitations,availableat:http://lawatlas.org/datasets/IS-oil-gas-wastewater
14Forcomments,correctionsorquestionscontactKathrynMutz,NaturalResources,[email protected]@gmail.com.
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RegulatingforInducedSeismicityBothstateandfederallawcanpromotereductioninboththehazardandtherisk15ofearthquakesinducedbyfluidinjectionbyregulatingwastewaterinjectioninanumberofways.Waysinwhichinducedseismicityhazardcanbereducedoravoidedinclude:
• Sitingdisposalwellstoavoidareassusceptibletoearthquakes,thatisareaswithsitespecificearthquaketriggeringfeatures,e.g.,faults.Sitingdecisionsincludeboththeareallocationofthewellandthelocationofthefluiddisposalzone.Avoidanceofproblematiclocationscanbethrougheitherablanketmoratoriumorwell-by-wellsitingdecisions.
• Constructingdisposalwellstooperateasdesigned,i.e.,injectingandkeepingfluidsinthetargetformation.
• Operatingdisposalwellstomaintaintheconstructedsafeguardsandtoidentifyanyunexpectedproblems.Essentialcomponentsofproperoperationsaremonitoringandreportingofoperatingparameters,includinginjectionvolume/rateandpressure,andmaintainingmechanicalintegrityofthewell.
• Implementingadaptivemanagementstrategies,i.e.,requiringchangestoeitherthewellsite(depthofwellandinjectionformation),oroperationalparametersinresponsetoareaseismicity.
Inadditiontothesemeansofreducinghazard,inducedseismicityriskcanbeamelioratedorredirectedby:
• Sitingdisposalwellstoavoidpopulationareasorsensitivestructures;• Involvingtheaffectedpublicinsiting,constructionandoperationsdecisionmaking;• Internalizingthefullcostofagency(i.e.,taxpayer)costsinpermitting,monitoringand
regulatingdisposalwells;and• Compensatingimpactedindividualsfordamagesfrominducedearthquakes.
ThefederalandstatelawsdisplayedintheLawAtlasdatasetarecomparedinthissummarytohighlightwhichjurisdictionshaveregulatorytools–whethertheybedesignedtoprotectUSDWsorspecifictoinducedseismicity–toaddressthesehazardsandrisksofseismicevents.
Theregulatorytools,citedinanswering16LawAtlasquestions,address:
1. RegulatoryAuthority(Q1-Q3)
2. WellPermittingandSiting(Q4-Q5)
3. WellConstructionandOperation(Q6-Q11)
15See,GWPC IS Primer, at 38 (Ahazardisanysourceofpotentialdamage,harm,oradverseimpactonsomethingorsomeone.Ariskisthechanceorprobabilitythatapersonorpropertywillbeharmedifexposedtoahazard.).
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4. PublicParticipation,FinancialAssurances,andLiability(Q12-16)
AppendixAliststhelawsandregulationthatarethebasisofthissummaryandarecitedinthedataset.
AppendixBliststheissuesorquestions(Qs)addressedinthedatasetandtheirpotentialanswers(As).
AppendixCprovidesaStatisticalreport,generatedbytheLawAtlasdataset,thatsummarizesthequestionsandanswersforEPAandthesevenstates.
AppendixDprovidesaStandardreport,generatedbytheLawAtlasdataset,thatincludestheanswerstothequestions,supportingcitations,andthetextofanycautionflags.
1.RegulatoryAuthority(Q1-Q3)Alljurisdictionssurveyedallowoilandgasdevelopmentstodisposeofwastewaterbyinjection(seeQ1).Fourstates(AR,CO,OK,andTX)haveregulationsspecifictocommercialdisposalwells,andtheEPAdefinescommercialdisposalwellsinitspermittingprocess(Form7520-06)(seeQ3).Thesejurisdictionsalldefineacommercialwellas(1)acceptingfluidsfrommultipleoilorgaswelloperators(thirdparties)and(2)chargingafeefordisposal.OK16andTXincludetheadditionalcriterionthattheoperator'sorwell’sprimarybusinessobjectiveistoprovidetheseservices.17
DisposalwellsforoilandgasdevelopmentareclassifiedasClassIIinjectionwellsundertheFederalUndergroundInjectionControl(UIC)programimplementingtheFederalSafeDrinkingWaterAct.18Sixofthesevenstatessurveyedhaveprimaryresponsibility(primacy)forregulatingthisundergrounddisposalofwastewater(seeQ2).Ofthestatessurveyed,onlyPAhasnotappliedforprimacyanddependsonEPAtoregulatethepermittingandoperationofthesewells,althoughPAhasstateregulationsthatalsoapplytoUICClassIIwells.WhenPAlawisdisplayedinthedatasetanddescribedinthissummary,itreferstoPAprovisionsoflawandregulationandafew
16InAugust2019,OKproposedtochangeitsdefinitionof“commercialdisposalwell”toremovethisadditionalcriterion.See,OKLAHOMACORPORATIONCOMMISSION,DRAFTAMENDMENTSASOFAUGUST15,2019,TITLE165.CORPORATIONCOMMISSION,CHAPTER10.OIL&GASCONSERVATION,availableat:https://content.govdelivery.com/attachments/OKOCC/2019/09/11/file_attachments/1283601/Ch10DraftProposals8-15-19.pdf
17Thedatasethighlightsdistinctionsbetweenrequirementsforcommercialandnon-commercialdisposalwells.Regulatoryprovisionsforbothcommercialandnon-commercialwellsareincludedthroughoutthedataset,e.g.,regardingMITs(Q9)orspecificreportingrequirements(Q7).Additionalcommercialwellregulatoryprovisions,i.e.,notspecifictootherquestions,arecitedinanswertoQ3.Theseincludeadditionalpermitting,wellconstruction,surfacefacility,andmonitoring/reportingrequirements.
18SafeDrinkingWaterActof1974,42U.S.C.§300h(2016);https://www.govinfo.gov/content/pkg/USCODE-2010-title42/pdf/USCODE-2010-title42-chap6A-subchapXII.pdf
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PA-specificEPAregulations.TounderstandthecompleteregulatoryregimeforClassIIUICwellsinPArequiresaddingthecitedPAlawtotherequirementsandrestrictionsofEPAUICregulations.19
ToqualifyforprimacyunderSDWA§1422,astatemustshowit:
(i)hasadoptedafterreasonablenoticeandpublichearings,andwillimplement,anundergroundinjectioncontrolprogramwhichmeetstherequirementsofregulationsineffectundersection1421;and
(ii)willkeepsuchrecordsandmakesuchreportswithrespecttoitsactivitiesunderitsundergroundinjectioncontrolprogramastheAdministratormayrequirebyregulation.SDWASec.1422(b)(1)(A).20
WhilemanystatesreceivedprimacyforClassIIwellsunder§1422,allofoursurveyedstates(excludingPennsylvania)obtainedprimacyunderSDWA§1425.21ThissectionwasaddedtotheSDWAbya1980amendmentforthepurposeofallowingstateswithpre-existingUICregulatoryprogramstocontinuetheirprogramswithouttheadditionalburdensoffederalrequirementssolongasthestateprogramfulfillsthepurposeandmeetstherequirementsoftheSDWA.22§1425provides,inlieuofthe§1422showings,that:
theStatemaydemonstratethatsuchportionoftheStateprogrammeetstherequirementsofsubparagraphs(A)through(D)ofsection1421(b)(1)23andrepresentsaneffective
19AnexampleofaPA-specificEPAregulationis40CFR§147.1951EPA-administeredprogram,thatstatesthat“TheUICprogramfortheStateofPennsylvania,includingallIndianlands,isadministeredbyEPA.”GeneralEPAUICregulationsincludealloftheEPAregulationsthatdefinetheUICprogram,i.e.,40CFRparts124,144,145,146,and148.
20Ifforoneofseveralreasons,theAdministratordisapprovesallorpartofaState’sprogram,theAdministratormay(SDWA§1422(c):“...prescribe(andmayfromtimetotimebyregulationrevise)aprogramapplicabletosuchStatemeetingtherequirementsofsection1421(b).Suchprogrammaynotincluderequirementswhichinterferewithorimpede—
(1)theundergroundinjectionofbrineorotherfluidswhicharebroughttothesurfaceinconnectionwithoilornaturalgasproductionornaturalgasstorageoperations,or
(2)anyundergroundinjectionforthesecondaryortertiaryrecoveryofoilornaturalgas,unlesssuchrequirementsareessentialtoassurethatundergroundsourcesofdrinkingwaterwillnotbeendangeredbysuchinjection.”
21SeeStates’Tribes’andTerritories’ResponsibilityfortheUICProgram,availableat:https://www.epa.gov/sites/production/files/2019-04/documents/primacy_status_revised_april17_2019_508c.pdf
22H.R.RepNo.96-1348,at5(1980)
23SDWA§1421(b)(1):Regulationsundersubsection(a)forStateundergroundinjectionprogramsshallcontainminimumrequirementsforeffectiveprogramstopreventundergroundinjectionwhichendangers
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program(includingadequaterecordkeepingandreporting)topreventundergroundinjectionwhichendangersdrinkingwatersources.SDWA§1425(a).
Consequently,thesevenstatesconsideredinthissummarywerenotrequiredtoadoptstatutoryorregulatoryprovisionsidenticaltotheEPA’s.Rathertheywererequiredtodemonstrateprovisionsaseffectiveasthefederalstandards.ARisanexampleofastatewho’spre-SDWAundergroundinjectioncontrolprogramlawsandregulationswereadoptedforthefederalprimacyprogram.24Somestates,seee.g.,OH,haverulesthatprecludetheiroilandgasrulesfrombeingmorestringent
drinkingwatersourceswithinthemeaningofsubsection(d)(2).SuchregulationsshallrequirethataStateprogram,inordertobeapprovedundersection1422—
(A)shallprohibit,effectiveonthedateonwhichtheapplicableundergroundinjectioncontrolprogramtakeseffect,anyundergroundinjectioninsuchStatewhichisnotauthorizedbyapermitissuedbytheState(exceptthattheregulationsmaypermitaStatetoauthorizeundergroundinjectionbyrule);
(B)shallrequire(i)inthecaseofaprogramwhichprovidesforauthorizationofundergroundinjectionbypermit,thattheapplicantforthepermittoinjectmustsatisfytheStatethattheundergroundinjectionwillnotendangerdrinkingwatersources,and(ii)inthecaseofaprogramwhichprovidesforsuchanauthorizationbyrule,thatnorulemaybepromulgatedwhichauthorizesanyundergroundinjectionwhichendangersdrinkingwatersources;
(C)shallincludeinspection,monitoring,recordkeeping,andreportingrequirements;and
(D)shallapply(i)asprescribedbysection1447(b)1,toundergroundinjectionsbyFederalagencies,and(ii)toundergroundinjectionsbyanyotherpersonwhetherornotoccurringonpropertyownedorleasedbytheUnitedStates.
24SeeArkansasOilandGasCommission;UndergroundInjectionControl;ProgramApprovalat49Fed.Reg.11179.
10
thanthefederalrules25oratleastrequiretheagencytoevaluateandjustifyamorestringentrule(e.g.,OH,26PA27andOK28).29
25OhioRev.Code§1509.22Storageordisposalofbrine,crudeoil,naturalgas,orotherfluids
(D)(5):Thisdivisionandrules,orders,andtermsandconditionsofpermitsadoptedorissuedunderitshallbeconstruedtobenomorestringentthanrequiredforcompliancewiththeSafeDrinkingWaterActunlessessentialtoensurethatundergroundsourcesofdrinkingwaterwillnotbeendangered.
26OhioRev.CodeAnn.§121.39Identifyingdocumentationthatisbasisforlegislationdealingwithenvironmentalprotection.[applicabletorulesafter3-5-1996]
...
(B)Exceptasotherwiseprovidedindivision(E)ofthissection,whenproposedlegislationdealingwithenvironmentalprotectionorcontainingacomponentdealingwithenvironmentalprotectionisreferredtoacommitteeofthegeneralassembly...,thesponsor...shallsubmittothemembersofthecommitteeawrittenstatementidentifyingeitherthedocumentationthatisthebasisofthelegislationorthefederalrequirementorrequirementswithwhichthelegislationisintendedtocomply.Ifthelegislationisnotbasedondocumentationorhasnotbeenintroducedtocomplywithafederalrequirementorrequirements,thewrittenstatementfromthesponsorshallsoindicate.
...
(D)Exceptasotherwiseprovidedindivision(E)ofthissection,priortoadoptingaruleoranamendmentproposedtoaruledealingwithenvironmentalprotectionorcontainingacomponentdealingwithenvironmentalprotection,astateagencyshalldoallofthefollowing:
(1)Consultwithorganizationsthatrepresentpoliticalsubdivisions,environmentalinterests,businessinterests,andotherpersonsaffectedbytheproposedruleoramendment;
(2)Considerdocumentationrelevanttotheneedfor,theenvironmentalbenefitsorconsequencesof,otherbenefitsof,andthetechnologicalfeasibilityoftheproposedruleoramendment;
(3)Specificallyidentifywhethertheproposedruleoramendmentisbeingadoptedoramendedtoenablethestatetoobtainormaintainapprovaltoadministerandenforceafederalenvironmentallawortoparticipateinafederalenvironmentalprogram,whethertheproposedruleoramendmentismorestringentthanitsfederalcounterpart,and,iftheproposedruleoramendmentismorestringent,therationalefornotincorporatingitsfederalcounterpart;
(4)Includewiththeproposedruleoramendmentandtherulesummaryandfiscalanalysis[informationfrom(D)(2)and/or(D)(3),asapplicable]
...Division(D)ofthissectiondoesnotapplytoanyemergencyruleadoptedunderdivision(B)(2)ofsection111.15ordivision(G)ofsection119.03oftheRevisedCode,butdoesapplytoanysuchrulethatsubsequentlyisadoptedasanonemergencyruleundereitherofthosedivisions.
274Pa.Admin.Code§1.371Generalrequirements
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2.WellPermittingandSiting(Q4–Q5)WellPermitting(Q4)Allofthejurisdictionsrequireoilandgasfluidinjectionwellstobepermitted30andallrequiretheapplicanttosubmitinformationonsubsurfacefeatureswiththepermitapplication(seeQ4).
• Alljurisdictionsrequirethepotentialpermitteetoprovideinformationonaquifersandgeologicstrataattheproposedwelllocationandtoidentifythelocationofnearbywells.In2019,OKincreasedtheareaofreviewforidentifyingthelocationofexistingwellsnearproposedhigh-volume,non-commercialdisposalwells(wellsinjecting20,000barrelsperdayorgreater)fromone-quartertoone-halfmile.ThisbroughtOK’sareaofreviewcriterionforhighvolume,non-commercialwellsuptothestandardforcommercialwells,whichisone-halfmileregardlessofinjectionvolume.InDecember2019,OKproposedadditionalchangestorulesonidentifyingthelocationofwellsandnotifyingsurfaceownersandoperators.Ifpromulgated,thesechangeswouldrequirecomparableinformationforcommercialandnon-commercialwellsandonlydistinguishbetweenwellsoflessthanorgreaterthan5,000barrelsperday.Theproposedrulewouldexpandtherequiredareaofreviewtotwomilesforallwellsofgreaterthanthe5,000barrelsperdayvolume.31
Inthedraftingandpromulgatingofnewregulationsandtheapplicationandreviewofexistingregulations,agenciesshalladheretothefollowingprinciples:
...
(5)IfFederalregulationsexist,regulationsoftheCommonwealthmaynotexceedFederalstandardsunlessjustifiedbyacompellingandarticulablePennsylvaniainterestorrequiredbyStatelaw.
28Okla.Stat.tit.§27A,1-1-206.Economicimpactandenvironmentalbenefitstatements
A.Eachstateenvironmentalagency[CorporationCommissionincludedindefinitioninOkla.Stat.tit.§27A,1-1-201]inpromulgationofpermanentruleswithinitsareasofenvironmentaljurisdiction,priortothesubmittaltopubliccommentandreviewofanyrulethatismorestringentthancorrespondingfederalrequirements,unlesssuchstringencyisspecificallyauthorizedbystatestatute,shalldulydeterminetheeconomicimpactandtheenvironmentalbenefitofsuchruleonthepeopleoftheStateofOklahomaincludingthoseentitiesthatwillbesubjecttotherule.
29TheenvironmentalagenciesofCO(CODepartmentofPublicHealthandEnvironment)andTX(TXCommissiononEnvironmentalQuality)havesimilarqualifiedrestrictionsregardingwaterpollutioncontrolregulations.Colo.Rev.Stat.§25-8-202(8)(a)(Dutiesofcommission—rules)andTex.WaterCodeAnn.§26.017(5)(Cooperation).
30Jurisdictionsmayallowtemporaryinjectionwithoutapermit.Forexample,Ohio'sregulationsallowthechieftoauthorizetemporaryinjection(48hours)withoutapermitinordertoevaluatepotentialforinjection.(OhioAdmin.Code§1501:9-3-06(A))
31See,OKLAHOMACORPORATIONCOMMISSION,REVISEDDRAFTAMENDMENTSASOFDECEMBER2,2019,TITLE165.CORPORATIONCOMMISSION,CHAPTER10.OIL&GASCONSERVATION(OK12-2-19DraftChapter10Amendments),at60,availableat:
12
• Halfofthejurisdictions(AR,OH,TX,andEPA)specificallyrequireidentificationofareafaults.ButonlyTXregulationsrequireUICwellapplicantstosubmitinformationonhistoricearthquakes.32
• Variationamongthejurisdictionsregardingsubmittalofsubsurfacefeatureinformationincludes:
• EPAregulationsdonotrequireareviewofareaseismicity,buttheirUICClassIIPermitApplication,Form7520-6,does.PAreliesonEPA’spermitinformationrequirementsandPAperformsareviewthatincludesageologicanalysisbasedondisposalwellsfunctioningasapollutionabatementprocess.33
• WhileCOandOKregulationsdonotrequirefaultlocationorhistoricseismicityinformationfromUICwellapplicants,CO34andOK’s35agencystaffreviewpermitapplicationsforproximityofproposedwellstofaultsandpotentialareaseismicity.OKrequiresspecialpermittingifawellisproposedwithinthreemilesofastressedfault,evenintheabsenceofhistoricseismicity.36
• TXistheonlyjurisdictionwithregulationsrequiringinformationonbedrock/basementrock,althoughEPA’spermitapplicationformalsorequiresthisinformation(Form
https://content.govdelivery.com/attachments/OKOCC/2019/12/03/file_attachments/1335811/Ch10DraftProposals12-2-19.pdf
32ATXdisposalwellapplicationmustincludeaUSGSEarthArchivesearch,beginningasfarbackas1973,within100squaremiles(acircularareawitharadiusof9.08kilometers)oftheproposedwellsite.See16Tex.Admin.Code§3.9(3)(B).Inaddition,TXregulationsnotonlyauthorize,butrequiretheTexasRailroadCommissiontorequireapplicantstosubmitanyinformationitconsidersnecessarytodischargeitsduties.33See,PADEP,2018,at2citing25Pa.Code§91.5.
34ColoradoOilAndGasConservationCommission(COGCC)2017AnnualReport,(COGCC2017AnnualReport)availableat:https://cogcc.state.co.us/documents/library/technical/wqcc_wqcdannualreports/2017annualreportwqcc_final_12302017.pdf(COGCC’sstaffgeologicexpertsreviewUICpermitsforsitespecificmatters,suchastheoccurrenceoffaultsandpotentialseismicissues.)
35EarthquakesinOklahoma,OklahomaCorporationCommissionathttp://earthquakes.ok.gov/what-we-are-doing/oklahoma-corporation-commission/(TheCommissionhasadopteda“trafficlight”system...whichdirectsstafftoreviewdisposalwellpermitsforproximitytofaults,seismicityintheareaandotherfactors.Allproposeddisposalwells,regardlessoflocation,nowundergoaseismicityreview.)
36OKMediaAdvisory–OngoingOCCEarthquakeResponse,March25,2015(OKMediaAdvisory,3/25/15),availableat:http://www.occeweb.com/News/2015/03-25-15%20Media%20Advisory%20-%20TL%20and%20related%20documents.pdf
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7520-6).37andCO’spermitreviewprocessconsiderstheproximityofinjectionintobasementrocks.38Inareasofhistoricearthquakesorfaulting,OHlooksatwhethertheinjectionwellisdrilleddeepenoughtohaveapathofcommunicationwiththefaultinthecrystallinebedrock.39
• Allstateshaveadditionalregulatoryrequirementsforprovidingresultsofdownholeteststhatmayaidinidentifyingfaultsandcharacterizingpotentialproblems(e.g.,electric,resistivity,andconductivitylogs).
TheseprovisionsaregenerallyintendedtominimizethepotentialforUSDWcontaminationbyevaluatingthelocationofaquifers,suitabilityofconfininglayers,andthepotentialforexistingfaultsandwellstoconductcontaminatedfluidsbeyondtheirintendedinjectionzone.40ZoneofEndangeringInfluence(ZEI)41testsalsoprovideinformationforevaluatingthevolumeofwastefluidsthataformationisexpectedtosafelyaccept(basedonformationpressure)aswellastheinjectionpressurethatwillnotcausefractures(basedonfracturegradient).WhilethesetestsmaybeintendedtoprotectUSDWs,theinformationtheyprovidecanalsobeusefulinmakingwellsitingdecisionsanddevelopingoperatingconditionstoavoidorminimizeinducingseismicity.
37EPA,InstructionsforForm7520-6UndergroundInjectionControlPermitApplicationforaClassIIWell,availableat:https://www.epa.gov/sites/production/files/2019-05/documents/owner_or_operator_permit_application_for_a_class_ii_well_form_7520-6_class_11.pdf.
38ColoradoOilandGasCommission,EngineeringUnitSeismicityReviewForClassIIUndergroundInjectionControlWells,Governor’sTaskForceSummary(COGovernor’sTaskForce,2014),availableathttp://cogcc.state.co.us/documents/about/tf_summaries/govtaskforcesummary_sesimicity_review_for_class_ii_underground_injection_control_wells.pdf.39PreliminaryReportontheNortstarIClassIIInjectionWellandSeismicEventsintheYoungstown,Ohio,Area,availableat:http://oilandgas.ohiodnr.gov/portals/oilgas/downloads/northstar/reports/northstar-preliminary_report.pdf
40NRC,2013at118(“UICregulationsrequiringinformationonlocatinganddescribingfaultsintheareaofaproposeddisposalwellareconcernedwithcontainmentoftheinjectedfluid,notthepossibilityofinducedseismicity.”).
41 J.DanielArthuretal.,ClassIIDisposalWellBestManagementPracticesWorkshop,GWPC.org(2016),availableat:http://www.gwpc.org/sites/default/files/event-sessions/Tomastik_Tom_ClassIIWorkshop.pdf.
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REJECTEDLEGISLATION/RULES:
Kansas:In2018,abillbeforetheKSlegislature(HB267242)wouldhaverequiredpermitapplicantstoprovideinformationregardingpotentialseismicconcernsandariskassessmentofthepotentialforinducedseismicitybasedontheproposedlocation,depthofthewell,andproposeddailyinjectionvolume.
Texas:In2014,TXproposedrequiringcalculationoftheestimatedfivepoundspersquareinch(psi),10-yearpressurefrontboundaryanduseofthatareaforevaluatinghistoricseismicactivity.43Theyoptedinsteadtohavealloperatorsusea100squaremilesearchareaalthoughanindustrygrouprecommendedasmallersearchareaforalloperatorsandanevensmallersearchareasforsmallvolumedisposalwells(<5000barrelsperday).Inadditiontothischange,theRailroadCommissionincludedthecalculationofpressurefrontboundariesinthelistofadditionalinformationthattheycouldrequireanapplicanttoprovideiftheydeterminedthattherewerecomplexgeology,proximityoftheinjectionintervaltothebasementrock,presenceoftransmissivefaults,and/orahistoryofseismicevents.
Onegroupofcommentersrecommendedmorestringentrequirements:suggestingthattherulestatethattheCommission“will”ratherthan“may”requestadditionalinformationandwouldhaverequiredanapplicanttoavoidanypressuredevelopmentnearamajorfaultsystemthatisactiveorappearscriticallystressedandtorequireannualmeasurementandreportingofbottomholeshut-inpressuretodetermineifinjectedfluidsarehavingfar-reachingeffectsonsubsurfacestress.Anothercommenterrecommendedmorediscussionintheregulationsonthetypesofinformationneededforpermitting,includingbutnotlimitedtoadiscussionofradioactivetracerorspinnersurveys,welllogs,andgeologicalinvestigationofpotentialfaulting.OthercommentersrecommendedmoreCommissionflexibilitysuchthattheCommissionrequiredifferentactionsindifferentareasofthestateoraddressseismicityinfieldrulesratherthanthroughstatewiderulemakingssinceseismicityappearstobeconcentratedincertainareasofthestate.
WellSiting(Q5)Whilemultipleregulationsrequireapplicantstosubmitinformationforthepermittingprocess,onlyafewregulatoryprovisionsexplicitlyprohibit(i.e.,wouldcauseanagencytorejectapermitapplicationforaspecificinjectionwelllocation)orseverelyrestrictthesitingofawell(eitheritssurfacelocationortheinjectionformation),basedonspecificcriteria(seeQ5).Someofthese
42HouseBillNo.2672(2018)(HB2672),availableat:http://kslegislature.org/li_2018/b2017_18/measures/documents/hb2672_00_0000.pdf.
43ChristinaSelf,GeneralCounseltotheRailroadCommissionofTexas,16TACChapter3--OilandGasDivision,reviewbylegalcounseloftheagency’slegalauthoritytoadoptamendmentsto§3.9and§3.46August29,2014(TXLegalCounselReview,2014),availableat:https://www.rrc.state.tx.us/media/24613/adopt-amend-3-9and3-46-seismic-activity-102814-sig.pdf
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restrictionsarespecifictoprotectingwaterqualityofUSDWs;otherscouldbemoregenerallyapplicable.
EPAsitingrulesarespecifictoprotectingUSDWwaterquality.EPArulesrestrictsitingClassIIUICwellsnearfaults,butonlyiftheconfiningzonebetweentheproposedinjectionformationandaUSDWhasanopenfaultorfracture.HealthisanotherEPAsitingcriterion,butonlytotheextentthathealthwouldbeadverselyaffectedbycontaminationofUSDWs.AR,KS,OK,andTXallhaverestrictionsrelatedtotheinjectionformationanditsconfininglayersinordertoprotectfreshwaterresources.Beyondtheseinjectionformationrestrictions,statesalsohavespecificsitingcriteriatoprotectUSDWs.Forexample,OKregulationsprohibitcommercialdisposalwellsinadesignatedwellheadprotectionarea(forpublicwatersupplywells).
Otherstaterestrictionsallowagencydiscretioninwater-relatedcircumstances.
• OKoperatorscansiteanon-commercialdisposalwellwithinhalfmileofamunicipalwatersupplyiftheyprovide“substantialevidence”thatthedisposalwellwillnotpollutethewatersupplywell.OKregulationsalsohavesitingrestrictionsbasedonthicknessofoverlyingstrata,althoughtheagencyhasdiscretionregardingthicknessoftheconfininglayerthatprotectsUSDWsfrompollutionforwellsinjectinglessthan10,000barrelsperdayorequivalent.In2019,however,anOKrulechangespecifiedanincreaseinthethicknessofaconfininglayer(from500to3000feet)consideredsufficienttoprotectfreshwaterfromwellsinjectingat10,000barrelsperdayormoreequivalentrate.Thisrulechangeeffectivelyremovedagencydiscretiononwaiversforwellswiththesehigherinjectionrates.
• CO’scansiteaE&PWasteManagementFacility,thatcouldincludedisposalbyinjection,ina“sensitivearea”iftherewillbe“adequatemeasuresandcontrols”toprotecttheareaduringoperations.
AfewstateshaveregulationsthatexplicitlygobeyondUSDWswitheitherspecific,non-waterrelatedregulationsorwithmoregeneralorcomprehensiveregulationsthatcouldbeappliedtominimizepotentialforinducedseismicity.
• InamoratoriumarearelatedtotheGuy-GreenbrierEarthquakeSwarm,ARrestrictssitingbasedonproximitytofaults,otherinjectionwells,andseismiceventsthatdefinethemoratoriumarea.Theserestrictionsonbothcommercialandnon-commercialinjectionwellscanallbewaivedbytheCommissionafternoticeandhearing.
• OHregulationsrequireasetbackfromcertainstructures–thestatedoesnotallowUICwellswithindesignateddistancesfromvariouscategoriesofbuildingsandtransportationinfrastructure.Whileintendedtoprotectpublicsafety,theseshortsetbackdistances(50–100feet)wouldfallshortofprotectingindividualsandtheirpropertyfrominducedseismicityimpactswhichmaybefeltmanymilesfromaproblematicinjectionwell.
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• Moregenerally,COregulationsallowUICpermitdenialiftheDirectorhas“reasonablecausetobelievethattheproposeddisposalwellcouldresultinasignificantadverseimpactontheenvironmentorpublichealth,safetyandwelfare.”44
REJECTEDLEGISLATION/RULES:In2018,abillbeforetheKSlegislature(HB267245)proposedprohibitingClassIIdisposalwellswithin10milesofanyknownorsuspectedfaultline.
Beyondregulation,afewjurisdictionshavepolicies,guidelinesorrecommendations,orhaveissuedspecificorders/directivesforrestrictingthesitingofUICwellsthatcanhelpreduceinducedseismicity.
• EPAhasadecision-treemodelforwellpermittingwhichrecommendsrestrictingwellsitingifthepotentialforinducedseismicityisfoundandtherearenosuitablemitigationmeasuresavailable.Seismicpotentialisdeterminedbypresenceofdeep-seatedtransmissivefaultsthatintersecttheproposedinjectionzone.46
• COstaffreviewpermitapplicationsforsitespecificmatters,suchasfaultsandpotentialseismicissues.IfhistoricseismicityisidentifiedinthevicinityofaproposedClassIIUICwell,theCOOilandGasConservationCommission(COGCC)requirestheoperatortocharacterizetheseismicpotentialwithrespecttotheproximityofinjectionintobasementrocksandknownfaults.47
• KShadnot,asofearly2017,eliminatedexisting,norprohibitednewwellsintheArbuckleFormation,buthasrestrictedsitingofnewhighvolumewellswithin¼mileofexistinghighvolumeinjectionwellsinordertorestrictthetotalvolumeinjectedinanarea.48
442Colo.CodeRegs.404-1-325(b)-UndergroundDisposalofWater–Withholdingapprovalofundergrounddisposalofwater.
45HB2672.
46EPA,UndergroundInjectionControlNationalTechnicalWorkgroup,RecommendedDecision-TreeModel,MinimizingAndManagingPotentialImpactsOfInjection-InducedSeismicityFromClassIIDisposalWells:PracticalApproaches(2014),availableat:https://www.epa.gov/sites/production/files/2015-08/documents/induced-seismicity-201502.pdf
47COGovernor’sTaskForce,2014.
48KansasCorporationCommission.ReportandRecommendation,ConservationDivision,RE:StaffRecommendationDocketNo.15-CONS-770-CMSC.33117,availableat:http://estar.kcc.ks.gov/estar/ViewFile.aspx/20170331164547.pdf?Id=cffb006f-cb05-4cbf-9a20-35db76d8ce46(limitedinjectionduetoearthquakeslinkedtodisposalintotheArbuckleFoundation;analysisoflargevolumewellswithin¼mileofnewlargevolumewellpermitapplications).
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• OHpolicyistoprohibitallinjectionintothePrecambrianbasementtoavoiddrillingnearanypossiblefaultlinesinthecrystallinerock49andavoidareaswithhistoricearthquakes.50Morerecently,OHreportedlypreventsuseoftheMountSimon(basalsandnearthebasement)ineasternOhio.51
• Asofearly2016,OKhadnotprohibitedthesitingofnewdisposalwellsintheArbuckleFormation,butnewwellsintothisformationcouldnolongerbeadministrativelyapproved.Applicationsrequire“fullcourtprocess”andapprovalgrantedbyamajorityvotebyCommissioners.Theresultingpermitislimitedtosixmonths,hasrequirementsforseismicitymonitoring,andthewellcanbeshut-inwithoutacourthearing.Inaddition,allexistingwellsfoundtobeincontactorcommunicationwiththecrystallinebasementrockwereorderedtobepluggedback.52
• TXhasadministrativeguidelinesthatindicatehowtheRailroadCommissionevaluatesinformationinthepermittingprocess.Currentguidelinesindicatethatawellpermitwillnotbeapprovediftherearefaults,fractures,structure,orothergeologicfactorsthatindicatethatisolationofthedisposalzoneisjeopardized.WhilethisprovisionisapparentlyintendedtopreventwaterqualitycontaminationofUSDWs,itcouldalsoservetoavoidsitingwellswhereslippageoffaultsmaytriggerearthquakes.53
49OhionotesthisnewwellsitingrestrictioninitsresponsetoinducedEarthquakesinYoungstown.SeeODNRDivisionofOilandGasResources,ClassIIDisposalWellReforms/YoungstownSeismicActivityQuestionsandAnswers(nodate)(YoungstownFAQs),availableat:http://oilandgas.ohiodnr.gov/portals/oilgas/pdf/YoungstownFAQ.pdf.
50DenialofaPermittoInjectBrineorOtherWasteSubstancespursuanttoOhioRevisedCode1509.22,OrderNo.2014-421,availableat:http://www.frackfreeamerica.org/uploads/1/2/4/0/12404661/2014_421_r.e._disposal_llc_denial_of_permit_to_inject.pdf
51GroundwaterProtectionCouncil,StateofOhioClassIIUICProgramPeerReview,January,2017(OHPeerReview),availableat:http://www.gwpc.org/sites/default/files/2017OhioClassIIPeerReviewFinal_0.pdf
52OKMediaAdvisory–RegionalEarthquakeResponsePlanforCentralOklahomaandExpansionoftheAreaofInterest,March7,2016(OKMediaAdvisory,3/7/16),availableat:http://www.occeweb.com/News/2016/03-07-16ADVISORY-AOI,%20VOLUME%20REDUCTION.pdf
53RailroadCommissionofTexas,Injection/DisposalWellPermitting,Testing,andMonitoringManual,ChapterIII–StandardsandProceduresforClassIIWells,availableat:https://www.rrc.state.tx.us/oil-gas/publications-and-notices/manuals/injectiondisposal-well-manual/chapter-iii/.Butsee,OilandGasDocketNo.08-0297874;ApplicationofPrimexxoperatingcorporation...foracommercialpermittodisposeofoilandgaswastebyinjectionintoaporousformationnotproductiveofoilorgas.;ProposalforDecision,2016(PrimexxPermitApplication,2016)(Examinersin2016approvedsitingofadisposalwellinanareaofrecent(2011and2015)seismicactivity,againsttheobjectionsofanadjacentlandownerwhofeareddegradationofhisfarm’swater.),availableat:https://www.rrc.texas.gov/media/34222/08-97874-r9p-pfd.pdf.SeeQ16discussionforfurtherdiscussionofthispermit.
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3.WellConstructionandOperation(Q6–Q11)Beyondestablishingsitingrestrictions,alljurisdictionswithprimacyforClassIIwellsregulatebyspecifyingwellconstructionrequirements(seee.g.,casingandcementingatQ6),and/orrestrictingtheoperationofthewell(seee.g.,settingfluidvolumeorpressurelimitsatQ8).Thedatasetcapturesregulationsonfiveaspectsofwellconstructionandoperation:
• Casingandcementing;• Mechanicalintegritytesting;• Fluidinjectionprocesses,specificallyinjectionpressureandvolume;• Monitoring,recordkeeping,andreportingonoperations;and• Adaptivemanagementinresponsetoseismicity.
CasingandCementing(Q6)AlljurisdictionsrequirecasingandcementingofClassIIinjectionwells(seeQ6).ThiswellconstructiontechniqueisprimarilyintendedtokeepinjectedfluidsintheirintendeddisposalformationinordertoprotectthequalityofUSDWs.Mostjurisdictionshavecasing/cementingprovisionsforbothnewUICwellsandforconversionofexistingwellstoinjectionwells(AR,KS,OH,OK,54COandEPA).
MechanicalIntegrity(Q7)Similarly,alljurisdictionsrequiremechanicalintegritytesting(MIT)totesttheintegrityofthewellconstructionbothbeforeinjectionoperationsbeginandthroughoutthelifeoftheinjectionwell(seeQ7).Whilepoormechanicalintegritymaynotcauseaninducedseismicevent,routineMITscouldensurethatawellisnotexceedingitspermittedinjectionpressure.
• Alljurisdictionsrequirebothaninitialtest(afterwellcompletionasaninjectionwell,conversionofanexistingwelltoaninjectionwell,ortransferofownership)androutinetestingatleastonceevery5years.PArequiresreportingonmechanicalintegrityonanannualbasisandOKrequiresannualtestingorcontinuouspressuremonitoringonwellsinjectinggreaterthan20,000barrelsperday.
54OKistheonlyjurisdictionwenotedtohavedifferentcasingandcementingregulationsforannularinjectionwells,wherefluidsareinjectedbetweentheuppersurfacecasingsandthelowerinjectioncasings,usuallyatlowerpressuresandvolumes.SeeOkla.Admin.Code§165:10-3-4(c)(4)(ifoperatorintendstodisposeoffluidsbyannularinjection,operatorshallcomplywith165:10-5-13whichrequiressurfacecasingstringtobesetnotlessthan200ftbelowbaseoftreatablewater.)Annularinjectionwellsarenotlikelytocauseseismicity,butitisnotimpossible.Theyinjectabovethebedrock,andareusuallymuchmorestringentlycontrolledalthough,thereisamuchhigherchanceofcontaminatingdrinkingwaters.Differentjurisdictionsallowforinjectionpressuresrangingfromgravitytoregularinjectionwellpressure.Someonlyallowfortheinjectionoffluidsourcedfromthesamewellitisbeinginjectedinto.Alaska,ononeendofthespectrum,definesitas"incidentaltothedrillingofawell"andnotadisposaloperationinitself.Ohio,severelylimitsit.Seealso,JosephWilliFriedman,Fracking:FormulationofAppropriateStateRegulationofWasteDisposal,UniversityofMichigan:DepartmentofEarthandEnvironmentalSciences.27(2013),availableat:https://deepblue.lib.umich.edu/bitstream/handle/2027.42/97755/Friedmann_Joey_MS_2013.pdf?seq
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• AR,CO,andOKspecifyMITsfollowingvariouswellmaintenanceoperationswhichinvolveresettingormovingthepackerortubing.COalsorequiresanMITaftercasingrepairsandTXrequiresoneaftereveryworkoverofthewell.
• AR,OK,PA,andEPAspecifyMITsfollowingproblemswiththewell,althoughnojurisdictiondefinesseismiceventsrelatedtothewellassucha“problem.”Identifiedproblemsinclude:
• AR–WhentheDirectorhasreasontobelieveadisposalwellisleakingorimproperlyconstructed;
• OK55–Whenameasurablepositivepressureisnotbeingmaintainedatthecasingvalve;
• PA–Whenthereareanysignsofequipmentdeterioration;and
• EPA–WhenthereisnotasufficientshowingbytheoperatorthatthereisnofluidmovementintoorbetweenUSDWs.
FluidInjectionProcesses(Q8)Inadditiontotheseessentialrequirementsforproperlyconstructingawellandverifyingitsintegrity,alljurisdictionsregulatethefluidinjectionprocess.Alljurisdictionshaverestrictionsoninjectionpressurebasedonfracturegradientoftheunderlyingrock,andafewaddressthevolumeorrateofinjection(seeQ8).
InjectionPressureRestrictionsoninjectionpressurevarybyjurisdiction:
• FederalprimacyregulationsprovidemaximumpressureformulasforCOandPA.EPA’srequirementofmaximuminjectionpressureisspecifictoprotectingUSDWs.It'sformulacreatesamaximuminjectionpressure,specifictoeachwell,toassurethatthepressureduringinjectiondoesnotinitiatenewfracturesorpropagateexistingfracturesintheconfiningzoneadjacenttotheUSDWs.TocomplywiththeSDWA,injectionpressuremaynotcausethemovementofinjectionorformationfluidsintoaUSDW.Inaddition,thefederalregulationapprovingCO’sprimacyregardingClassIIwellsincludescriteriaandaformulaforcalculatingthemaximuminjectionpressure,withthepurposeofkeepingthemaximumpressurebelowthefracturegradientoftheformation.
• ARprovidesformulaeforcalculatingthemaximuminjectionpressureforspecificareasofthestatebasedon90%ofamaximumfracturegradientwhichvariesbylocationandformation.
• COregulationsprovidethattheDirectorwillsetamaximuminjectionpressure.COwillgrantadefaultfracturegradientof0.6psi/ft,orallowanoperatortouseastep-ratetestto
552019revisionstoOKregulationsrequirethatawellwithamechanicalfailureordown-holeproblemmustbe“broughtintocompliancewithinninetydaysafterdiscoveryoftheproblem”.Okla.Admin.Code§165:10-5-7(f)(1)(C).
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determineifthereisahigherfracturegradientthanthedefaultandapplyforahigherinjectionpressure.56ThemaximumpressureallowedisreportedintheapprovalsectionofForm33,CO’sInjectionWellPermitApplication.ForsimultaneousinjectionwellsinCO,thereisnospecificationforhowthemaximuminjectionpressurewillbedetermined,onlyarequirementthatthemaximumdischargepressurebecalculated.
• KSregulationsdonotprovideaformulaformaximumpressureatallinjectionwells,butKSspecifiesamaximuminjectionpressureoflessthanthefracturegradientforsimultaneousinjectionwells.InKS,aninjectionwellpermitapplicationmustincludetheestimatedmaximuminjectionpressure.Theconservationdivisionthenconsiders,amongotherfactors,maximumsurfacepressure,formationpressure,andpressureattheformationface.
• OHspecifiesaformulafordeterminingthemaximum,butwillalsoevaluateaformulaortestproposedbytheinjectionwellpermitapplicantandmayimplementgraduatedmaximumallowableinjectionpressurerequirements.OHregulationsrequireadditionalcontrolsoninjectionpressurebyrequiringanautomaticshut-offvalvetotriggerifthemaximumallowedisexceeded.
• OKwillnotpermitcommercialdisposalwellswhoseinjectionpressureevenapproachesthedemonstratedfracturegradientoftheinjectionzonesandthestatespecifiesamaximuminjectionpressureoflessthanthefracturegradientforsimultaneousinjectionwells.AnOKrulechangein2019specifiesthat“Themaximumpermittedsurfaceinjectionpressurewillbethepressurerequestedintheapplicationor0.5psiperfootofdepthtothetopoftheinjection/disposalinterval,whicheverisless,unlesstheresultsofafracturepressurestep-ratetestsupportahigherpressure.”57Aproposedrulechangein2019wouldeliminatethis0.5psiperfoot-provisionandallowtheUICDepartmenttorequestafracturepressurestep-ratetest.58
• TXdoesnothaveamaximumpressureformulae,butexistenceofmaximumlimitscanbeinferredfromstaterulesthatrequiretestingbasedonthemaximumpressureorreportingofthemaximumauthorizedpressure.TXalsocontrolsinjectionpressurethroughpermitting.TXhasadefaultmaximuminjectionpressureof0.5psiperfootofdepth,though
56 ColoradoOilandGasCommission,StepRate/InjectivityTestDocumentation,COGCCForm31AttachmentGuidance(2015),availableat:http://cogcc.state.co.us/documents/reg/forms/instructions/attachment_guidance/form_31/step%20rate-injectivity%20test%20documentation.pdf
57Okla.Admin.Code§165:10-5-5(b)(5).
58OK12-2-19DraftChapter10Amendments,at62.
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anoperatorcanrequestanincreasedinjectionpressureifastep-ratetestshowsahigherpressurewillnotexceedthefracturegradientoftheformation.59
REJECTEDLEGISLATION/REGULATIONS:Incommentsona2014rulemaking60inTX,onecommenterrecommendedincludingintheruletherightoftheCommissiontoimplementgraduatedmaximumallowableinjectionpressure.
InjectionVolumeRegulatoryrestrictiononthevolumeoffluidinjectionismuchmorelimited.Noneofthejurisdictions’regulationsexplicitlylimitthetotalinjectionvolumefordisposalwells,nordotheyprovideaformulaformakingamaximumvolumedetermination(seeQ8).Nevertheless,allofthejurisdictionsconsidermaximumvolumeorinjectionrate(volumepertimeperiod)intheirpermitting.
• TheAROilandGasCommissionrequiresaproposeddailyinjectionrate(Form36).Additionally,thoughtheARDEQdoesnotregulatetheUICprogramforClassIIwells,itregulatesthesurfacefacilitiesforinjectionwellsandrequiresmaximumdailyinjectionvolumeinformationinitspermittingforthesurfacestructuresofaninjectionwell(NoticeofIntent,GeneralDischargePermit0000-WG-SW).
• WhileCOregulationsdonotspecifyamaximumvolume,itisdeterminedduringthepermittingprocessbasedonzone-thickness,reservoirheight,andporositywiththepurposeofconstrainingthelifeofthewell.61Porosityisacontributingfactortoinducedseismicityasitaffectstheamountoffluidneededtoincreasetheporepressureofarock,andhighpressurefluidinafaultzonecanreducethefrictionalstrengthofafaultandcauseslippage.62Thestaterequiresthatthemaximuminjectionratefornormaloperationsbereportedonthepermitapplication(Form31)andtheapprovalsectionoftheInjectionWellPermitApplication(Form33)specifiesamaximuminjectionvolumelimit.
• InKS,aninjectionwellpermitapplicationmustincludetheaveragedailyrateofinjectioninbarrelsperdayandregulationsimplythatamaximuminjectionrateisdeterminedbecause
59RailroadCommissionofTexas,Injection/DisposalWellTechnicalReview,InjectionPressureRequirements,availableat:https://www.rrc.state.tx.us/oil-gas/publications-and-notices/manuals/injectiondisposal-well-manual/summary-of-standards-and-procedures/technical-review/
60TXLegalCounselReview,2014
61COGCCUndergroundInjectionControlandSeismicityinColorado,January19,2011,availableat:http://cogcc.state.co.us/documents/library/Technical/Induced%20Seismicity/Underground%20Injection%20Control%20and%20Seismicity.pdf;
62TheNationalAcademyofSciences,InducedSeismicityPotentialinEnergyTechnologies:Chapter2,TypesandCauseofInducedSeismicity,48,availableat:https://www.nap.edu/read/13355/chapter/5#48
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KSchargesafeeforchangingthemaximumrate.KShadnot,asofearly2017,eliminatedexisting,norprohibitednewwellsintheArbuckleFormation,buthasrestrictedinjectionvolumesforwellsandrestrictedsitingofnewhighvolumewellswithin¼mileofexistinghighvolumeinjectionwellsinordertorestrictthetotalvolumeinjectedinanarea.63
• OHdoesnotspecifyamaximumdisposalvolumeforallwells,butpermittingrequirements(thesizesoftheareaofreview)differforinjectionwellswithaveragedailyvolumesoflessthanandgreaterthantwohundredbarrelsperday.OHrequiresaproposeddailyaverageandmaximumvolumeforsaltwaterinjectionwells(Form210),butallowsonly10barrelsperdayincertainannulardisposalwells.FollowingseismicactivityconnectedtodisposalwellsintheYoungstown,OHarea,allOHdisposalwelloperatorsarerequiredtoinstallanelectronicrecordingsystemtoeffectivelytrackallfluidsbroughttothesite.64
• OKregulationsdonotspecifyamaximumvolumeorinjectionrate,butadjustotherpermittingoroperationalrequirementstovariousexpectedinjectionvolumes.See,forexample,wellpermittinginformation(Q4)andthicknessofgeologicstratarequiredinsitingdecisions(Q5).OKhasalsodeclaredbydirectiveseveraladhocinjectionvolumereductionsinordertoreducetheoccurrenceofseismicity(Q11).
• PArequiresaproposedmaximumandaveragedailyvolumeinthepermittingprocess.Thesecanbedeterminedbasedoneitherhistoricalinjectionvolumeintotherelevantgeologicformationortheinjectionrateusedtodeterminethefracturegradientoftheformation.65
• Intheirpermittingprocesses,TX(FormH1-A)andEPA(Form7520-B)requireoperatorstoproposeanaverageandmaximumdailyfluidvolumetobeinjected,thoughitisunclearwhetherapermitwouldbedeniedbasedonthisfactor.
63KansasCorporationCommission.ReportandRecommendation,ConservationDivision,RE:StaffRecommendationDocketNo.15-CONS-770-CMSC.33117,availableat:http://estar.kcc.ks.gov/estar/ViewFile.aspx/20170331164547.pdf?Id=cffb006f-cb05-4cbf-9a20-35db76d8ce46(limitedinjectionduetoearthquakeslinkedtodisposalintotheArbuckleFoundation;analysisoflargevolumewellswithin¼mileofnewlargevolumewellpermitapplications)
64YoungstownFAQs.
65PennsylvaniaDepartmentofEnvironmentalProtection,AssessmentoftheMechanicalIntegrity,fordrillinganewundergroundinjectionwell,byWindfallOil&GasInc.(2017),OperationData,availableat:http://files.dep.state.pa.us/RegionalResources/SWRO/SWROPortalFiles/Windfall%20Injection%20Well%20Permit%20Documents/Permit/FINAL%20Zelman%20Mechanical%20Integrity%20Review.pdf
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REJECTEDLEGISLATION/RULES:In2018,twobillsbeforetheKSlegislature(HB264166andHB267267)proposedprohibitinginjectionofmorethan8,000barrelsofsaltwaterorotherfluidperdayintoanyClassIIinjectiondisposalwell.
Monitoring,RecordKeeping,andReporting(Q9–Q10)Allofthejurisdictionsrequiresometype(s)ofmonitoring,recordkeeping,andreportingtoverifytheircompliancewithpermitrequirementsandidentifypotentialproblems.Thesedatacanprovideagencieswithvaluableinformationformanaginginducedseismicity.Thetypesofprocessesoreventsmonitoredvariesamongthejurisdictions.
SeismicityMonitoringPerhapsmostpertinenttolimitingorrespondingtoinducedseismicityisthemonitoringofearthquakesduringinjection.Yetofallthejurisdictionsreviewed,onlyOHhasaspecificregulationonseismicitymonitoring(seeQ9).Someotherjurisdictionsadministrativelyrequireoperatorstomonitorforearthquakes;othersrequestvoluntaryseismicmonitoring.
OperatorSeismicityMonitoringOHmayrequireoperators,onacase-by-casebasis,topreparea“planformonitoringseismicactivity”nearwells,basedongeologyandproximityoftheinjectionzonetothePrecambriumbasementrock.68And,accordingtoGroundwaterProtectionCouncilpeerreviewers,OHcanalsorequireadditionalseismicmonitoringbasedontheirregulationauthorizinggeologicalinvestigationstoidentifypotentialfaulting.69
Thefollowingareexamplesofoperatorrequiredmonitoringnotspecifiedinregulation:
• ARhasrequiredanoperator,throughpermitconditions,toinstallaseismicmonitoringarrayandshareallacquireddatawiththeCommission.70
66HouseBillNo.2641(2018)(HB2641),availableat:http://kslegislature.org/li_2018/b2017_18/measures/documents/hb2641_00_0000.pdf
67HB2672.
68OhioAdmin.Code§1501:9-3-06(C)(3);seeGWPCISPrimer.
69OHPeerReview,at36(2017),citingOhioAdmin.Code§1501:9-3-06(C)(2)(regardinggeologicalinvestigationsofpotentialfaulting).
70Theresearchteamhasnotattemptedtodetermineifthisisananomalousrequirementorstandardpractice.See,ArkansasOilandGasCommission,OrderNo.63-2008-01,CommissionReviewofApplicant'sRequest(Feb.2008)(AROrder63-2008-01),availableat:http://www.aogc2.state.ar.us/Hearing%20Orders/2008/Feb/63-2008-01.pdf
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• CO,throughtheuseofpermitconditions,requirestheinstallationofseismicmonitoringatproposedcommercialwellsandallwellsiteswhichplanoninjectingover10,000barrelsperday.
• OK,throughagencyaction,requiredproposedwellsthatdidnotrisetotheir“redlight”standards,butwerestillofconcern,tohaveseismometersonlocationinordertobepermitted.71
• PAcanrequireinjectionwelloperators,throughspecialpermitconditions,todevelopandimplementacomprehensiveseismicmonitoringprogram.Ifthegeologicreviewconductedoftheareauncoversseismicitypotential,theDepartmentofEnvironmentalProtection(PADEP)willimposeaseismicmonitoringprogramonoperatorsthroughspecialpermitconditions.Theplanrequirestheinstallationofseismicmonitoringequipment,andtheimmediatenotificationofallseismiceventsrecordedtobetterunderstandandmitigateallinducedevents.72
Federal/StateSeismicityMonitoringInadditiontotheminimaloperatorseismicmonitoring,allofthestateshaveagenciesthatconduct,toagreaterorlesserextent,state-wideortargetedseismicmonitoringfornaturalandinducedseismicity.
• ARhasasmallnetworkofninepermanentbroadbandseismicstationsstrategicallyplacedwithinselectedstateparksacrossArkansas.ThisArkansasSeismicNetwork(ASN)73wasestablishedtoachievebetterandmoreuniformearthquakedetectionoutsideoftheNewMadridseismiczone.Thenetwork,installedinspringof2010,isintegratedwiththeregionalandnationalseismicnetworks.ItisoperatedandmaintainedincooperationwiththeArkansasGeologicalSurvey,CenterforEarthquakeResearchandInformationattheUniversityofMemphisandArkansasStateParks.
• COhasaseismometernetwork,butreliesheavilyuponUSGSseismicobservationstosupplementoperatorseismicmonitoring74andto“activelymanage”injectionoperationsin
71SeeOKDirectiveAugust3,2015.http://www.occeweb.com/News/08-03-15VOLUME%20ADVISORY%20RELEASE.pdf
72See,e.g.,PennsylvaniaDepartmentofEnvironmentalProtection,SenecaResourcesCorporation,ClassIIDisposalWellSeismicMonitoringandMitigationPlan(Mar.2017)(SenecaMitigationPlan),availableat:http://files.dep.state.pa.us/OilGas/BOGM/BOGMPortalFiles/Underground%20Injection%20Wells/Seneca/Class%20II%20Disposal%20Well%20Seismic%20Monitoring%20Plan%20and%20Mitigation%20Plan.pdf
73ArkansasSeismicNetwork,ArkansasGeologicalSurvey,availableat:https://www.geology.arkansas.gov/geohazards/arkansas-seismic-network.html
74COGovernor’sTaskForce,2014.Seealso,ColoradoGeologicalSurvey,SeismometerNetworks,availableat:http://coloradogeologicalsurvey.org/geologic-hazards/earthquakes/seismometer-networks/
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areasofthestate(RatonBasinandWeldCounty)thathaveexperiencedseismicitythoughttoberelatedtowastewaterinjection.75
• KS--TheKansasGeologicalSurvey(KGS)monitorsseismicactivitywithbothapermanent,regionalnetworkandtemporarymonitoringstationscurrentlyfocusedontheseismicallyactivesouth-centralareaofthestate.Networkinstallation,partofastateSeismicActionPlan,beganin2014,promptedbyescalationofearthquakeactivityin2013.TheKGScanrecommenddeployingportableseismicarraysintheareasofhighinterestdisposalwellsbasedonphysicalattributesofthewellsandinjectionwelldataprovidedbytheKansasCorporationCommission.
• MonitoringrequiredofinjectionwelloperatorsiscomplementedinOHbytheDivisionofGeologicalSurveyOhioSeismonitoringnetwork.76
• TheOKGeologicalSurveyoperatesaseismicmonitoringsystemthroughouttheseismicallyactiveregionsofthestate.77
• PAhasitsownseismicnetwork–nearlytripledinsizeto30stationsin2016–andalsousesdatafromnearbystatestoprovidefairlyevendatacoverageacrossPA.78
• TX–TheBureauofEconomicGeologyoperatestheTexNetseismicmonitoringprogramfocusedonlocatinganddeterminingtheoriginsofearthquakeswithinthestate.Theprogramofmonitoringandresearch,createdin2016andoperatedwithstatefunding,isalsosupportedbymultipleindustrysponsors.79
• EPAdoesnotmonitorforseismicityrelatedtoClassIIwells,buttheU.S.GeologicalSurveyoperatesanationalseismicmonitoringarrayandmaydeploytemporaryseismicstationstobetterunderstandearthquakesthatmaybeinducedbyhumanactivity,includingoilandgasdevelopment.80
75COGCC2017AnnualReport.
76OhioDepartmentofNaturalResourcesDivisionofGeologicalSurvey,OhioSeis:Ohio’searthquakemonitoringnetwork,availableat:http://geosurvey.ohiodnr.gov/earthquakes-ohioseis/ohioseis-home
77See,OklahomaGeologicalSurvey,SeismicMonitoringProgram,availableat:http://www.ou.edu/ogs/research/earthquakes/seismicstations
78ThePennsylvaniaStateSeismicNetwork,availableat:http://paseis.geosc.psu.edu/about.html
79BureauofEconomicGeology,TexNetSeismicMonitoringProgram,availableat:https://www.beg.utexas.edu/texnet-cisr/texnet;seealso2018BiennialReportonSeismicMonitoringandResearchinTexas,November28,2018,availableat:https://www.beg.utexas.edu/files/texnet/docs/TexNet_Biennial%20Report2018.pdf
80SeeInducedEarthquakes:ObservationalStudiesandrelatedwebpagesat:https://earthquake.usgs.gov/research/induced/studies.php
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REJECTEDLEGISLATION/REGULATION:Incommentsona2014rulemakinginTX,81onecommentergenerallysuggestedreducingtheburdenonapplicantsandoperatorsofinjectionwellsregardinginformationtojustifyissuanceofapermitortobetterunderstandseismicityissuesand,instead,solicitfundingfromthelegislaturetofundstudies.Alternatively,anothercommenterrecommendedrequiringaseismicmonitoringplan,suchaspre-andpost-monitoringoftheregionforearthquakesandrequiringmonitoringbeforeinjectionandtestingandrecordingoforiginalbottomholeinjectionintervalpressure.Thiscommentersuggestedthatseismicmonitoringplansshouldassessinducedseismicityforexistingpermitsaswell.
OperationalParametersMonitoringAsidefrommonitoringseismicactivitynearinjectionwells,allofthejurisdictionsrequiremonitoring,recordkeeping,andreportingofvariousparametersrelatedtowelloperations(seeQ10).Alljurisdictionsrequiremonitoring/reportingoffluidvolumesorinjectionrate.Somestates(e.g.,ARandOK)havespecialrulesforseismicallyactiveareasorcommercialdisposalwells.
FluidVolumes• InAR,operatorsmustreport,onaquarterlybasis,maximummonthlyfluidvolumes(Form
14),whileoperatorswithinlandsassociatedwiththeGuy-GreenbrierEarthquakeSwarm,mustmeasureinjectionvolumeatleastdaily(Form14B).Commercialwellsarerequiredtofilemonthlyreportswithmaximumdailyinjectionrates,dailyvolumesinjected,andcumulativevolumesinjectedsincethecommencementofoperations(Form14A).
• InCO,operatorsmustreportvolumeofproducedwater(Form7)andotherClassIIfluids(Form14)injectedintothewellmonthly,within45daysoftheendofthemonth.COrulesspecifythemannerinwhichvolumesaremeasured,computedandreported.
• InKS,operatorsmustreportonayearlybasisthetotalvolumeoffluidinjected(FormU3C).
• InOH,saltwaterinjectionwelloperatorsmustmonitorinjectionvolumesonadailybasisandannuallyreportthetotalvolumeinjected(Form204).Annulardisposalwellsmustannuallyreportthetotalvolumeoffluidinjected(Form205).
• InOK,monitoringandreportingrequirementshaveevolvedduringtheperiodofincreasedseismicactivityassociatedwithwastewaterdisposal.SeveralchangeswereinstitutedforspecificareasthroughOKCorporationCommissiondirectivesfollowedbyformalrulemakings.Currently,operatorsofnon-commercialwellsmustmonitorinjectionrateandannuallyreporttotalfluidvolumeinjectedaswellasmonthlysubtotals(Form1012);commercialwellsreportsemi-annually(Form1012C).OperatorsofArbuckleformationdisposalwellsmustrecordthedailyfluidvolumeinjectedandreportitupontheCommission’srequest.IfrequestedbythePollutionAbatementDepartment,operatorsofwellswithinseismicityareasofinterestmustmonitorvolumesonadailybasisandreport
81TXLegalCounselReview,2014.
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atleastweekly(Form1012D).Areasofinterest(AOI)inOKhavealsoevolvedandexpandedoverthelastseveralyears.AnAOIwasdefinedasa10kilometer(about122squaremiles)areasurroundinga4.0magnitudeearthquake,82andthenthecentermassofanearthquake“cluster”(August,2015).83Byearly2016,theareasofinterestincentralandwesternOKcoveredmorethan10,000squaremiles84andinMay,2018,15,000squaremiles.85AsofMarch,2016allwellsinAOIswererequestedbydirectivetomonitordailyandreportweekly.86
• OperatorsinPAmustsubmitacopyoftheEPAannualmonitoringreporttothePADEP.
• InTX,operatorsmustmonitorinjectionrateonamonthlybasis.Annually,operatorsmustreportthetotalvolumeofliquidand/orgasinjectedforeachmonth(FormH-10).
• EPAregulationsrequireobservationofflowrateandcumulativevolumeweeklyforfluiddisposal.Theseobservationsmustberecordedevery30days,thoughoperatorsareonlyrequiredtoreport,ataminimum,annuallytheaveragetotalvolumeinjected(Form7520-11).However,therearequarterlyreportingforms(7520-8)fortheminimum,maximum,andaverageinjectionrateforeachmonthandcumulativemonthlytotalvolumeinjected.
InjectionPressureAlljurisdictionsalsorequiremonitoring/reportingofinjectionpressure(seeQ10).
• ARoperatorsmustreportonaquarterlybasis87themaximumdailyinjectionpressurerequiredtoinjectwaterintotheformationeachmonth(Form14);commercialwells(Form14A)andwellssituatedinareasassociatedwiththeGuy-Greenbriarearthquakeswarm(Form14B)filemonthlyreportsofdailyrecorded,dailymaximumwellpressures.
• COrulesdonotspecifymeasuringandreportingofinjectionpressure,buttherequiredmonthlyreportingform(Form7)includessurfaceinjectionpressure(psig)fortubingand/orcasing.
82OKMediaAdvisory,3/25/15(changeexpectedtomorethandoublethenumberofdisposalwellsintheAOI).
83OKMediaAdvisory–OilandGasDisposalWellVolumeReductionPlan,August3,2015(OKMediaAdvisory,8/3/15).http://www.occeweb.com/News/08-03-15VOLUME%20ADVISORY%20RELEASE.pdf
84OKMediaAdvisory,3/7/16.
85OKMediaAdvisory–Medfordareaearthquake,May17,2019,availableat:http://www.occeweb.com/News/2019/05-17-19-Medford_EQ_Advisory.pdf
86OKMediaAdvisory,3/7/16.
87WhiletheregulationArk.CodeR.RULEH-3(n)indicatesquarterlyfiling,ARForm14isamonthlyformtobefilednolaterthanthe15thofthemonthfollowingthemonthcoveredinthereport.
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• KSoperatorsmustannuallyreportthemonthlyaverageinjectionpressureandmaximuminjectionpressureofthatyear(FormU3C).
• OHsaltwaterinjectionwelloperatorsmustmonitorinjectionpressuresonadailybasis.Annually,operatorsmustreportthemaximuminjectionpressureandaveragedailyinjectionpressure(Form204).
• OKhasregulationsforboth“required”and“requested”monitoringparameters.Alldisposalwelloperatorsmustmonitorsurfaceinjectionpressureandannuallyreporttheirmonthlydataondailyaveragepressurerates(Form1012);commercialwellsreportsemi-annually(Form1012C).OperatorsofcommercialsaltwaterdisposalwellsandoperatorsofArbuckleformationdisposalwellsmustrecordthedailycasingtubingannuluspressureandsurfaceinjectionpressureandreportthemupontheCommission’srequest.IfrequestedbythePollutionAbatementDepartment,operatorsofwellswithinseismicityareasofinterestmustmonitorpressuresonadailybasisandreportatleastweekly(Form1012D)andsupplytheDepartmentwithbottomholepressuredata.88Further,operatorswith"yellowlight"permitsintheCommission’strafficlightsystemarerequiredtoshutdownwellsevery60daysforbottomholepressurereadings.89
• OperatorsinPAmustsubmitacopyoftheEPAannualmonitoringreporttothePADEP.
• TXoperatorsmustmonitorinjectionpressureonamonthlybasis.Annually,operatorsmustreporttheaverageandmaximumpressures(FormH-10).
• EPAregulationsrequireoperatorstoobserveinjectionpressureandrecordtheaverageinjectionpressuremonthly.EPA’sQuarterlyInjectionMonitoringReport(Form7520-8)requiresoperatorstoreporttheminimum,maximum,andaverageinjectionpressurethatoccurredeachmonthduringthequarter.Operatorsareonlyrequiredtoreportannuallytheaverageinjectionpressureandhavetheoptiontoreporttheminimumandmaximumpressuresfromeachmonth(Form7520-11).Injectionpressuremustbeobservedweeklyforfluiddisposalwells.Theseobservationsmustberecordedevery30days.
88Seealso,OKMediaAdvisory,3/7/16(Alloperatorswererequestedinadirectivetodoso).
89OKMediaAdvisory,8/3/15(includingotherconditionsforproposedwellsnotmeeting“redlight”(stop)standards,butstillofconcern).ThetrafficlightsystemhasevolvedinOK,butin2015,yellowlightpermittingincludedspecialpermittingforanywellproposedwithinthreemilesofastressedfault,evenintheabsenceofseismicityandforanywellproposedwithinsixmilesofanearthquakeswarmormagnitude4.0event.
SeealsoOK12-2-19DraftChapter10Amendments,at73(Aproposedrulechangein2019wouldadd“requestedmonitoring”requirementsforareasofinterestdesignatedfor“potentialenvironmentalorpublicsafetyimpacts”andchangetherepositoryofthesedatatotheManageroftheInducedSeismicityDepartment).
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WaterQualityWhilethequalityofinjectedwastewaterhasnotbeenandisnotlikelytobeimplicatedininducingseismicity,understandingthesourceand/orqualityofwastewatermaybeusefulinfindingdisposalorreusealternativesifundergroundinjectionneedstobeseverelycurtailed.OnlyCO,KS,PA,andEPAspecificallyrequirereportingonthequalityortypeofinjectedfluids(seeQ10).
• COrequiresinformationonthetypeofnon-producedwaterwastesreceivedfromtransporters(e.g.,groundwaterrecoveredduringaremediationproject).
• KSrequiresreportingonthekindoffluidinjectedandconsidersitwhenmakingpermittingdecisions.
• PAandEPArequiremonitoringthenatureofinjectedfluidsandreportinganymajorchangesincharacteristicsorsources.
• ARandOKregulationsonlyrequireinformationonthegeneratororsourceofinjectionfluidsforcommercialdisposalwells(ARForm14AandOKForm1012C).Fornon-commercialwells,OKoperatorsmustsubmitayearlyreportonthetypeoffluidinjectedandthesourceofallfreshwaterfluids(OKForm1012).
• OHoperatorsdonothavetoreportthequalityortypeoffluid,butregulatorshavetheauthoritytosampleinjectionfluidsatanytimeduringinjectionoperations.
• OnlyTXlacksregulationsregardingthequalityortypeoffluidinjected,thoughFormH-10requiresreportingofallfluidtypesinjectedduringthereportingcycle.
OtherParametersOtherrequirementsforreportingrelatedtoinjection(SeeQ10)include:
• Identifyingtheinjectioninterval(AR;TXonFormH-5),mechanicalfailures(OH;OK),anysignificantpressurechange(TX),andaccidents(PA).TheseandotherstatesmayrequiresimilarinformationonUICpermitoroperationformsor,moregenerally,relatedtooperationofallwells.
• KShasthepotentialtohavethemostcomprehensivereportingrequirementspecifyingthatoperatorsmustreport“anyotherperformanceinformationthatmayberequiredbytheconservationdivision,”althoughthereportneednotbefileduntilMarchofthefollowingyear.
Theabilityofanagencytoreceiveinjectiondatainatimelymannerisimportanttoeffectivemanagementofinducedseismicity.Requirementsfordatacompilationandreportingvaryfromdaily-to-annualcompilationandmonthly-to-annualreporting.Somestates(e.g.,ARandOK)havespecialrulesforseismicallyactiveareasorcommercialdisposalwells,e.g.,OKcanrequirereporting‘on-demand’fordatafromArbuckleformationdisposalwells.
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REJECTEDLEGISLATION/REGULATIONS:Acommenteronthe2014rulemakinginTX90recommendedthattheCommissionreviseTXrulestorequiremonthlyreportingofinjectionvolumesandpressuresalongwithmaintainingdailyinjectionvolumesandpressuresthatmayberequestedatanytime.
AdaptiveManagement(Q11)Alljurisdictionshaveauthoritytorequirecorrectiveactionundercertaincircumstances(seeQ11).Theseactionsincludemodifyingorpreventinginjectionoperations.Atleastfourstateshaverespondedtoinducedseismicitybyshuttinginwellsoratleasttemporarilyreducingfluidinjectionvolumes(CO,KS,OH,andOK).Atleastonestate,OH,hasrequiredoperatorstomodifyinjectionpressuresinresponsetosuspectedinducedseismicity.Theauthoritytotakethesecorrectiveactionsiscrucialfortimelyresponsetoinducedevents.Theregulatorylanguageallowingforcorrectiveactionsvariesbyjurisdictionwithsomeactionsexplicitlyauthorizedandothersmadepossiblebygeneralauthority.
ProhibitInjection–Shut-inWellsAlljurisdictionsexceptTXspecificallyallowtheregulatoryagencytoprohibitinjection(e.g.,suspendoperations,shut-inthewell),butevenTXcaneffectivelyshut-inawellbyrevokingtheoperatingpermit(seebelow).AlthoughonlyOKcanspecificallyshut-inawellduetoseismicity,allotherjurisdictionshaveagencydiscretionwhenthereispotentialharmtothepublicoranemergencysituationexists.Regulatoryrationalesforprohibitinginjection,include:
• AR–Ifawellisleaking,ifthereisanyfluidmigrationintoUSDWs,orifthereisimminentdangertothehealthorsafetyofthepublic.
• CO–Ifthewelllacksmechanicalintegrityor,if,byviolatingarule,order,orpermitrequirement,awelloperatorcreatesanemergencysituation.
• KS–Ifthereisafailureinmechanicalintegrity,andifawelloperatorviolatesanyprovisions,rules,orregulationsandshut-inisnecessarytopreventpollutionandprotectwaterquality.Also,ifdamagemayresultifimmediateremedialactionisnottaken,anemergencyadjudicativeproceedingcanauthorizeshut-in.
• OH–Ifanoperator'sfailuretocomplywithanordercreatesanimminentdangertohealthorsafetyofthepublicorislikelytoresultinimmediateandsubstantialdamagetothenaturalresourcesofthestate.Additionally,awellcanbeshut-iniftherearemechanicalfailuresthatreasonablycouldoractuallyhavecausedthecontaminationofland,surfacewaters,orsubsurfacewaters.
• OK–Asamendedin2017,OKregulationsspecifythattheConservationDivisionmay“shutdownortakeotheractionincludingtheissuanceorexecutionofadministrativeagreements,
90TXLegalCounselReview,2014.
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...toaddressmattersincluding,butnotlimitedtoseismicactivity....”91ThefirstArbuckledisposalwellwasshut-induetoearthquakeconcernsinSeptember,2013.AsofMarch,2016,whenOKlawonCorporationCommissionauthoritywasamended,therewere27.92
• PA–Ifthewelloperatorisengaginginunlawfulconductorconductthatcausesimmediateandirreparableharmtothepublic.
• EPAcanprohibitinjectionifapermitorinventoryinformationwasnotsubmittedtimely,orifawelloperatorfailstocomplywitharequestforinformationordoesnotprovidefinancialassuranceinformation,orifthewelllacksmechanicalintegrity.
RevokePermitAlljurisdictionsexceptOKexplicitlyprovideforrevokingapermit,althoughTXistheonlystatethatexplicitlyallowsforrevokingapermitifawelliscontributingtoseismicactivity.
• ARcanrevokeapermitiftheholderfailstomeetpermitconditions,thepermitwasissuedinerror,ortheholderfalsifiedorotherwisemisstatedanymaterialinformationintheapplicationform.In2019,ARamendeditsregulationstoexplicitlystatethattheagencycouldrevokeaUICWellpermitforfailuretocomplywiththeagency’soperatingrequirementsforcommercialandnon-commercialinjectionwells.Additionally,theARDEQcanrevokeasurfacefacilitiespermitforClassIIwellsiftheydeterminethattheactivityendangershumanhealthortheenvironment.932019ARregulationsspecifythat
91Okla.Admin.Code§165:10-5-7(g)(1).Administrativeshutdownorotheractionregardingawell.Thisregulatoryadditionfollowedastatutorychangein2016:Okla.Stat§17-52(D)CorporationCommission-Jurisdiction,powerandauthority-EnvironmentalJurisdictionofDepartmentofEnvironmentalQuality,effective41816(Ifawellcreatesanemergencysituationthathas“potentiallycriticalenvironmentalorpublicsafetyimpact...theCommissionmaytakewhateveractionisnecessary,withoutnoticeandhearing,includingwithoutlimitationtheissuanceorexecutionofadministrativeagreementsbytheOilandGasConservationDivisionoftheCorporationCommission,topromptlyrespondtotheemergency.”).
92Gov.MaryFallin,PressRelease-Gov.FallinSaysUSGSEarthquakeHazardMapShowsStateRegulatorsAreTakingCorrectAction(March28,2016),availableat:http://services.ok.gov/triton/modules/newsroom/newsroom_article.php?id=223&article_id=19739(Therearecurrently[asofMarch2016]27ArbuckledisposalwellsshutinasaresultofOGCDactions.)Seealso,Mack,J.,AHandy,J.Barrett,andK.Jones.2016.OilandGasIndustryMayFaceIncreasedRegulatory,Transactional,andLitigationRisks.Oil&GasJournal13(7),availableat:http://www.ogfj.com/articles/print/volume-13/issue-7/features/seismicity-triggering-more-regulation.html(“Untilnow[2016],companiescouldsuccessfullyresisttheOCC'sdirectivessincethetrafficlightsystemwasnotapartofthestate'sofficialregulations.Inresponse,HouseBill3158wasdraftedtoclarifytheOCC'sauthorityto"takewhateveractionnecessarywithoutnoticeandhearing"torespondtoemergencysituations.HB3158receivedunanimoussupportinbothchambersoftheOklahomaStateLegislature,anditwassignedintolawbyGovernorMaryFallinonApril18,2016.”).
93SeeA.C.A.§8-4-101,etseq;Seealso,AuthorizationToConstructAndOperateTheSurfaceAssociatedWithADisposalSystemForSubsurfaceInjectionOfSaltWaterAndOtherOilFieldWastesUnderThe
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theARDEQhasjurisdictionoversurfacefacilitiesofbothcommercialClassIIwellsandhighvolume,non-commercialdisposalwells.
• InCO,theCommissionmayrevokeapermitiftheholderfailstoperformanyrequiredcorrectiveaction/abatementorfailstocomplywithaceaseanddesistorderwithregardtoviolationofapermitprovision.
• KScanrevokeapermitforjustcauseafterahearing.
• InOH,thechiefcanrevokeanunusedpermitbyorderiftheownerofawellhasfailedtocomplywithanorderoriscausing,engagingin,ormaintainingaconditionoractivitythatisanimminentdangertohealthorsafetyofthepublicordamagetothestate'snaturalresources.
• PAcanrevokeapermitiftheholderviolatestheCleanStreamsLaw,theSolidWasteManagementAct,anyotherstatuteadministeredbythedepartmentofoilandgasandtheresultofsuchaviolationisunsafeoperationorenvironmentaldamage.
• TXcanrevokeapermitifinjectionislikelytobecontributingtoseismicactivityandforseveralotherspecifiedreasons.94
• EPAcanrevokeapermitfornoncompliancebythepermitteewithanyconditionofthepermit,forfailuretodiscloseallrelevantfacts/misrepresentationofanyrelevantfactsintheapplicationorduringthepermitissuanceprocess,orifadeterminationfindsthatthepermittedactivityendangershumanhealthortheenvironmentandcanonlyberegulatedtoacceptablelevelsbyterminationofthepermit.
ModifyPermitsStateandfederalregulationsdonotexplicitlystatethattheagencycanreduceinjectionpressure,injectionrate,orvolumeoffluids,butCO,TXandEPAcaneffectivelydosowiththemoregeneralauthoritytomodifypermitterms.Thejustificationnecessaryformodifyingapermitvariesamongthesejurisdictions,but,arguably,allthejustificationscouldbeusedtoreduceinjectionpressure,ratesorvolumes.Otherstateshavereducedeithervolumeorinjectionpressurewithadministrativeactions.
• COcanmodifyapermitiftheoperatorfailstotakecorrectiveactionorabateaproblemorcomplywithaceaseanddesistorderregardingapermitviolation,oriffailuretotakerequiredactionresultsinanemergencysituation.COusesatrafficlightsystemasaguide
ProvisionsOfTheArkansasWaterAndAirPollutionControlAct.SectionB,StandardPermitConditions,at17,availableat:https://www.adeq.state.ar.us/water/permits/nodischarge/pdfs/sw/0000-wg-sw.pdf
94Otherreasonsinclude:thereisamaterialchangetotheconditionsofoperationorcompletionofadisposalwell,thereisalikelihoodthatfreshwaterwillbepolluted,anysubstantialviolationsofthepermit,thepermitholderhasmisrepresentedmaterialfactsinobtainingthepermit,ifinjectedfluidsareescapingthedisposalzone,orthereiswasteofnaturalresources.
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inmanagingseismicityatinjectionwells,whichrecommendsatleastmodificationofoperationsifaML2.5earthquakeisfeltnearthewellsite.95Ifanoperatorfailstomodifyoperationsaftersuchanevent,COcouldviewthisasapermitviolation.
• TXcanmodify(orsuspendorterminate)apermitforjustcauseandafternoticeandopportunityforahearingforvariousreasons,including,asof2014,thatinjectionis“likelytobeordeterminedtobecontributingtoseismicactivity.”96
• EPAmaymodifypermitsforvariousreasonsincludingobtaininginformationthatwouldhavejustifiedadifferentpermitconditionatthetimeofpermitissuance.
ModifyOperationsOtherstatesuseadministrativeauthoritywithoutexplicitlychangingpermitterms:
• WhileARdoesnothaveexplicitregulatoryauthoritytomodifypermits,ithasassertedthisauthorityonacase-by-casebasisasaUICwellpermitcondition.97
• Whilea“changeinpermit”wasnotexplicitlyaddressed,in2017,theCourtofCommonPleas,FranklinCounty,OH,adoptedaplanoftheDivisionofOilandGasResourcesManagementtoallowtheAWMS#2welltoresumeoperationsofitsinjectionwell.Theplanincludedascheduleforstartingwithreducedinjectionpressureandvolumeandincreasingbothpressureandvolumedependentonresultsofseismicitymonitoring.98
95COGovernor’sTaskForce,2014.
96See16Tex.Admin.Code§3.46(d)(1)(F);RailroadCommissionofTexas,RailroadCommissionAdoptsDisposalWellRuleAmendmentsToday,10/28/2014(TXDisposalRuleAmendments,2014)(Ruleamendmentin2014clarifies“Commission’sstaffauthoritytomodifyorsuspendorterminateadisposalwellpermit,includingmodifyingdisposalvolumesandpressuresorshuttinginawell,ifscientificdataindicatesadisposalwellislikelytobeordeterminedtobecontributingtoseismicactivity),availableat:https://rrc.texas.gov/all-news/102814b/
97AROrder63-2008-01(“ThattheDirectorshallissueapermit...subjecttothefollowingconditions:...b.ThattheDirectorshallhaveongoingauthoritytoamend,revoke,orotherwisemodifyanyaspectoftheinjectionpermitasdeemednecessary...”)98See,AmericanWaterManagementServices,LLCv.DivisionofOilandGasResourcesManagement,PM-16CV006218OD423-R87,availableat:https://vindy.media.clients.ellingtoncms.com/news/documents/2017/01/25/16-CV-006218.pdf
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REJECTEDLEGISLATION/REGULATIONS:InconsideringtheTXCommission’sauthoritytomodifypermitterms,theoriginallanguageoftheproposed2014rulegavetheCommissionauthoritytomodifythepermit"ifinjectionissuspectedoforshowntobecausingseismicactivity"99(emphasisadded).Twocommentersrecommendedrequiringthatinjectionshouldbe“demonstratedbyreliablescientificandengineeringdata”tobecausingseismicactivitybeforeapermitismodified,suspendedorterminatedforseismicactivity.
BroadAuthorityBesidesauthorizationtotakespecificactions,somejurisdictionshavebroadauthoritytotakecorrectiveactionseitherinanemergencyorwhennecessarytoprotectthepublicortheenvironment.Forexample,KSandOKagenciescantake“otheractions”incertainemergencysituations.
• TheKScodeprovidesthatthecommission,onthebasisofemergencyadjudicativeproceedings,“mayauthorizeitsagentstoenteruponthelandwherethewellislocatedandtakesuchremedialactionnecessary....”ifdamagemayresultifimmediateremedialactionisnottaken.100
• Inadditiontoshutting-inwells,OKregulationsspecifythattheConservationDivisionmay“...takeotheractionincludingtheissuanceorexecutionofadministrativeagreements,...toaddressmattersincluding,butnotlimitedtoseismicactivity....”101Bothbeforeandafterthisregulationwasformalized,OKhasrequired,bydirective,thepluggingbackofwellstoabovebasementrockandmanyinjectionvolumereductions,rangingfromsignificantpercentagereductionsbymultiplewells102toa70percentreductionbyanindividualwell.103
• PAcancreateamandatorypreliminaryinjunctionifitfindsthatawelloperatorisengagingin"conductcausingimmediateandirreparableharmtothepublic."PAalsousesatrafficlightsystemtomitigateinducedseismicityfrominjectionwells.Inoneexamplemitigationplan,ifawellinared-lightarearecordsamagnitude2orgreaterearthquakewithin2miles
99TXLegalCounselReview,2014),at2.
100Kan. Stat. § 55-162 (b). Finding reasonable cause to believe that person has violated act or rules and regulations; hearing; procedure; order; immediate remedial action; reconsideration and judicial review; investigations; sealing of well; removal of seal, penalty.
101Okla.Admin.Code§165:10-5-7(g)(1).Administrativeshutdownorotheractionregardingawell).
102SeeOKDirectivesandMediaAdvisories2015-2019,availableinOCCNewsat:http://www.occeweb.com/News/news.htm.Forexample,OKMediaAdvisory,3/25/15(Over300wells,overone-thirdofwellsintheArbuckleformation,mustbepluggedbacktoshallowerdepthorreduceinjectionvolumesby50%).
103SeeOKDirective,April9,2018–DirectivefordisposalwellinCovingtonareatoreducevolumeby70percent;availableat:http://www.occeweb.com/News/2018/04-09-18ADVISORY.pdf
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ofthewell,PADEPwillorderinjectionoperationstoceaseuntilitauthorizesinjection.Inayellow-lightarea,PADEPwillordertheinjectionratetobereducedby50%untilotherwiseauthorizedwheneverthreeormoreconsecutiveseismiceventsbetweenmagnitude1and2arefeltwithin2milesandwithina7-dayperiod.104
• InTX,thecommissionneedonlyfindthatanemergencyexiststocreateanorderwithoutnoticeorhearingtoprotectpublichealth,safety,orwelfareinthecaseofanemergency,thoughthatemergencyordercanonlyremaininforcefor15daysfromitseffectivedate.
• EPAregulationsrequirestateprograms(authorizedunderSDWA§1422)tohavespecificremedies,includingrestrainingunauthorizedactivity“endangeringorcausingdamagetopublichealthorenvironment.”ButnoneofthestatesinthissurveywereawardedClassIIwellprimacyunderSDWA§1422.
4.PublicParticipation,FinancialAssurances,Fees,andLiability(Q12-Q16)Mostofthelawdiscussedintheprevioussectionsaddressesthepotentialhazardsofinducedseismicity.Thelawdiscussedinthisfinalsectionismoreapplicabletoamelioratingoratleastredirectingrisk.Thedatasetpresentsfourtypesofregulationsthatcouldengagethepublicinhelpingtomanagewastewaterinjectionorhelptoensurethattheindustryinternalizesmoreofthecostsofinducedseismicity:
• Q12comparesregulationsthatrequiregivingnotice,seekingpubliccomments,orofferingpublichearingsoninjectionwellpermitsandoperationofwells;
• Q13addressesthetypesandamountsoffinancialassurancesthatoperatorsarerequiredtoposttopermitandoperateadisposalwell;
• Q14reportsadministrativefeeschargedbythejurisdictionseitherforpermittingorannualoperationsofdisposalwells;and
• Q15andQ16addressthemannerinwhichjurisdictionsaddressliabilityissuesrelatedtoinjectionwells.
PublicParticipation(Q12)Requirementsforpublicparticipation,includingprovidingthepublicwithnotice,opportunitytocommentonorprotestaproposedpermissionoraction,oropportunitytoobserveorparticipateinadministrativehearingscanoccurbothduringaninjectionwellpermittingprocessorwhileapermittedwellisoperating.105Requirementsforprovidingpublicparticipationopportunitiescanapplytoeitherthemanagementagencyitselfortopermitapplicants/welloperators.
104 See,e.g.,SenecaMitigationPlan.
105Thedatasetisfocusedonoperationoftheinjectioncontrolprogramratherthanstates’acquisitionofprimacy.Thusthedatasetdoesnotaddressnotice/comments/hearingsrelatedtoastate’soriginalapplicationforandassumptionofthepermitprogram(primacy),nordoesitaddressmakingchangestothose
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PermittingAlthoughnoneofthejurisdictionshavepublicnotice/comment/hearingregulatoryrequirementsspecifictoseismicevents,alljurisdictionsrequirepublicnoticeandopportunitiesforpublichearingsregardingpermitapplicationsforClassIIwellsandallbutARhaveadditionalregulationsregardingpubliccommentsorprotests(seeQ12).Noticeisgenerallybypublicationinanewspaperandbymailtospecificindividuals,suchassurfaceownersoridentifiedbytermssuchas“affected”or“interested”individuals.
• EPArequirespublicnoticeorhearings,allowingforatleast30daysofpubliccomment,toanyindividualwhohasrequestedbywritingtobeonthenotificationlist.Anyindividualcancommentondraftpermits.
• ARregulationsrequirenoticeinalocalnewspaperduringthepermittingprocess.Additionally,therearestrictnoticeandhearingrequirementsforanyproposedwellwithinareaslikelytocontainfaultsornearaMoratoriumZone.
• COregulationsrequirenoticeofwellpermitapplicationstobepostedinaDenvercountynewspaperandinanycountywheretheaffectedlandissituated.Additionalnoticeisrequiredtoallsurfaceownerswithinone-quartermileofthewell,andwellownersproducingfromtheinjectionzonewithinone-halfmileofthewell.InCO,thepubliccansearchbycountyforpendingUICwellpermits.106
• OHregulationsrequirenoticetopermitanewwellwithinanurbanizedareatoalllandownerswithin500feetandtotheexecutiveauthorityofthetownship.TheOhioOilandGasDivisionisresponsibleforpublishingnoticeofpermitapplicationsinanewspaperofgeneralcirculationinthecountyoftheaffectedlandaswellasindividuallynotifyingallownersoroperatorsofwellsproducingfromthesameformationastheinjectionwellandwithintheareaofreview.
• InOK,therecipientsofnoticefordisposalwellpermitscurrentlyvarieswiththetypeofwell.Noticetothesurfaceowneroftheproposedinjectionwellsiteisrequired.Further,operatorsmustpublishnoticeofproposedinjectionwellprojectsinlocalnewspapersaspartofthepermitapplication.107Forcommercialdisposalwells,noticeisbroadenedtosurfaceownersandlesseesoflandadjacentandcontiguoustothewellsite.2019proposedrulechangeswouldeliminatenoticetolessees,butexpandnoticetoallsurfaceowners
state-operatedpermitprogramsdespitethefactthatadvocatingforchangestoaprogrammightpromotechangesthatreducethehazardsorriskofinducedseismicity.
106ColoradoOilandGasConservationCommission,UndergroundInjectionUIC)PermitsSearch,availableat:https://cogcc.state.co.us/permits3.html#/UIC
107EmeryGullicksonRichards,FindingFault:InducedEarthquakeLiabilityandRegulation,ColumbiaJournalofEnvironmentalLaw,24(2015)(FindingFault),availableat:http://www.oilandgasbmps.org/docs/GEN442_InducedEarthquakeLiabilityandRegulation.pdf
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withinonemileoftheproposedwellforbothcommercialandnon-commercialwells.108Noticetooilandgaswelloperatorsisalsorequiredforwellsbasedondisposalvolumesandtypesofwellsand2019proposedchangeswouldalsoexpandtheserequirements.
Further,asmentionedregardingcitingofinjectionwellsintheArbuckleFormation(seeQ5),suchwellscannotbeadministrativelyapprovedandwellsinOK’sAOIareasmusthaveapublicreview.109
• PAregulationsrequirenotificationofwellpermitapplicationstosurfaceownersandwaterpurveyorswithin1000feetofaverticalwellbore.Andapermitmaybedeniedifthereare“unresolvedobjections”tothewelllocation,butonlyifthoseobjectionsarebyacoalmineowneroroperator.Asurfaceownercanobjecttoaproposedwelllocation,butonlybasedonspecificenvironmentaland“publicresource”considerations.Inamoregeneralstatementaboutparticipation,PAregulationsprovidethat“anypersonhavingadirectinterest”inarelevantmattercanrequestaconferencewiththedepartmentandnoticewillbegiventoallinterestedparties.
• TXregulationsrequirenoticetobedeliveredtoall"affectedpersons"forcommercialwells,includingsurfacetractownerswhoselandabutstheaffectedlandandinanewspaperintheaffectedarea.
OperationsInmostjurisdictions,publicnoticeandopportunitytocommentandaccesstoapublichearingorconferencearealsoavailableoncetheagencyhasgrantedaUICpermit,butitismorelimitedthanthepublicparticipationopportunitiesduringthepermittingprocess.Inthreejurisdictions(EPA,OK,andTX)therequirednoticeduringoperationsislimitedtoissuesnotlikelytoincludeinducedseismicity;inthreeothers(CO,KS,andPA)noticemustbeprovidedregardingordersthatcouldbeissuedduringoperationsandrelatetoprocessesthatcouldaffectseismicitypotential.110
• EPAregulationsonpublicparticipationregardingwelloperationsarespecifictoaquiferexemptions;inOKtheyarerelatedtopollutioncomplaints;andinTXtheyarespecifictowellplugging.
108OK12-2-19DraftChapter10Amendments,at62.
109OKMediaAdvisory,8/3/15(Thoseproposedwellsthatdonotmeet“redlight”(stop)standardsbutarestillofconcern...Musthavepublicreview).
110Forexample,COhasissuedordersinregardstoviolationsofmaximuminjectionpressure,whichoccurredduringtheoperationofwells.SeeCOGCC,ORDERNO.1V-329(2008),availableat:https://cogcc.state.co.us/orders/orders/1v/329.html
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• AR–Whilenotexplicitinregulations,ARhascitedtoitspermittingregulations(RuleH-1)forrequiringahearingpriortoapprovingapermitamendment(increasingdisposalvolumeand/orpressure)whentherequestedamendmentissubjecttoobjections.111
• COrequiresnoticeofallorderstobegiventotheaffectedpartyandtobepublishedinaDenvercountynewspaper,andanewspapersituatedinthecountywheretheaffectedlandissituated.Additionally,anyinterestedpartymayfilearequesttoreceivenoticeforuptothreeyearswhenanypetitionisfileduponwhichahearingmaybeheld.
• KSrequiresoperatorstopostnoticetothelandowneronwhoselandthesubjectwellislocated,and,ifwithinone-halfmileofthewell,tootheroperators,ownersofunleasedacreage,andtheownerofthemineralestate.OperatorsmustpublishpublicnoticeintheofficialcountrynewspaperiftheyapplytochangetheirpermitpertheinstructionsforFormU-8.Ifaninterestedpartyproteststheapplication,thenahearingmustbeheld.
• PAhastheoptiontopubliclypublishnoticeofanorderinanewspaperincirculationinHarrisburgandinthecountywheretheaffectedlandissituated,butcanalsogivenoticebypersonalservicetotheoperator,orbyU.S.mailtotheoperatororroyaltyowneraffected.
Whilepublicnoticeinanewspapermaynotbereadbymany,itmaybethemosteffectivemethodinoperationinthesestates.AndithasledtosuccessfulprotestsbyarearesidentsinOKatleastonce.112Noticetoindividualswithinashortdistanceofaninjectionwellisnotlikelytoinformtheentireat-riskpopulationbecauseearthquakescanbefeltseveralmilesfromaproblematicinjectionwell.Anotificationsystemthatallowsinterestedpartiestosignupwithanagencytoreceiveelectronicnoticemightbethemosteffectiveifitwereappliedbroadlytooperatorreportsandagencyorders.
111REQUESTFORANORDERAPPROVINGANAMENDEDCLASSIICOMMERCIALDISPOSALWELLPERMIT;ORDERNO.035-2-2012-01(citingGeneralRuleH-1asrequiringahearing),availableat:http://www.aogc2.state.ar.us/Hearing%20Orders/2012/February/035-2-2012-02.pdf
112FindingFault,at24,citingBarryPorterfield,It’saWrapforDisposalWellIssue,PAULSVALLEYDEMOCRAT(Sept.6,2012,9:30AM)http://www.paulsvalleydailydemocrat.com/news/local_news/it-s-a-wrap-for-disposal-well-issue/article_e396bdc9-c178-5a23-8c47-c9611da8a34a.html(residentsfirsthearofwellpermitapplicationinlegalnotice).
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REJECTEDLEGISLATION/RULES:In2018,abillbeforetheKSlegislature(HB2672113)wouldhavetaskedthecorporationcommissionwithprovidingthenamedsurfaceowner,alllandownerswithinonemile,andlocalgovernmentswithin15milesoftheproposedwellthepermitapplicationandinformationonthehearingprocessandotherpublicparticipationoptions.ThechangewouldhavetaskedthecommissionwithprovidingadatarepositoryonClassIIdisposalwellsontheirwebsite(see§1(e)).Thebillproposedcreationofacitizens’injectionwellboardto“protecttheinterestsofKansascitizens,businesses,counties,citiesandtownshipsinanyproceedingsbeforethestatecorporationcommissionconcerningclassIIinjectiondisposalwells.”Ifpassed,theboardwouldhavebeenabletoemployaconsumercounselwhocouldinitiateactions,interveneinproceedingsandcomplaintcases,andrequestrehearingorjudicialreviewofstatecorporationcommissionordersordecisions(see§3).
Commentsonthe2014TX114rulemakingrecommended(1)adequatepublicnoticetoelicitpubliccommentandtoengagepublicinvolvementthroughthepermittingprocess,andaccompanyinghearingprocedures,and(2)earnestappealsproceduresforpropertyownerswhodonotagreewithorwhoareotherwiseimpactedbytheCommission'spermitdeterminationinanycase.
FinancialAssurances(Q13)Alljurisdictionsrequiretheoperatortopostfinancialassurances,generallysuretybonds,forinjectionwells.Thesebondsmaybeblanketbondsoronaperwellbasis(seeQ13).Statescouldusefinancialassurancestocompensatethepublicandrepairenvironmentaldamagefrominducedseismicity.Butbonds,andespeciallyblanketbonds,areoftencriticizedasbeinginsufficienttoevenprotecttheenvironmentfromthefailuresofdisreputableoperators.115Tocoverthecostsofinducedseismicitydamage,stateswouldlikelyhavetochangeboththepurposeandamountsoftheirrequiredfinancialassurances.
Inadditiontobonds,variousstatesalsospecifysuitabilityofalternativefinancialassurances:lettersofcredit(allstates);certificatesofdeposit(allbutKSandTX);andcash(allbutKS).AlljurisdictionsexceptARmakeageneralstatementaboutthepotentialfor“othertypes”ofinstrumentstobeacceptableifapprovedbythemanagingagency.Othertypesincludeescrowaccountsandsinkingfunds(CO),liens(COandKS);financialstatements(OH);cashier’schecks,bankjointcustodyreceipts,othernegotiableinstruments(OK);andplugginginsurancepolicies(TX).InKSanoperatorcanshowtherequisitefinancialresponsibilityinlieuofpostingabondbydemonstratingacceptablecompliancewithrules,regulationsandordersoverthepreviousthreeyearsandpayinganominal($100)nonrefundablefee.
113HB2672.
114TXLegalCounselReview,2014.
115Seee.g.,Ho,Jacqueline,etal.2016.PluggingtheGapsinInactiveWellPolicy,ResourcesfortheFuture(Thisreportisnotspecifictoinjectionwells),availableat:https://media.rff.org/documents/RFF-Rpt-PluggingInactiveWells.pdf
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PurposeandForfeitureEnsuringthepluggingofwellsandreclamationofwellsitesistheprincipalpurposeoffinancialassurancesforalljurisdictionsexceptKS,who'sregulationsdonotstateaspecificpurpose.Inaddition,afewjurisdictionsspecifyotherpurposesofthefinancialassuranceoroccurrencesthatcouldpromptforfeiture.
• TheKSfinancialassuranceprocessisanoperatorlicensureprocesssimplyto“assurefinancialresponsibility.”116
• COregulationshavefinancialassurancestoensureprotectionofthesoilandtoprotectsurfaceownerswhoarenotpartiestoaleaseorsurfaceuseagreementfromunreasonablecroplossorlanddamage.
• Moststateswillholdabondtomoregenerallyassurecompliancewithstatelaw(AR,CO,OH,TX),commissionrules(AR,OK,PA,TX),orconditionsofthepermit(PA,TX).
• Nojurisdictionspecificallyrequiresfinancialassurancetocompensatedamagefrominducedseismicevents.
AmountofFinancialAssuranceAllstatesalsospecifytheamount,orprovideaguidelineforcalculatingtheamountoffinancialassurances.
• Twostates(AR,CO)andEPAhavefinancialassuranceregulationsspecifictoinjectionwells:
• AR-$25,000foraDisposalwell;$50,000foraCommercialDisposalwell.117
• CO–ForClassIIcommercialUICwellsurfacefacilitiesandstructures,thecostis$50,000foreachfacility.Foranywell,thecostis$10,000/wellforallwellslessthanthreethousandfeetand$20,000/wellforwellsgreaterthanthreethousandfeet.COhasanadditionalfinancialassuranceforoperationswithheavyequipment:$2,000/wellfornon-irrigatedland,$5000/wellforirrigatedland,orablanketassuranceof$25,000.
• WhileEPAdoesnotprovideadollaramount,itspecifiesthatthebondmustcoverthecostofclosing,plugging,andabandonmentofinjectionwells.
• Theremainderofstates(KS,OH,OK,PA,andTX)donotdistinguishbetweenfinancialassurancesforinjectionandproductionwells.Threeofthese(KS,PA,andTX)requirefinancialassurancebasedonthedepthofwellswhichcould,arguably,compensatefor
116Kan.Stat.§55-155(d)Licensureofoperatorsandcontractors;requirements.
117Ark.CodeR.RULEB-2:PROOFOFFINANCIALRESPONSIBILITYREQUIREDTOBEFURNISHED(f)(4)(ARoperatorscansupplyblanketfinancialassurancesof:1)$25,000for1-25wells;2)$50,000for26-100wells;or3)$100,000for101ormorewells).
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potentiallygreaterexpenseinpluggingdeeperwellsandmitigatingtheirsurfaceimpacts.OHandOKrequirefinancialassurancesonaperwelloroperatornetworthbasis.
• KS–Thestatedoesnotspecifyaninjectionwellfinancialassurance,butthegeneralwellassuranceis$.75timesthetotalaggregatedepthofallwellsorablanketperformancebondwhere:1-5wellscost$7,500;6-25wellscost$30,000;andover25wellsis$45,000.
• OH–Financialassuranceis$5,000perwellorastatewideblanketfor$15,000.
• OK–Beforedrilling,a$25,000(orless,ifnegotiated)financialassuranceorafinancialstatementshowingtheoperatorisworthatleast$50,000isrequiredforbothinjectionandproductionwells.
• PA–Financialassuranceisbasedonnumberofwellsandtheirdepth.118But,forasuretybond,thepriceis$2,500/wellorablanketbondof$25,000.
• TX–Financialassuranceis$2/footofwelldepthforeachwell,thoughinnocircumstanceswillitbelessthan$10,000.TXalsohasablanketbondavailable.119
• Statescanalsoincreasethestandardamountofthefinancialassuranceforvariousreasons.
• InAR,theDirectorcanrequireadditionalfinancialassurancebasedon:lengthofoperationwithinthestate,compliancehistoryofthepermitholder,environmentalconsiderationofthewelllocation,andotherfactorsthatmayimpactthecostofpluggingandrestoringthewellsite.
• Inordertodemonstratethatoperatorsarecapableoffulfillingtheobligationsimposedbythestate’soilandgaslaw,COhastheflexibilitytoincreasefinancialassurancerequirementsbasedonanoperator’spatternofnon-compliancewithoilandgasregulationsinCOorotherstates,becausespecialgeologic,environmental,oroperationalcircumstancesexistwhichmakethepluggingandabandonmentofparticularwellsmoreexpensive,orduetootherspecialanduniquecircumstances.
11858Pa.C.S.A.OilandGas§3225.Bonding(a)(1)(PAfinancialassurancesarecalculatedat:Depthoflessthan6,000feet:1)upto50wellsis$4,000perwell;2)51-150wellsis$60,000plus$4,000/wellinexcessof50wells;2)151-250is$60,000plus$4,000foreachwellinexcessof150;3)andmorethan250is$100,000plus$4,00/wellinexcessof250.Forwellsofdepthgreaterthan6,000feetthesamenumbercategoriesapply:1)$10,000/well;2)$140,000plus$10,000/wellinexcessof20;3)$290,000plus$10,000/wellinexcessof50;4)$430,000plus$10,000/wellinexcessof150and5)for150wellsormore,$430,000plus$10,000/wellinexcessof150).
11916Tex.Admin.Code§3.78FeesandFinancialSecurityRequirements(g)(1)(B)(TXblanketbondsare:1-10wellsfor$25,000;10-100wellsfor$50,000;and;100ormorefor$250,000).
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• OKcanrequireasuretyinanyamountgreaterthan$25,000andupto$100,000,afternoticeandhearing,thatthereisgoodcauseforconcernoverpollutionorimproperpluggingofwellsbytheoperatororanaffiliate.
• TXregulationsdonotprovidespecificreasonsforanincreaseinfinancialassurances,butstatethattheamountofassurancecanbegreaterthantheamountneededtoreclaimwells.
Fees(Q14)Thestateschargevariouscombinationsofpermitprocessingfeesandannualoperating(licensure)fees(seeQ14).120EPAdoesnotspecifypermitprocessingoroperationsfees.Bothtypesofstatefeesarecurrentlynominal,but,ifsufficient,couldoffsetthestates’costsformonitoringandmanagingforinducedseismicity.
InjectionPermitProcessingFeesAR,KS,OH,OK,andTXhavefixedinjectionwellpermitprocessingfees,rangingfrom$200inKSto$1,500inOK.Somestates,forexampleAR,OH,andTX,chargeaseparate(additional)feefordrillingthewell.
• OK’sfeesdifferforcommercial($1500)andnon-commercial($250)wells.
• AR’sfeesincludebothadrillingfee($300)foranydisposalwellandaseparatefeetobeginoperatingthecommercial($500)andnon-commercial($100)injectionwell.
• PAhasapermitapplicationfeeforallwellsadjustedtocoverwellpermittingadministrativecosts,andtheorphanandabandonedwellprogram.PA’spermitfeesvarybydepthofwell.
OperationsFees• AR,KS,OK,andTXhaveafixedannualoperationfee,rangingfrom$100inARandKSto
$350inTX.• OKfeesdifferforcommercialandnon-commercialwells.• OHhasanoperationfeecalculatedbyvolumeinjectedandlocationofthesourceoffluids,
rangingfrom$.05-$.20perbarrel.• Inadditiontoitsfixedfee,KSalsohasanoperationsfeeadjustedtocoveradministrative
costs,specificallyincludinginspection,investigation,enforcement,andmonitoring.
120AsofAugust2019,COfeesaresetto$0foradisposal/injectionwellpermit(Form2),butwillbereviewedinanupcomingrulemaking.Seechartofapplicablefees,availableat:http://cogcc.state.co.us/documents/reg/Rules/LATEST/AppendixIII.pdf;personalcommunications,ChrisEisinger,ColoradoOilandGasConservationCommission,August23,2019.
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REJECTEDLEGISLATION/RULES:In2018,abillbeforetheKSlegislature(HB2672§1(d)(2)121)proposedchangingtheirpermittingfeeto“nolessthan$1000”andtheir$100annualoperatingfeetoavolume-basedfeeof$.01per100barrelsofinjectedfluids,paidquarterly,tofundaninjectionwellinducedseismicityfund(seeQ15).
Acommentonthe2014rulemakinginTX122recommendedthattheCommissionincreasethedisposalwellpermitapplicationfeetocovertheadditionalworkrequiredofCommissionstaff.
Liability(Q15–Q16)
DeterminingLiabilityMostofthejurisdictionsdonotdirectlyaddressliabilityorburdenofproofregardingeitherthecauseofseismicityorfordamagescausedbyinducedseismicity(seeQ15).
Regardingwhetherornotawellisinducingseismicity,onestate,AR,hasgenerallyaddressedburdenofproofstandardsinregulation,andanother,TX,inadministrativeproceedings.
• ARregulationsnotethattheDirectorhastheburdenofproofwithasubstantialevidencestandardinabandonedwellandemergencyhearings.ARhasusedemergencyhearingstoshut-inwellslikelytobeinducingseismicity.123
• WhileburdenofproofandstandardofreviewarenotexplicitinTXoilandgasregulations,hearingexaminershavedecidedindividualcasesapprovinganewpermitanddecliningtomodifyanexistingpermitdespiteseismicityintheareaofthewells.Inacaseregardingobjectionstoanewinjectionwellpermit(Primexx,2016124),Examinersdidnotexplicitlystateaburdenofprooforstandardofreview,butnotedthattheoperatorapplicantprovidedevidenceandtestimony,buttheobjectingadjacentlandowner/farmerquestioned
121HB2672.
122TXLegalCounselReview,2014.
123SeeArkansasOilandGasCommission,OrderNo.051-2011-02(EmergencyOrder),CessationOrder–EmergencyOrder(Mar.2011)availableat:http://www.aogc2.state.ar.us/Hearing%20Orders/2011/March%20(Special%20Hearing)/051A-2011-02%20Emergency%20Order%20-%20Final.pdf
124PrimexxPermitApplication,2016(WithfailureoftheCommissiontoprovidepolicyguidanceortheagencystafftorequestadditionalinformationfromtheapplicantortoproposeanyspecialpermitconditionsrelatedtotheareaseismicity,andfailureofthelandownertoprovidehisownevidence,theExaminersconcludedthattherewasnoevidentiarybasistodenytheinjectionwellapplication.Intheiranalysis,theExaminersnotedthat“evidenceindicatestheco-locationofinjectionactivityandseismicactivity”,butalsothat“locationsoftheseismiceventsarenotaccuratelyknownbecauseofinherentlimitationoftheregionalseismographnetworkusedtodetectthem.”TheyalsoaffirmedtheCommission’sauthorityto“modify,suspendorterminateadisposalpermitif“injectionislikelytobeordeterminedtobecontributingtoseismicactivity.”),
44
theoperator,butdidnotpresenthisowncase.Intheirruling,theExaminersnotedthattheCommissionhadnospecificcriteria,policyorguidanceonwhethertherewasalreadysufficientcapacityforfluiddisposal(apublicinterestissue),norhowevidenceofareaseismicityshouldbeconsideredinevaluatingapermitapplication,nordidtheagencyrequestadditionalinformationfromtheapplicant.125In2015hearingstodetermineifeitherorbothoftwowellshadcausedorcontributedtorecentareaseismicactivity,therespondentwelloperators(XTOEnergyandEnerVestOperating)hadtheburdenofprooftoshowbyapreponderanceofevidence(i.e.,“itismorelikelythannot”)thattheirwellswere“[not]likelytobeordeterminedtobecontributingtoseismicactivity...(16Tex.Admin.Code§3.9(6)(A)(vi))”.126
Moregenerally,threestates(CO,KS,andPA)addressliabilityforviolationofregulationsornegativeimpactsofdevelopmentontheenvironmentorthepublic.
• COnotesonlythat,initially,thereisarebuttablepresumptionagainstliabilityiftheenvironmentalimpactsareongoingandaresultofapreviousviolationcommittedbyapredecessor.Thisliabilityregulationliststypesofenvironmentalimpacts(air,water,soil,andbiologicalresources)andincludesapplicationtoanyruleoftheActitself.Butthe
125SeeTXLegalCounselReview,2014),at1(The2014rulemakingaddedregulatorylanguageregardingcalculationofapressurefrontboundaryaroundaproposeddisposalwelllocationtoberequiredin“limitedcircumstanceswhereadditionalinformationisnecessarytodemonstratethatfluidswillbeconfinedifthewellistobelocatedinanareawhereconditionsexistthatmayincreasetheriskthatfluidswillnotbeconfinedtotheinjectioninterval.”(citing16Tex.Admin.Code§3.9(3)(C)and§3.46(b)(I)(D))).
126RailroadCommissionofTexas,OilandGasDocketNo.09-0296411(XTORenoWell),at4,availableat:https://www.rrc.texas.gov/media/31023/09-96411-sho-pfd.pdfandOilandGasDocketNo.09-0296410(EverVestBriarWell),at4(Inthesehearings,examinersunderstood“contributing”tomeanthatfluidinjection(thesubjectaction)providedatleastapartoftheforcenecessarytocauseorachieveseismicactivity(theoutcome).Theexaminersalsorequiredthattheinjectionstimulusandconsequentseismicactivitymustoccurinamechanicallyconnectedsystemthatallowsforstresstobetransferredtothelocationofrupture.),availableat:https://www.rrc.state.tx.us/media/31022/09-96410-sho-pfd.pdf;Seealso,Hornback,MatthewJ.,etal.CausalFactorsforSeismicitynearAzle,Texas,NatureCommunications.NaturePublishingGroup.April21,2015(CausalFactorsreport),availableat:https://www.nature.com/articles/ncomms7728?iframe=true&width=100%25&height=100%25(TheEnerVestBriarWellandXTORenoWellhearingswerecalledbytheTexasRailroadCommission(RRC)inresponsetotheCausalFactorsreportthathadconcludedthat:“OnthebasisofmodelingresultsandtheabsenceofhistoricalearthquakesnearAzle,brineproductioncombinedwithwastewaterdisposalrepresentedthemostlikelycauseofrecentseismicitynearAzle.”AfterhoursoftestimonyandmultipleexhibitspresentedbytherespondentoperatorsandnodirectcasepresentedbytheRRCandnotestimonybytheauthorsoftheCausalFactorsreport,Examinersinbothcasesconcludedthatthepreponderanceoftheevidence“doesnotsupportafindingthatthewellislikelytobeordeterminedtobecontributingtoseismicactivity.”But“evidenceintherecorddoesnotsupportafindingoffactthat[thewell]isnotcontributingtoseismicactivityintheAzle-Renoarea,orthattheseismicactivityissolelytheresultofnaturaltectonicprocesses.”).
45
regulationdoesnotspecifythepotentialcausesoftheseresourcedamages,forexample,byseismicity.
• PAregulationsstatethatapersonisliableforawellcontrolemergencyandthecostsincurredbythedepartmentinitsresponsetotheemergencyincluding"providingtheresourcesandequipmentneedsfortheincident."PAregulationsdonotaddressburdenofproof.
• KSdoesnotaddressgeneralenvironmentalorsocialimpacts,butaddressesliabilitysurroundingabandonedwellslikelytopolluteusablewaters.There,ifpollutionisoccurring,theliabilityfallsontothelastoperator,theoperatorwhopluggedthewell,oranindividualwhotamperswithwellequipment.TheCommissioncaninvestigateanypollutionproblemrelatedtooilandgasactivityandhasacauseofactionforthereasonablecostsofplugging,repluggingorrepairingawellagainstanypersonlegallyresponsibleforthecareandcontrolofthewell.
REJECTEDLEGISLATION/RULES:In2018,abillbeforetheKSlegislature(HB2672127)proposedcreatinganinjectionwellinducedseismicityfund(seeQ16)supportedbyClassIIinjectiondisposalwellapplicationfeesandanewinjectionvolumefee(seeQ14).Accordingtothebill,theagencyrulesandregulationspromulgatedfortheproposedlawwouldhavepresumeddamagescausedbyanearthquakewerecausedbyaninducedseismicityevent,unlessprovenotherwise.
Anotherbillinthe2018Kansaslegislativesessionrequiringinducedseismicityliabilityinsurance(HB2669128)(seeQ16),wouldhavemadeanoperatorofaclassIIinjectiondisposalwellaliablepartyforanypropertydamagescausedbyaninducedseismicityevent,unlesstheoperatorcanprovebyapreponderanceoftheevidencethattheoperatorcouldnothavecausedsuchinducedseismicityevent.
LiabilityInsuranceTwostates(COandOH)requireoperatorstoholdliabilityinsurance(seeQ16).
• COoperatorsmustmaintainatleast$1millionperoccurrenceingeneralliabilityinsurancecoverageforpropertydamageandbodilyinjurytothirdparties.
• OHwellownersmustobtainliabilityinsuranceof$1-3million(inurbanareas)forbodilyinjuryandpropertydamagecausedbydrilling,operatingorpluggingofalloftheirOHwells.WhileOHrequireshorizontalwellownerstoincludeanenvironmentalendorsementontheirpolicy,thisisnotrequiredfornon-horizontal(includinginjection)wells.
127HB2672.
128HouseBillNo.2669(2018)(HB2669),availableat:http://kslegislature.org/li_2018/b2017_18/measures/documents/hb2669_00_0000.pdf
46
• ARhas,throughpermitconditions,requiredanoperatortoacquireliabilityinsurancepriortoinjection.129
REJECTEDLEGISLATION/RULES:In2014,inresponsetoacommenterrecommendingthattheCommissionrequireoperatorstobuyearthquakeinsurance,theTXstatelegalcounselstatedthatit“hasnostatutoryauthoritytorequireanoperatortopurchaseinsurance”.130
In2018,abillbeforetheKSlegislature(HB2669131)proposedrequiringoperatorstoprovideacertificateofinducedseismicityliabilityinsurancethatisreasonablysufficienttoprovidecoverageforpropertydamagescausedbyinducedseismicityeventsasdeterminedbythecommission.
HB2672132alsoproposedcreatinganinjectionwellinducedseismicityfundsupportedbyClassIIinjectiondisposalwellapplicationfeesandanewinjectionvolumefee(seeQ14).Expendituresfromthefundcould,havereimbursedKansascitizens,entities,counties,citiesandtownshipsfordamagesfrominducedseismicityeventsandprovidedoperationalmoneysforthecitizens'injectionwellboard.TheKansaslegislaturerejectedasimilarfund–anearthquakeriskpoolfundin2015(HB2349).133Thisfundwouldhavebeenlimitedtocompensatingpersonalinjuryorpropertydamages.ThebillwouldhaveestablishedanewClassIIUICdisposalwelllicensefeeandrequiredsuspendingsuchlicenses,permitsandapprovalsincertaincountiesuntilthefundwassufficientlyfundedtoprovideadequatefinancialsafeguardstocompensateforpotentialpersonalinjuryorpropertydamage.
ConclusionThiswhitepaperandtheLawAtlasdatasetaretheprincipalproductsoftheRegulatoryActionsgroupoftheColoradoCollaboratoryofInducedSeismicityproject“HazardsSEES:TheRiskLandscapeofEarthquakesInducedbyDeepWastewaterInjection.”OurfocushasbeentocomparemanagementofoilandgaswastewaterinjectionbyEPAandsevenstatesthathavehadsignificantoilandgasdevelopmentaswellasexperiencewithinducedearthquakes.Forthiscomparison,wereliedprimarilyonstatutoryandregulatorylanguagecapturedintheLawAtlasInducedSeismicitydataset.Wehavesupplementedthislawwithinformationfromstateadministrativeagencyforms,
129SeeAROrder63-2008-01.Whileitwastheonlyorderlocatedonthisissue,itisnotpossibletodeterminefromtheCommissionorderwhetherthisisananomalousrequirementorstandardpractice.
130TXLegalCounselReview,2014,at4.
131HB2669.
132HB2672.
133HB2349(2015),availableat:http://kslegislature.org/li_2016/b2015_16/measures/documents/hb2349_00_0000.pdf
47
actionsandpolicies.Inordertodocumentwhathasbeenrecommended,butnotyetincludedinstatutesandregulation,wehavesummarizedafewfailedlegislativeandregulatoryproposals.
Whilethissummaryprovidesverylittleanalysisandcommentonthelaw,itprovideseasyaccesstothepertinentprovisionsofeachjurisdiction.Ourhopeisthatthisstimulatesevaluationanddiscussionofthevariousjurisdictions’approachestoClassIIUICwellmanagementastheyrelatetoinducedseismicity.Ideally,thiswillleadtoreductioninboththehazardsandrisksofinducedseismicityfromdisposalofoilandgasproductionfluidsbyinjection.
Theprojectteamwelcomesotherresearchers,regulators,industryandindividualstoutilizethedatasetinitscurrentform,toupdateit,ortoexpandittoincludeadditionalstatesortoaddressadditionalissues.134
134Forcomments,correctionsorquestionscontactKathrynMutz,NaturalResources,[email protected]@gmail.com.
48
APPENDICESAppendixA:StatutesandRegulationsCitedintheLawAtlasDataset
Arkansas
Ark.Code PowersandDuties-RulesandRegulations §15-71-110(a)and(d)
Ark.CodeR. GeneralHearingProcedures RULEA-2(c)
AdditionalRequirementsforSpecificTypesofHearings RULEA-3(a)
EnforcementProcedures RULEA-5(e)
ProofofFinancialResponsibilityRequiredtoBeFurnished RULEB-2(b-h)and(k)
Abandonedorleakingwellandwellsiteremediation RULEG-1(a)and(c-f)
Version1:ClassIIDisposalandClassIICommercialDisposalWellPermitApplicationProceduresVersion2:ClassIIDisposal,ClassIICommercialDisposal,EnhancedOilRecoveryInjection(EOR),andClassVBrineDisposalWellPermitApplicationProcedures
Version1:RULEH-1(a),(c-d),(h-j)and(o-s)Version2:RULEH-1(a),(c-d),(e-g)(j-l)and(q-u)
WellConstruction,OperatingandReportingRequirementsforClassIIDisposalWells
RULEH-2(a),(d-e)and(n-p)
WellConstruction,OperatingandReportingRequirementsforClassIICommercialDisposalWells
RULEH-3(a-d),(f-g),(j-k),and(m-s)
40CFRState-administeredprogram–ClassIIwells[reserved] §147.201
Colorado
Colo.Rev.Stat.ADDITIONALPOWERSOFCOMMISSION-RULES §34-60-106(13)
Rules–hearings-process §34-60-108(3-8)
2Colo.Code.Regs.
DEFINITIONS(asof21419) DEFINITIONS §404-1-100
49
GENERALRULES(asof13015)
EFFECTIVESCOPEOFRULESANDREGULATIONS §404-1-201
GENERALRULES:TESTSANDSURVEYS §404-1-207(b)
SERIESDRILLING,DEVELOPMENT,PRODUCTIONANDABANDONMENT(asof21419)
FINANCIALASSURANCEREQUIREMENTS §404-1-304
FORM2AND2AAPPLICATIONPROCEDURES §404-1-305(e-f)
SERIESDRILLING,DEVELOPMENT,PRODUCTIONANDABANDONMENT:COGCCForm7.OPERATOR’SMONTHLYREPORTOFOPERATIONS §404-1-309(b)
SERIESDRILLING,DEVELOPMENT,PRODUCTIONANDABANDONMENT:COGCCForm17.BRADENHEADTESTREPORT §404-1-314
SERIESDRILLING,DEVELOPMENT,PRODUCTIONANDABANDONMENT:COGCCForm14.NON-PRODUCEDWATER §404-1-316A(b)
MECHANICALINTEGRITYTEST§404-1-316BCOGCCForm21
GENERALDRILLINGRULES §404-1-317(e-i)
POLLUTION §404-1-324A(e)
EXEMPTAQUIFERS §404-1-324B(b-d)
UNDERGROUNDDISPOSALOFWATER§404-1-325(b-f)and(i-n)
MECHANICALINTEGRITYTESTING §404-1-326(a)and(f)
MEASUREMENTOFPRODUCEDANDINJECTEDWATER §404-1-330(a-c)
RULESOFPRACTICEANDPROCEDURE(asof21419)
PROCEEDINGSNOTREQUIRINGTHEFILINGOFAN §404-1-502(a-b)
ALLOTHERPROCEEDINGSCOMMENCEDBYFILINGANAPPLICATION
Version1:§404-1-503(a-b)and(d)Version2:§404-1-503(a-b)and(e)
REQUIREMENTOFPUBLICHEARING §404-1-505
NOTICEFORHEARING §404-1-507(a)
PROCEDURESFORALLEGEDVIOLATIONS §404-1-522(g)
DETERMINATIONOFRESPONSIBLEPARTY §404-1-524(a-g)
PERMIT-RELATEDPENALTIES §404-1-525(a)
FINANCIALASSURANCEANDOILANDGASCONSERVATION
GENERAL §404-1-702(a-b)
SURFACEOWNERPROTECTION §404-1-703
50
ANDENVIRONMENTALRESPONSEFUND(asof5118)
SOILPROTECTIONANDPLUGGINGANDABANDONMENT. §404-1-706(a-b)
GENERALLIABILITYINSURANCE §404-1-708
FINANCIALASSURANCE §404-1-709
SURFACEFACILITIESANDSTRUCTURESAPPURTENANTTOCLASSIICOMMERCIALUNDERGROUNDINJECTIONCONTROLWELLS. §404-1-712
E&PWASTEMANAGEMENT(asof5118)
E&PWASTEMANAGEMENT:INTRODUCTION §404-1-901(e-f)
E&PWASTEMANAGEMENT:MANAGEMENTOFE&PWASTE §404-1-907(c,dandf)
40CFR
State-administeredprogram–ClassIIwells §147.300
ExistingClassI,II(exceptenhancedrecoveryandhydrocarbonstorage)andIIIwellsauthorizedbyrule §147.303
Kansas
Kan.Stat.
LICENSUREOFOPERATORSANDCONTRACTORS;REQUIREMENTS §55-155(a-e)
Findingreasonablecausetobelievethatpersonhasviolatedactorrulesandregulations;hearing;procedure;order;immediateremedialaction;reconsiderationandjudicialreview;investigations;sealingofwell;removalofseal,penalty.
§55-162(a-b)and(e)
COMMISSION’SCOSTASSESSEDAGAINSTOPERATORSANDAGENTS;DISPOSITIONOFMONEY §55-176(a)
INVESTIGATIONOFCOMPLAINTBYTHECOMMISSION;FINDINGS;RESPONSIBILITYFORREMEDIALACTION;COSTS;HEARINGS;ORDERS §55-179(a-e)
Testingandinvestigationofpollution;pluggingexpenses;liens. §55-180(a-d)
Disposalofsaltwater;rulesandregulations;assessmentofcosts;dispositionofmoneys §55-901
Kan.Admin.Regs.
DEFINITIONS §82-3-101(a)
SURFACECASINGANDCEMENT §82-3-106(a-d)
§82-3-120.OPERATORORCONTRACTORLICENSES:APPLICATION;FINANCIALRESPONSIBILIITY;DENIALOFAPPLICATION;PENALTY
§82-3-120(a-b),(f),(h-l)
NOTICEOFAPPLICATION §82-3-135a(a-e)
51
PROTESTERS §82-3-135b(a-e)
INJECTIONALLOWEDONLYBYPERMIT;PENALTY §82-3-400(a)and(b)
APPLICATIONFORINJECTIONWELL;CONTENT §82-3-401(a)and(c)
NOTICEOFAPPLICATION;OBJECTION §82-3-402(a-b)
PERMITTINGFACTORS;APPLICATIONAPPROVAL §82-3-403(a-c)
CASINGANDCEMENT §82-3-405(a-d)
INJECTIONWELLTUBINGANDPACKERREQUIREMENTS §82-3-406(b)
MECHANICALINTEGRITYREQUIREMENTS;PENALTY
§82-3-407(a-b),(d-e),(g)
DURATIONOFINJECTIONWELLPERMITS;MODIFICATIONPENALTY §82-3-408(a)
RECORDRETENTION;ANNUALREPORT;PENALTY §82-3-409(a-c)
TRANSFEROFAUTHORITYTOINJECT;PENALTY §82-3-410(b)
ASSESSMENTOFCOSTS. §82-3-412(b-c)
40CFR State-administeredprogram—ClassIIwells. §147.851
Ohio
OhioRev.Code
Enforcement--injunctionagainstviolation. §1509.04(A-D)
Applicationforpermittodrill,reopen,convert,orplugbackawell §1509.06(A
LiabilityInsuranceCoverage §1509.07(A-B)
Forfeitingbond §1509.071(A)
Storageordisposalofbrine,crudeoil,naturalgas,orotherfluids §1509.22(C-D),(H)
NoticeofFilingforpermittodrillnewwell. §1509.60
OhioAdmin.Code
Permits §1501:9-1-02(F)
SuretyBond.§1501:9-1-03(A),(C-D),and(F)
Constructionofandconversiontosaltwaterinjectionwells §1501:9-3-05(A-C)
Permit§1501:9-3-06(A),(C),(G-I)
Operating,monitoringandreportingofsaltwaterinjectionwells. §1501:9-3-07(D-J)
Annulardisposal §1501:9-3-11(A),(C-G)
52
40CFRState-administeredprogram–ClassIIwells §147.1800(a)
ExistingClassIandIIIwellsauthorizedbyrule—maximuminjectionpressure §147.1803(a)
Oklahoma
Okla.Stat.tit.17
ExclusiveJurisdiction,PowerandAuthorityVestedinCorporationCommissionandtheDepartmentofEnvironmentalQuality §139(A)and(D)
Okla.Admin.Code
GeneralProvisions:Fees,finesandbonds §165:5-3-1(a)and(b)
Administration:Definitions §165:10-1-2Definitions
Administration:Prescribedforms §165:10-1-7(b)
Operator'sagreement;CategoryAandCategoryBsurety §165:10-1-10(a),(d-e)
Financialstatementassurety §165:10-1-11(a-d)
Corporatesuretybond §165:10-1-12(a)
Irrevocablecommercialletterofcredit§165:10-1-13(a)and(b)
Cashier'scheck,certificateofdeposit,orothernegotiableinstrument
§165:10-1-14(a)and(b)
Requiredapprovalofnoticeofintenttodrill,deepen,re-enter,orrecomplete;PermittoDrill §165:10-3-1(g)
Drilling,Developing,andProducing:Casing,cementing,wellheadequipment,andcementingreports
§165:10-3-4(a-d),(f),(l),(n)
UndergroundInjectionControl:Approvalofenhancedrecoveryinjectionwellsordisposalwells §165:10-5-2(a)and(e)
UndergroundInjectionControl:Authorizationforexistingenhancedrecoveryinjectionwellsandexistingdisposalwells §165:10-5-3(b)
UndergroundInjectionControl:Applicationforapprovalofenhancedrecoveryinjectionanddisposaloperations
§165:10-5-5(a-c),(i-j),l)
UndergroundInjectionControl:Testingandmonitoringrequirementsforenhancedrecoveryinjectionwellsanddisposalwells §165:10-5-6(a-f)
UndergroundInjectionControl:Monitoringandreportingrequirementsforwellscoveredby165:10-5-1
§165:10-5-7(a),(c-d),(f-g)
UndergroundInjectionControl:Transferofauthoritytoinject §165:10-5-10(a)
53
UndergroundInjectionControl:Applicationforpermitforonetimeinjectionofreservepitfluids §165:10-5-13(b)
UndergroundInjectionControl:Applicationforpermitforsimultaneousinjectionwell §165:10-5-15(b)
Administrationandenforcementofrules §165:10-7-2(e)
PollutionAbatement:Wastemanagementpracticesreferencechart §165:10-7-24(b),(c)
CommercialDisposalFacilities:Commercialdisposalwellsurfacefacilities §165:10-9-3(a),(c-f)
40CFR State-administeredprogram-ClassIIwells §147.1851
Pennsylvania
58Pa.C.S.A.OilandGas
Definitions §3203Well
Wellpermits §3211(b)and(d)
Bonding §3225(a-d)
Conferences §3251(a)
PublicNuisances §3252
Enforcementorders §3253(a-e)
RestrainingViolations §3254(a-c)
Wellcontrolemergencyresponsecostrecovery §3254.1
Existingrightsandremediespreservedandcumulativeremediesauthorized §3257
Unlawfulconduct §3259(1-2)
Thirdpartyliability §3261
58P.S.OilandGas(OilandGasConservationAct) Rules,regulations,notices,ordersandhearings §410(a-f)
25Pa.Code
Definitions §78.1
APPLICATIONREQUIREMENTS. §78.15(a-b)
PERMITS,TRANSFERSANDOBJECTIONS:Disposalandenhancedrecoverywellpermits §78.18(a)
Permitapplicationfeeschedule §78.19(a-e)
Opportunityforobjectionsandconferences;surfacelandowners §78.21(a)
WELLDRILLING,OPERATIONANDPLUGGING:CasingandCementing:GeneralProvisions §78.81(a-b)
WELLDRILLING,OPERATIONANDPLUGGING:Surfaceandcoalprotectivecasingandcementingprocedures §78.83(c-f)
54
WELLDRILLING,OPERATIONANDPLUGGING:Casingandcementingplan §78.83a(a)
WELLDRILLING,OPERATIONANDPLUGGING:Casingandcementing—lostcirculation §78.83b(a)
WELLDRILLING,OPERATIONANDPLUGGING:Intermediateandproductioncasing §78.83c(a-c)
WELLDRILLING,OPERATIONANDPLUGGING:Casingstandards. §78.84(a-d)
WELLDRILLING,OPERATIONANDPLUGGING:Cementstandards §78.85(a-e)
WELLDRILLING,OPERATIONANDPLUGGING:Mechanicalintegrityofoperatingwells §78.88(a-e)
WELLREPORTING:Logsandadditionaldata §78.123(b)
WELLREPORTING:Disposalandenhancedrecoverywellreports §78.125(a-c)
Requirementstofileabond §78.302
Form,termsandconditionsofthebond §78.303(a-e)
Termsandconditionsforcollateralbonds--general §78.305(a-d)
Collateralbonds--lettersofcredit §78.306(a)
Collateralbonds—certificatesofdeposit §78.307(1-5)
Collateralbonds—negotiablebonds §78.308(1-4)
Forfeituredetermination 78.312(a),(b)
40CFR
Purposeandscopeofpart144 §144.1(a),(b)
EPA-administeredprogram(SubpartNNPennsylvania) §147-1951(a)and(b)
ExistingClassI,II(exceptenhancedrecoveryandhydrocarbonstorage)andIIIwellsauthorizedbyrule.(SubpartNNPennsylvania) §147.1953(a)and(b)
Requirementsforwellsauthorizedbypermit.(SubpartNNPennsylvania) §147.1955(b-c)
Texas
Tex.NaturalResourcesCode
PurposesofRulesandOrders §85.202(a)
EmergencyOrder §85.206(a-c)
PersonsRequiredtoExecuteBond,LetterofCredit,orCashDeposit §91.103
Bonds,LettersofCredit,CashDeposits,andWell-SpecificPluggingInsurancePolicies §91.104(a-c)
55
IndividualBond §91.1041(a)and(c)
BlanketBond §91.1042(a)and(c)
BondConditions §91.105
FinancialSecurityforPersonsInvolvedinActivitiesOtherThanOperationofWells §91.109(a-c)
Refund §91.1091(1-3)
ReporttotheCommission §91.142(a),(e),(f),(g)
Tex.WaterCode
InformationRequiredofApplicant §27.032
ApplicationFee §27.0321(a)and(b)
RailroadCommissionRules,Etc. §27.034(a)
16Tex.Admin.Code
DisposalWells §3.9(1-7),(12)
Casing,Cementing,Drilling,WellControl,andCompletionRequirements §3.13(a-b)
Plugging §3.14(a)
FluidInjectionintoProductiveReservoirs §3.46(a-b),(d),(i-j)
FeesandFinancialSecurityRequirements §3.78(a-d),(g-h),(l)
PermitforInjection §4.617(c)and(d)
40CFR State-administeredprogram-ClassIIwells §147.2201
EnvironmentalProtectionAgency
SafeDrinkingWaterAct,TitleXIV:SafetyofPublicWaterSystems,PartC:ProtectionofUndergroundSourcesofDrinkingWater
RegulationsforStatePrograms §1421(a-b)
StateprimaryenforcementresponsibilitiesSDWA §1422(a-b)
OptionalDemonstrationByStatesRelatingToOilOrNaturalGas §1425(a-c)
40CFR
Purposeandscope. §124.1(a-c)and(e)
Applicationforapermit. §124.3(g)
Draftpermits. §124.6(e)
Publicnoticeofpermitactionsandpubliccommentperiod. §124.10(a-e)
Publiccommentsandrequestsforpublichearings. §124.11
Publichearings. §124.12(a-d)
Obligationtoraiseissuesandprovideinformationduringthepubliccommentperiod. §124.13
Reopeningofthepubliccommentperiod. §124.14(a-e)
Issuanceandeffectivedateofpermit. §124.15(a-b)
56
Staysofcontestedpermitconditions. §124.16(a-c)
Responsetocomments. §124.17(a-c)
AdministrativerecordforfinalpermitwhenEPAisthepermittingauthority. §124.18(a-e)
Purposeandscopeofpart144. §144.1(a-b)and(e-f)
GeneralProvisions:Identificationofundergroundsourcesofdrinkingwaterandexemptedaquifer §144.7(a-c)
GeneralProgramRequirements:Prohibitionofmovementoffluidintoundergroundsourcesofdrinkingwater §144.12(a-b)
AuthorizationofUndergroundInjectionbyRule:ExistingClassI,II(exceptenhancedrecoveryandhydrocarbonstorage)andIIIwells §144.21(c-e)
AuthorizationofUndergroundInjectionbyRule:Requiringotherinformation §144.27(a)and(b)
RequirementsforClassI,II,andIIIwellsauthorizedbyrule §144.28(d),(f-h)
AuthorizationbyPermit:Applicationforapermit;authorizationbypermit §144.31(a),(e)
AuthorizationbyPermit:Effectofapermit §144.35(a-b)
AuthorizationbyPermit:Modificationorrevocationandreissuanceofpermits §144.39(a)
AuthorizationbyPermit:Terminationofpermits §144.40(a)
PermitConditions:Conditionsapplicabletoallpermits §144.51(q)
PermitConditions:Establishingpermitconditions §144.52(a)
Purposeandscope §145.1(c)
Requirementsforpermitting. §145.11(a-b)
Requirementsforenforcementauthority §145.13(a)and(d)
CriteriaandStandards,GeneralProvisions:ClassificationofInjectionWells §146.5(b)
CriteriaandStandards,GeneralProvisions:Mechanicalintegrity §146.8(a-f)
CriteriaandStandardsApplicabletoClassIIWells:Applicability §146.21
CriteriaandStandardsApplicabletoClassIIWells:Constructionrequirements §146.22(a-e)
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CriteriaandStandardsApplicabletoClassIIWells:Operating,monitoring,andreportingrequirements §146.23(a-c)
CriteriaandStandardsApplicabletoClassIIWells:InformationtobeconsideredbytheDirector §146.24(a)
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AppendixB:SummaryofRegulatoryIssuesAddressedintheLawAtlasDataset,Qs1–16.
RegulatoryAuthority:
Q1:Doesthejurisdictionallowforthedisposalofoilandgasproductionfluidsthroughinjectionwells?
A1:Yes;No
Q2:HastheEnvironmentalProtectionAgency(EPA)delegatedprimacyoftheUndergroundInjectionControl(UIC)ProgramundertheSafeDrinkingWaterActtothejurisdiction,enablingittoregulateClassIIdisposalwells?
A2:Yes;No,EPAadministerstheUICprogram
Q3:Doesthejurisdictiondistinguishbetweencommercialandnon-commercialwellswhenregulatingClassIIdisposalwells?
A3:Yes;No
WellSitingandPermitting:
Q4:WhatsubsurfacefeaturesdoesthejurisdictionconsiderwhenpermittingaClassIIdisposalwell?
A4:Aquifers;Faults,Geologicstrata;Bedrock/Basementrock;Historicearthquakes;Locationofwells;Other
Q5:ForwhatreasonsdoesthejurisdictionrestrictthesitingofClassIIdisposalwells?
A5:Proximitytofaults;Potentialwatercontamination;Injectionzonecharacteristics;Proximitytootherinjectionwells;Proximitytoseismicevents;Publichealth,safety,welfare,ortheenvironment;Other;None
WellConstructionandOperations:
Q6:MustoperatorscaseandcementClassIIdisposalwells?
A6:Yes;No
Q7:WhenmustoperatorsdemonstratemechanicalintegrityofClassIIdisposalwells?
A7:Aninitialtest;Onaroutineschedule;Followingwellmaintenanceorproblems;Afterseismicactivity
Q8:Doesthejurisdictionrestrictinjectionpressure,injectionrate,ortotalvolumeoffluids?
A8:Injectionpressure;Injectionrate;Totalfluidvolume
Q9:DoesthejurisdictionrequiretheoperatortomonitorforseismicitynearClassIIdisposalwells?
A9:Yes,allClassIIdisposalwells;Yes,afterseismiceventsinthearea;Yes,onacase-by-casebasis;No,butrequiresaplanformonitoring;No.
Q10:WhatmustoperatorsmonitorduringoperationofClassIIdisposalwells?
A10:Fluidvolumeorinjectionrate;Injectionpressure;Qualityortypeofinjectedfluids;Other
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Q11:CanthejurisdictionchangerequirementsforClassIIdisposalwellsaftertheyarepermitted?
A11:Yes,byprohibitinginjection;Yes,byreducinginjectionparameters;Yes,modifyingapermit;Yes,revokingapermit;Yes,throughgeneralauthoritytotakeaction;No
PublicNotification,FinancialAssurances,andLiability:
Q12:DoesthejurisdictionrequirepublicparticipationopportunitiesforClassIIdisposalwells?
A12:Yes,duringthepermittingprocess;Yes,duringoperationandapplicabletoseismicissues;Yes,duringoperations,butspecifictonon-seismicissues;Yes,specifictoseismicevents;No
Q13:DoesthejurisdictionrequireafinancialassuranceforClassIIdisposalwells?
A13:Yes;No
Q13.1:Whattypeoffinancialassurancescanbeusedinthejurisdiction?
A13.1:Suretybond;Letterofcredit;Certificateofdeposit;Cash;Other
Q13.2:Doesthejurisdictionspecifytheamountoffinancialassurances?
A13.2:A13.3:Yes,dollaramount;Yes,intermsofcoststobecovered;No
Q13.3:Whatarethestatedpurposesorreasonsforforfeitureofthefinancialassurance?
A13.3:Ensurewellispluggedandsiteisreclaimed;Compensatethirdpartiesforimpactsofdevelopment;Otherspecificpurposes;Generallyensurecompliancewithstateorfederallaw;None
Q14:DoesthejurisdictionchargeapermitoroperationsfeeforClassIIdisposalwells?
A14:Permitprocessingfee-fixed;Permitprocessingfee-adjustedtocoveradministrativecosts;Operationfee-fixed;Operationfee-adjustedbyvolume;Operationfee-adjustedtocoveradministrativecosts;Nofees
Q15:Doesthejurisdictionaddressliabilityissuesfordeterminingthecauseofseismicityordamagefromit?
A15:Yes;No
Q16:Doesthejurisdictionrequireoperatorstocarryliabilityinsurance?
A16:Yes;No
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AppendixC:LawAtlasDatasetStatisticalReport:QsandAsAvailablefordownloadfromtheLawAtlasInducedSeismicityDatasetathttp://lawatlas.org/datasets/IS-oil-gas-wastewater
Alsoavailableat:https://drive.google.com/drive/folders/1NMZb74WtCK9Waw9d79bxLJqycQRW_rmx?usp=sharing
AppendixD:LawAtlasDatasetStandardReport:Answers,SupportingCitations,andCautionFlags.AvailablefordownloadfromtheLawAtlasInducedSeismicityDatasetathttp://lawatlas.org/datasets/IS-oil-gas-wastewater
Alsoavailableat:https://drive.google.com/drive/folders/1NMZb74WtCK9Waw9d79bxLJqycQRW_rmx?usp=sharing