Two more energy-related bills were signed into law this week by Oklahoma Governor Mary Fallin, one concerning wastewater from oil and natural gas wells and the other regarding gross production taxes on those wells.
Senate bill 1122, by Senators A.J. Griffin and Eddie Fields and Rep. Kevin Calvey is an act requiring state agencies to “encourage industrial use of water produced in oil and natural gas operations.”
It has been the wastewater and the wells used to inject it back into the earth that have been the target of criticism and efforts to affect the number of earthquakes in the state. Thousands of wastewater injection wells are suspected by scientists of causing the earthquake surges. The bill signed by the governor will require the Corporation Commission, the Secretary of Energy and Environment, the Oklahoma Water Resources Board and the Department of Environmental Quality to work with the industry.
House bill 2774 by Rep. Charles McCall and Sen. Jason Smalley applies to the gross production tax on oil and gas. The new law no long provides for the Tax Commission to hold the proceeds for 12 months in the depository account of the State Treasurer. It will also force every railroad company, pipeline and transportation company to provide information about the transportation of crude oil or gas subject to the gross production tax. The new law also removes gold and silver from the current law which requires monthly reports for gross production tax purposes.
