On June 17, the Environmental Protection Agency (EPA) published a proposed rule to approve Texas’s application for primary permitting and enforcement responsibility (primacy) for carbon dioxide (CO2) sequestration wells pursuant to the Safe Drinking Water Act’s (SDWA) Class VI Underground Injection Control (UIC) Program. Upon approval of the rule, the Railroad Commission of Texas (RRC) will have permitting and enforcement authority for the Class VI UIC program (with oversight from the EPA). This development is the culmination of lengthy negotiations between the state of Texas and the EPA, which we have previously discussed in more detail.

Much has been written in recent weeks about how the renewable energy industry in Texas dodged a bullet — several bullets actually — when three high-profile bills targeting the industry failed to pass in the recent legislative session that ended June 2. Indeed, each of those bills, S.B. 819, S.B. 388, and S.B. 715, would have had a substantial negative impact on renewable energy projects in Texas. For all the attention those bills garnered, however, and the justifiable relief felt by the industry after all three failed to pass, seemingly little attention has been paid to another bill, H.B. 3556, that did pass and was signed into law by Governor Abbot on June 22. This new law poses a serious threat to the prospects for future wind projects along the Texas coast.