Indiana is the most recent state to build out a regulatory structure in anticipation of significant carbon capture, utilization and sequestration (CCUS) project deployment. Last week, Governor Eric Holcomb signed into law H.R. 1209, which addressed common issues to carbon sequestration regulation, including pore space ownership, liability, permitting, monitoring and mineral rights primacy. Many provisions of the bill are similar in terms and effect to legislation passed by early adopters in the CCUS space, including Wyoming, Montana and North Dakota. Relevant provisions of H.R. 1209 include the following:
Mineral Rights Primacy: The bill makes clear that “all rights and requirements” relating to carbon sequestration set forth in the bill are subordinate to “rights pertaining to oil, gas, and coal resources” and may not adversely affect such resources.
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