Ohio General Assembly Enacts Energy Bill



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On May 24, 2012, the Ohio General Assembly enacted a comprehensive energy bill (Senate Bill 315) which addresses several provisions affecting the natural gas industry. The legislation has been forwarded to Governor John Kasich who is expected to sign the bill into law without delay. The new provisions will become effective ninety (90) days after the Governor?s signature.

Highlights of the significant regulatory changes impacting horizontal natural gas and liquid production, include:

  • A provision requiring producers to report volume and chemical descriptions for all fluids used in the production process
  • Additional requirements regarding water sampling and source disclosure
  • Owners of horizontal wells will be required to obtain liability coverage of at least five million dollars
  • The bill clarifies that Ohio Power Siting Board approval is not necessary for well lines, gathering lines, natural gas liquid lines or processing facilities
  • Energy standards and charges the Ohio Public Utilities Commission and Ohio Department of Transportation with analyzing the cost effectiveness of converting the state motor vehicle fleet to natural gas and reporting their findings by January 30, 2013. 

Click here to read the full alert

Because of the significance of this bill, Steptoe & Johnson will host a special webcast on at noon on Wednesday, June 13.

Click here to register for the June 13 "Senate Bill 315: New Regulatory Requirements for Oil and Gas Drilling, Disposal and Gathering in Ohio" webcast.  The webinar  presenters are R. Neal Pierce and Katherina E. Milenkovski.  J. Kevin West will act as moderator for the upcoming webinar.


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