Bill 3532

                    Current Status

Bill Number:               3532
Ratification Number:       243
Act Number                 162
Introducing Body:          House
Subject:                   Relating to oil and gas exploration

(A162, R243, H3532)

AN ACT TO AMEND SECTIONS 48-43-10 AND 48-43-30, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO OIL AND GAS EXPLORATION, DRILLING, TRANSPORTATION, AND PRODUCTION, SO AS TO DEFINE "SANITARY LANDFILL" AND TO REGULATE ACTIVITIES RELATING TO WASTE AND ANTIPOLLUTION ACTIVITIES INVOLVING OIL AND GAS AND TO REGULATE ACTIVITIES RELATING TO METHANE GAS IN AND RELATED TO LANDFILLS; AND TO AMEND THE 1976 CODE BY ADDING SECTION 58-5-35 SO AS TO EXEMPT ENTITIES PROVIDING LANDFILL GAS TO NO MORE THAN TWENTY CUSTOMERS FROM A SINGLE LANDFILL FROM REGULATION BY THE PUBLIC SERVICE COMMISSION.

Be it enacted by the General Assembly of the State of South Carolina:

Definition of "sanitary landfill"

SECTION 1. Section 48-43-10 of the 1976 Code is amended by adding at the end:

"(W) 'Sanitary landfill' means a solid waste disposal facility regulated by the Department of Health and Environmental Control."

Regulation of gas and oil activities - methane gas from landfills

SECTION 2. Section 48-43-30(B), of the 1976 Code is amended by adding at the end:

"(6) To regulate the exploration, drilling, production, and transportation of methane gas in and related to sanitary landfills. The commission is authorized to exercise discretion in regulating such activities and may impose any requirement of this chapter as is necessary, in the opinion of the commission, to prevent waste of oil and gas, to protect correlative rights and to prevent pollution of the water, air, and land by oil and gas. The commission is further authorized to require any person applying for a drilling permit or otherwise producing methane gas in a sanitary landfill to comply with one of the following requirements for financial responsibility in an amount deemed sufficient by the commission in its discretion in order to achieve the purpose specified in Section 48-43-30(A)(1):

(i) furnish a bond consistent with the requirements of Section 48-43-30(B)(1)(e); or

(ii) furnish proof of insurance with the State of South Carolina as beneficiary.

Before the issuance of drilling permits for methane gas recovery from sanitary landfills, the commission shall obtain certification from the Department of Health and Environmental Control that the proposed activity is consistent with the Department of Health and Environmental Control regulations governing the operation, monitoring, and maintenance of the landfills and applicable permit conditions."

Exemption

SECTION 3. The 1976 Code is amended by adding:

"Section 58-5-35. Public utilities and pipeline companies engaged in the extraction, processing, distribution, or sale of landfill gas (LFG) derived from sanitary landfills, which provide this gas to no more than twenty customers from any single landfill, are exempt from regulation by the commission."

Time effective

SECTION 4. This act takes effect upon approval by the Governor.