SB36 Alabama 2022 Session

Summary

Primary Sponsor

Greg AlbrittonSenator

Republican

Co-Sponsor

Greg J. Reed

Session

Regular Session 2022

Title

Oil and Gas Board, underground gas storage facilities, regulation, gas further defined to include abandonment of underground storage facilities, performance bonds, fees by board, Secs. 9-17-150, 9-17-151 am'd.

Summary

SB36 expands the types of gases regulated for underground storage and gives the Alabama Oil and Gas Board more power to regulate operations and abandonment, set bonds, and charge fees to cover regulation costs.

What This Bill Does

It broadens the definition of gas to include additional gases and related hydrocarbons for underground storage regulation. It gives the State Oil and Gas Board authority to regulate how underground storage facilities are operated and abandoned, including requiring bonds or other financial security to ensure compliance. It allows the board to adopt rules that establish fees to fund regulation of underground storage facilities. These changes aim to improve safety and reliability of gas storage for the public.

Who It Affects

• Storage facility operators (companies, individuals, municipalities, and other entities) who operate underground gas storage facilities; they may be required to post bonds or other financial security and pay new regulatory fees.
• The general public and gas consumers, who should benefit from stronger regulation, safer storage practices, and more reliable gas supply as a result of the updated rules.

Key Provisions

• Gas is redefined to include all natural gas, casinghead gas, carbon oxides, ammonia, hydrogen, nitrogen, noble gases, occluded natural gas in coal beds, and all other hydrocarbons not defined as oil (excluding liquid petroleum gas).
• The board is authorized to regulate the operation and abandonment of underground storage facilities and may require bonds or other financial security to ensure compliance with rules and orders, including abandonment.
• The board may adopt rules that provide fees and charges to defray expenses of regulating underground storage facilities.
• The act becomes effective on the first day of the third month after passage and approval.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Oil and Gas Board, State