S.B. No. 1150 aims to enhance the regulation of inactive wells under the jurisdiction of the Railroad Commission of Texas by amending existing laws and introducing new provisions. The bill specifies that operators cannot extend the deadline for plugging inactive wells if the well has been inactive for over 15 years and 25 years have passed since its completion, unless an exception is granted by the commission or the well is part of an approved compliance plan. The bill also establishes criteria for the commission to consider when evaluating requests for exceptions, including the operator's history of returning inactive wells to active status and the potential hazards posed by the inactive well.

Additionally, the bill mandates the commission to prepare an annual report on inactive wells, detailing statistics such as the number of inactive wells, their age, and the financial assurance methods used by operators. It also requires the commission to adopt rules regarding inactive wells, focusing on public safety, well integrity, and regional risks. Operators must submit a report demonstrating compliance with testing requirements within one year of a well becoming inactive for 15 years. The provisions of this act will take effect on September 1, 2025.

Statutes affected:
Introduced: Natural Resources Code 89.023, Subchapter B- , Chapter , Natural Resources Code 89.002 (Subchapter B- , Chapter , Natural Resources Code 89, Natural Resources Code 89)