S.B. No. 1157 aims to address the flaring and venting of methane gas on land dedicated to the Permanent University Fund by introducing new regulations. The bill mandates that the board of regents of The University of Texas System adopt a formal policy goal to eliminate routine methane flaring and venting on university lands by 2029. Under this legislation, lessees of oil or gas leases must submit plans to the board that include provisions to prohibit routine flaring and venting, adhere to EPA standards for methane emissions, and conduct quarterly inspections for malfunctioning flares. The board is tasked with reviewing and approving these plans, with assistance from the University of Texas Bureau of Economic Geology.

Additionally, the bill amends Section 86.185 of the Natural Resources Code to allow for exceptions to the prohibition against gas escaping into the air, specifically for methane flaring or venting from wells on university lands, provided that certain conditions are met. These conditions include joint attestation by the board and the well operator regarding the well's connection to pipeline capacity and efforts made to find productive uses for the gas. The board is required to implement procedures for these regulations by June 1, 2026, with the act taking effect on September 1, 2025, and the specific amendments to Section 86.185 taking effect on January 1, 2027.

Statutes affected:
Introduced: Natural Resources Code 86.185 (Natural Resources Code 86)