H.B. No. 49 amends the Natural Resources Code to establish new provisions regarding the treatment and beneficial use of fluid oil and gas waste. The bill introduces a limitation on liability for individuals and entities involved in the treatment or use of such waste. Specifically, it states that a person, including surface estate owners, who takes possession of fluid oil and gas waste for treatment and either puts it to beneficial use or transfers it to another party is not liable in tort for any consequences arising from the subsequent use of that treated waste. Additionally, the bill clarifies that those who produce or supply fluid oil and gas waste to treatment facilities are also shielded from liability related to the treatment process and any exposure to the waste or its byproducts, provided they comply with relevant regulations.

The bill further specifies that the liability protections do not apply in cases of gross negligence or intentional wrongdoing, nor do they affect the liability of producers or transferees of fluid oil and gas waste to surface estate owners. The Texas Commission on Environmental Quality is tasked with adopting rules to govern the treatment and beneficial use of fluid oil and gas waste, treated waste, and any byproducts. The provisions of this act will apply only to causes of action that accrue on or after its effective date of September 1, 2025, ensuring that any claims arising before this date will be governed by the previous law.

Statutes affected:
Introduced: Natural Resources Code 122.001, Natural Resources Code 122.002, Natural Resources Code 122.004 (Natural Resources Code 122)
House Committee Report: Natural Resources Code 122.003, Natural Resources Code 122.004 (Natural Resources Code 122)
Engrossed: Natural Resources Code 122.003, Natural Resources Code 122.004 (Natural Resources Code 122)
Senate Committee Report: Natural Resources Code 122.003, Natural Resources Code 122.004 (Natural Resources Code 122)
Enrolled: Natural Resources Code 122.003, Natural Resources Code 122.004 (Natural Resources Code 122)