An act to amend Sections 3281 and 3285 of the Public Resources Code, relating to oil and gas.
Summary
AB 2712 would narrow California’s existing oil and gas “health protection zone” restrictions so they apply only to notices of intention for new wells, rather than more broadly to other oil and gas activities. Under the bill, the Geologic Energy Management Division (CalGEM) would continue to bar approval of new wells within 3,200 feet of sensitive receptors, except in limited circumstances such as public health or safety emergencies, court-ordered approvals, or plugging and abandoning wells. The bill also defines a “new well” as one not completed on or before January 1, 2027.
The bill would also require operators seeking to drill new wells to submit sensitive receptor inventories and maps, or certify that no sensitive receptors are within 3,200 feet, and would make those materials publicly available subject to redaction rules for personally identifiable information. It would require annual updates and CalGEM review of a portion of the submissions. In addition, if a new well is approved within a health protection zone because of a court order, the operator would have to provide an individual indemnity bond to cover plugging, abandonment, and decommissioning costs. The bill includes an intent statement that future legislation should shift setback rules from proximity-based standards to emissions-based standards.
Impact
AB 2712 would amend Public Resources Code Sections 3281 and 3285 to limit the scope of health protection zone restrictions and reporting requirements to new wells, while repealing the existing prohibition on new production facilities in those zones. It would preserve CalGEM’s authority over drilling approvals, but alter which projects are subject to the 3,200-foot setback framework and associated disclosure and bonding requirements. The bill would also create a new statutory definition of “new well” tied to a January 1, 2027 completion date, which would affect how the restrictions are applied going forward.
Sentiment
The available context suggests the bill was moving through the Assembly Natural Resources Committee without recorded floor votes or committee transcript opposition in the provided materials. The measure’s key vote is listed as a majority vote, indicating it had at least some committee support. Overall, the bill appears to reflect a policy direction favoring a narrower, more targeted regulatory approach for oil and gas setbacks, while still retaining protections for new drilling near sensitive uses.
Contention
The main point of contention is likely the bill’s rollback of existing health protection zone limits, especially the repeal of the prohibition on new production facilities and the narrowing of the setback restrictions to new wells only. Supporters would likely view the bill as clarifying and focusing the rules, while opponents would likely argue it weakens protections for nearby residents, schools, health care facilities, and other sensitive receptors. Another likely area of debate is the bill’s stated intent to move from proximity-based setbacks to emissions-based standards, which signals a potential future shift in California oil and gas regulation but does not itself establish those new rules.
Natural resources: gas and oil; definitions in the crude oil and petroleum act; update. Amends sec. 1 of 1929 PA 16 (MCL 483.1). TIE BAR WITH: SB 394'25
Natural resources: other; certain fees in the natural resources and environmental protection act; modify. Amends secs. 3104, 3110, 3118, 3120, 4104, 11153, 30104, 30109, 32312 & 32513 of 1994 PA 451 (MCL 324.3104 et seq.).
An act to amend Sections 51178 and 51181 of the Government Code, and to amend Sections 4202 and 4204 of the Public Resources Code, relating to land use.