Michigan Senate Bill SB0823

Michigan 2025-2026 Regular Session

• Introduced: 3/10/26
• Refer: 3/10/26

Caption

Environmental protection: air pollution; petroleum and carbon dioxide pipeline act; exclude carbon capture projects and sequestration projects and provide conditions for pipeline approval. Amends title & secs. 1, 3 & 11 of 1929 PA 16 (MCL 483.1 et seq.) & adds secs. 13 & 15. TIE BAR WITH: SB 0822'26, SB 0824'26, SB 0825'26, SB 0826'26, SB 0827'26

Impact

The proposed legislation imposes stricter guidelines that any operator wishing to construct a pipeline must follow. These include comprehensive safety assessments, the necessity of demonstrating public need, and detailing the potential environmental impact of their operations. Particularly for carbon dioxide pipelines, there are specific geographic restrictions designed to protect vulnerable populations and ecosystems, effectively ensuring that such infrastructures do not pose risks to communities or natural resources. The inclusion of an annual fee based on the length of the pipeline highlights the bill's acknowledgment of ongoing regulatory costs and environmental management.

Summary

Senate Bill 823 aims to amend the existing regulations governing the transportation, storage, and sale of crude oil and petroleum products, while introducing specific provisions related to carbon dioxide pipelines. The bill seeks to empower the Michigan public service commission to oversee and regulate the carrying and transporting of not only petroleum but also substances primarily consisting of carbon dioxide, ensuring public safety and environmental stewardship. Furthermore, it emphasizes the use of public highways for pipeline construction and allows for the condemnation of private property when necessary, provided it aligns with the public interest.

Contention

Notable points of contention surrounding the bill include its impact on property rights due to the provision that allows for the condemnation of private land for pipeline construction. This aspect has raised concerns among landowners and environmental advocates who fear that increased regulatory power may infringe upon private property rights. Moreover, the requirements for application and approval may be seen as regulatory burdens that could hinder energy development initiatives, particularly in economically distressed regions where such advancements are deemed necessary for growth.