South Dakota Senate Bill SB204

South Dakota 2022 Regular Session

• Introduced: 2/2/22
• Refer: 2/2/22

Caption

Establish a process for the abandonment of certain pipelines.

Impact

The bill affects the state's legal framework related to pipeline management and environmental conservation. By mandating procedures for pipeline abandonment and the associated restoration of land, it aims to mitigate potential damages caused by neglected pipelines. The legislation also emphasizes accountability by requiring pipeline owners to submit detailed abandonment plans to the Public Utilities Commission, which must include provisions for reclamation and can impose financial assurances to cover restoration costs should the pipeline owner fail to fulfill their obligations.

Summary

Senate Bill 204 establishes a comprehensive process for the abandonment of certain pipelines in South Dakota. The bill defines abandoned pipelines as those that have not transported liquid hydrocarbons, products, or carbon dioxide for a continuous period of five years. Upon abandonment, pipeline owners are required to notify landowners where they hold easements and provide them with details about their rights to reclaim land and options available for mitigating the impacts of abandonment. This transparency aims to protect property owners' interests and ensure proper land management following the retirement of a pipeline.

Contention

Key points of contention surrounding SB204 involve concerns over the balance between facilitating pipeline operations and safeguarding landowner rights. Critics may argue that while the bill improves accountability for pipeline owners, it might not sufficiently prevent environmental harm caused by abandoned pipelines or guarantee all necessary remediation actions are taken. Furthermore, discussions may highlight the implications of financial assurance mechanisms, questioning their adequacy in ensuring that funds will be available for future reclamation needs.