Gov. Jared Polis, lawmakers unveil new oil and gas fee in climate deal aimed at defusing ballot war

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Gov. Jared Polis, lawmakers unveil new oil and gas fee in climate deal aimed at defusing ballot war

Date: 04/29/2024     Category: News & Media     Author: Seth Klamann & Nick Coltrain     Publication: Coyote Gulch    

Original Post ➡️

Agreement calls for Colorado Democrats to abandon four bills aimed at tightening industry regulations

Oil and gas infrastructure is seen on the Roan Plateau in far western Colorado. (Courtesy of EcoFlight)

Click the link to read the article on The Denver Post website (Seth Klamann and Nick Coltrain). Here’s an excerpt:

April 29. 2024
Leading Colorado Democrats and the state’s oil and gas industry announced a preemptive armistice Monday — one that seeks to defuse the latest round of dueling ballot initiatives and legislation aimed at the industry and its environmental impacts. The proposals, described to reporters by Gov. Jared Polis and legislative leadership, include imposing a new per-barrel production fee on the industry and enacting new environmental standards. In exchange, the industry, lawmakers and several environmental groups agreed to abandon recent attempts at regulatory legislation and ballot initiatives…

A key part of the deal takes the form of two new bills set to be introduced in the coming days — roughly one week before the end of the legislature’s 2024 session. One bill would institute a fluctuating production fee on oil and gas that is expected to generate roughly $138 million annually, based on returns from recent years. Much of that money would go toward supporting transit in Colorado, potentially including metro Denver’s Regional Transportation District. The state also would set aside a slice to help restore public lands impacted by oil and gas production. The second bill would seek to reduce emissions and improve air quality via new permitting and enforcement authority. It would include funding to plug orphan wells and strategies to help communities that are disproportionately impacted by the oil and gas industry, Polis and legislative leaders said at Monday’s late-afternoon news conference.