in-20250409-IR-312250162FNA: The Natural Resources Commission (commission) is soliciting public comment on adding rules at 312 IAC 30 concerning permanent underground carbon dioxide storage. The commission seeks comment on the affected citations listed and any other provisions of Title 312 that may be affected by this rulemaking.

Notice of First Public Comment Period LSA Document #25-162 Sec. 1. (a) This article provides definitions that apply to this article and are in addition to those definitions set forth in IC 14. (b) Except as otherwise provided in this article or under IC 14-39, this article applies to the permanent underground storage of carbon dioxide. Sec. 1. (a) "Carbon dioxide stream" means carbon dioxide that is: (b) The term under subsection (a) does not include a carbon dioxide stream that is considered hazardous waste as defined by IC 13-11-2-99(c). Sec. 2. "Class VI well" means a well regulated by the United States Environmental Protection Agency under a UIC Class VI permit. Sec. 3. "Confining zone" means: Sec. 4. "Department" means the department of natural resources. Sec. 5. "Mechanical integrity test" means a test performed on a Class VI well: Sec. 6. "Responsible officer", for purposes of IC 14-39-1-4, includes the following: Sec. 7. (a) "Transporting carbon dioxide" means the movement of carbon dioxide to a carbon dioxide injection well located outside the storage facility for which a certificate of authority for a carbon dioxide transmission pipeline is required. Sec. 8. "Underground Injection Control (UIC) program" refers to the program carried out by: Sec. 1. An applicant for a carbon sequestration project permit and a pore space owner may enter into an agreement for the pore space owner to participate in the proposed storage facility in a way that is compatible with the correlative rights of the applicant and other pore space owners within the proposed storage facility. Sec. 1. (a) A responsible officer applying for a: (b) A statement made by the department to an applicant during preapplication coordination is nonbinding. Sec. 1. An applicant for a carbon sequestration project permit under this article is not required to obtain a carbon dioxide transmission pipeline certificate of authority under IC 14-39-1 or this article if the applicant is not transporting carbon dioxide to an injection well outside the storage facility. Sec. 2. (a) A responsible officer for a carbon dioxide transmission pipeline certificate of authority shall submit to the department: (b) An application for a certificate of authority under this section must include a plan for the pipeline that is signed by a professional engineer. Sec. 3. (a) An applicant for a carbon dioxide transmission pipeline certificate of authority shall illustrate a financial ability to construct, operate, and maintain a carbon dioxide transmission pipeline by giving the department documentation proving the applicant obtained the insurance required under subsections (b) and (c). (b) An applicant shall provide evidence to the department that the applicant maintains liability insurance in the following liability coverage amounts during the construction of a pipeline: (c) In addition to the amounts required under subsection (b), an applicant shall provide a certificate of insurance to the department as proof the applicant maintains liability insurance in the following minimum liability coverage amounts while constructing, operating, and maintaining a pipeline: (d) An applicant shall not cancel coverage required under subsections (b) and (c) during the construction of a pipeline. (e) An applicant shall not cancel or otherwise allow coverage to lapse as required under subsection (c) while operating and maintaining a pipeline. (f) The applicant shall provide a certificate of insurance for the coverage required under subsections (b) and (c): (g) An insurer that issues a certificate of public liability insurance to an applicant for a certificate of authority shall notify the department if a change is made to the coverage required under this section. (h) If the required length of a pipeline increases, an applicant shall obtain the proper insurance coverage required under subsection (b). If the required length of the pipeline decreases, the applicant may obtain decreased insurance coverage under subsection (b). The applicant shall notify the department of the change to coverage under this subsection not later than fourteen (14) days after the change to the required coverage occurs. Sec. 4. (a) An applicant for a carbon dioxide transmission pipeline certificate of authority shall illustrate a managerial and technical ability to construct, operate, and maintain a carbon dioxide transmission pipeline under this section by providing evidence to the department that an individual designated by the applicant, a contractor or subcontractor of the applicant, or an affiliate of the applicant, contractor, or subcontractor to manage the construction of the pipeline: (b) If an individual under subsection (a) leaves from the applicant's employment before the department issues a certificate of authority and the applicant does not designate another individual under subsection (a), the applicant shall notify the department that the individual has left immediately after the applicant is notified about the departure. The applicant shall notify the department not more than fourteen (14) days after designating a replacement under subsection (a). (c) An applicant using a contractor, a subcontractor, or an affiliate does not: Sec. 5. An applicant for a carbon dioxide transmission pipeline certificate of authority, a contractor or subcontractor of the applicant, or an affiliate of the applicant, contractor, or subcontractor shall illustrate that the applicant has the requisite experience to construct, operate, and maintain a carbon dioxide transmission pipeline by providing evidence to the department of the following: Sec. 6. (a) An applicant for a carbon dioxide transmission pipeline certificate of authority shall: (b) An applicant under subsection (a) shall submit to the department a compliance plan that must include a description of the processes to ensure compliance with all applicable federal, state, and local laws regarding carbon dioxide transmission pipeline company employees and the public, including regulations issued by any government agency with jurisdiction over pipelines. Sec. 7. (a) An applicant for a carbon dioxide transmission pipeline certificate of authority shall submit to the department at least one (1) map that depicts the: (b) Information submitted to the department under this section must state the rights related to any proposed easement, including the right to: *These documents are incorporated by reference. Copies may be obtained from the Government Publishing Office, www.gpo.gov, or are available for review at the Natural Resources Commission, Indiana Government Center North, 100 North Senate Avenue, Room N103, Indianapolis, IN 46204. Sec. 8. (a) Not later than sixty (60) days after receiving an application for a certificate of authority, the department shall review the application and determine whether the application is incomplete or inaccurate, or both. Subject to subsection (c), if the department determines the application is incomplete or inaccurate, or both, the department shall return the application to the applicant, informing the applicant in writing that they are entitled to file a corrected application. If the department determines the application is complete and accurate, the department shall notify the applicant of the: (b) If the department fails to act on an application not later than ninety (90) days after a public information meeting under subsection (a) or (d), the application is considered approved by the department. (c) The department shall process a corrected application in the same way an initial application is processed. (d) The department shall schedule an additional public information meeting as prescribed under subsection (a) if a material change is made to the application that is not: Sec. 9. (a) Before a person may obtain a certificate of authority under IC 14-39-1 to use, occupy, and construct pipeline facilities in a designated right-of-way, the person shall obtain the proper authorizations and permits from a state agency or another unit of government that has jurisdiction over the right-of-way under IC 8-23-4. (b) The authority to use and occupy a designated public right-of-way under this rule is subject to compliance with applicable state and federal requirements for facilities, as defined by IC 8-1-26-7, which occupy rights-of-way, including IC 8-23-6-6, IC 8-23-26, or IC 36-9-42. Sec. 10. (a) On the carbon dioxide transmission pipeline company's request, the department may modify a carbon dioxide transmission pipeline certificate of authority to make a minor modification under subsection (b) without requiring the storage operator to file an application to amend the carbon sequestration project permit. (b) A minor modification includes the following: (c) Except as provided in subsection (d), a modification to a certificate of authority not processed as a minor modification under subsection (a) must be filed as an application to amend an existing certificate of authority. A pipeline company may file an application to amend a certificate of authority regarding the following: (d) A pipeline company is not required to file an application to amend an existing certificate of authority if the pipeline company is required by a state agency or another unit of government to relocate the carbon dioxide transmission pipeline under IC 8-23-26, IC 36-9-42, or another applicable state or federal law. Sec. 11. (a) A carbon dioxide transmission pipeline company issued a carbon dioxide transmission pipeline certificate of authority by the department, with the transferee, may apply to the department for a transfer of a certificate of authority if the transferee meets the same underlying qualifications of the pipeline company. (b) A pipeline company and transferee under subsection (a) shall notify the department of the intent to apply for a transfer at least one hundred twenty (120) days before the intended transfer date. An application for a transfer must be completed as prescribed by the department, including the information required under subsection (c). (c) A pipeline company and transferee applying for a certificate of authority shall submit the following with an application for a transfer: (d) If the department determines the application for a transfer is complete, the department shall notify the transferee, and the transferee shall do the following: (e) Not later than ninety (90) days after receiving proof the notice under subsection (b) was published, the department shall notify the applicant in writing that the department either approves or denies the transfer. (f) If the department determines: (g) If an application for a transfer is filed and there is a pending notice of violation: (h) The department shall notify the transferor and transferee in writing that the department approves or denies the transfer. (i) A transfer is effective on the date the written notice approving the transfer under subsection (h) is issued by the department. (j) A determination under this section is subject to review and appeal under IC 4-21.5. Sec. 12. (a) The department may initiate a proceeding to suspend or revoke a carbon dioxide transmission pipeline certificate of authority for the following reasons: (b) The pipeline company may request one (1) extension of the certificate of authority under subsection (a)(2) for two (2) years. (c) If the pipeline company does not remedy a violation not later than (30) days after the violation is issued, the department may suspend or revoke the certificate of authority. (d) A determination under this section is subject to review and appeal under IC 4-21.5. Sec. 1. (a) A responsible officer applying for a carbon sequestration project permit under IC 14-39-2 shall submit a complete carbon sequestration project permit application to the department that includes the following: (b) The department may not issue a carbon sequestration project permit under this article if the applicant does not submit a complete application for a carbon sequestration project permit under subsection (a). (c) The department may issue a carbon sequestration project permit under this article to an applicant that has not received an authorization to inject on the UIC Class VI permit issued by the U.S. EPA. Sec. 2. (a) Not later than ninety (90) days after receiving an application under section 1 of this rule, the department shall review the submitted application and determine whether the application is complete and accurate. (b) If the department determines an application is incomplete or inaccurate, or both, the department shall: (c) The department may deny a carbon sequestration project permit if it determines any of the following: (d) A determination under this section is subject to review and appeal under IC 4-21.5. Sec. 3. (a) The department may suspend or revoke a carbon sequestration project permit for any of the following reasons: (b) A written notice of violation issued under subsection (a)(6) must include the following: (c) A written notice of violation under subsection (a)(6) is considered properly served upon: (d) The date by which the violation must be abated under subsection (b)(3) may be modified by the department at the storage operator's request demonstrating that: (e) If the department suspends or revokes a permit under this section, the storage operator shall immediately stop operating the carbon sequestration project. (f) A determination under this section is subject to review and appeal under IC 4-21.5. Sec. 4. (a) At the storage operator's request, the department may modify a carbon sequestration project permit to make a minor modification to the permit under subsection (b) without requiring the storage operator to file an application to amend the permit. (b) A minor modification includes the following: (c) A modification to a carbon sequestration project permit not processed as a minor modification must be filed as an application to amend an existing carbon sequestration project permit. A storage operator may file an application to amend a permit regarding the following: (d) If a storage operator files an application to amend an existing carbon sequestration project permit under subsection (c), the application is treated as a new carbon sequestration project permit. Sec. 5. (a) A storage operator issued a carbon sequestration project permit by the department, with the transferee, may apply to the department for a carbon sequestration project permit transfer if the transferee meets the same underlying qualifications as the storage operator. (b) At least one hundred twenty (120) days before the intended transfer date, a storage operator and transferee under subsection (a) shall notify the department of the intent to apply for a carbon sequestration project permit transfer. An application for a carbon sequestration project permit transfer must be completed as prescribed by the department, including the information required under subsection (c). (c) A storage operator and transferee that apply for a carbon sequestration project permit shall submit the following with an application for a carbon sequestration project permit transfer: (d) If the department determines the application for a carbon sequestration project permit transfer is complete, the department shall notify the transferee, and the transferee shall do the following: (e) Not later than ninety (90) days after receiving proof the notice under subsection (b) was published, the department shall notify the applicant in writing that the department: (f) The department shall deny a carbon sequestration project permit if it determines any of the following: (g) If an application for a permit transfer is filed and a pending violation notice is associated with the carbon sequestration project permit issued to the storage operator: (h) The department shall issue notice either approving or denying a permit transfer. (i) A permit transfer is effective on approval in writing by the department. (j) A determination under this section is subject to review and appeal under IC 4-21.5. Sec. 1. (a) A storage operator shall provide proof of ongoing financial responsibility to the department annually. (b) If a storage operator experiences a financial change that affects their ongoing financial responsibility, the storage operator shall notify the department of the financial change not later than thirty (30) days after the financial change occurs. (c) If proof of financial responsibility is not maintained as required during the carbon sequestration project, the carbon sequestration project permit is invalid. (d) If a carbon sequestration project permit is considered invalid under subsection (c), a storage operator may not engage in, or claim to be engaged in, a carbon sequestration project until: Sec. 2. (a) Except as provided in section 3 of this rule, a storage operator shall file with the department an annual report that includes the following information: (b) The storage operator shall give the annual report required under subsection (a) to the department not later than sixty (60) days after the end of the calendar year. Sec. 3. A storage operator shall notify the department of any instance of: Sec. 4. A storage operator shall give notice to the department at least ninety (90) days before: Sec. 1. (a) A storage operator shall: (b) A storage operator shall retain the following records: (c) Once a project is finished, the storage operator shall deliver the records required under this section to the department. (d) Except as provided under subsection (e), a storage operator shall: (e) A storage operator shall retain the records under this section until the storage operator is issued a certificate of project completion from the department under IC 14-39-2-13. (f) The record retention period under subsection (d) may be extended at the request of the department. Sec. 2. A storage operator shall allow the department, or an agent or employee of the department, to at reasonable times: