Carbon Sequestration Certification Program

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Oklahoma Carbon Sequestration Enhancement Act

§27A-3-4-101.  Short title – Legislative findings and intent.

A.  This article shall be known and may be cited as the "Oklahoma Carbon Sequestration Enhancement Act".

B.  The Oklahoma Legislature finds that:

1.  Increasing levels of carbon dioxide in the atmosphere have led to growing interest in national and international forums for implementing measures to slow and reverse the buildup of such atmospheric constituents.  These measures may include, but are not limited to, the establishment of systems of trading in carbon dioxide credits or adoption of practices, technologies, or other measures which decrease the concentration of carbon dioxide in the atmosphere;

2.  Improved agricultural practices, including, but not limited to, soil and vegetation, improved natural resources conservation practices, including, but not limited to, vegetation, revegetation, forestation and reforestation on rangeland and other agricultural and nonagricultural lands, improved practices for the capture and sequestration of carbon dioxide emissions through carbon dioxide injection in marginally producing oil and/or gas wells and abandoned oil and/or gas wells and other improved methods of stewardship for Oklahoma’s natural resources have great potential to increase carbon sequestration and help offset the impact of carbon dioxide emissions on carbon dioxide concentrations in the atmosphere; and

3.  It is in the interest of the citizens of this state that the Oklahoma Conservation Commission document and quantify carbon sequestration associated with improved agricultural practices, improved natural resources conservation practices associated with other methods of improved stewardship of soil and vegetation for Oklahoma’s natural resources, on rangeland, and other agricultural and nonagricultural lands, and associated with the capturing and sequestration of carbon dioxide emissions through carbon dioxide injection in marginally producing oil and/or gas wells and abandoned oil and/or gas wells.

C.  It is the intent of the Legislature that such efforts to document and quantify carbon sequestration on agricultural and nonagricultural lands and the capturing and sequestration of carbon dioxide emissions through carbon dioxide injection in marginal oil and/or gas wells and abandoned oil and/or gas wells within the state will enhance the ability of the state's landowners, well owners and mineral owners to participate in any system of carbon dioxide emissions marketing or trading that may be developed in the future.

Added by Laws 2001, c. 81, § 1, emerg. eff. April 16, 2001.  Amended by Laws 2003, c. 221, § 1, emerg. eff. May 20, 2003.

§27A-3-4-101.  Short title – Legislative findings and intent.

A.  This article shall be known and may be cited as the "Oklahoma Carbon Sequestration Enhancement Act".

B.  The Oklahoma Legislature finds that:

1.  Increasing levels of carbon dioxide in the atmosphere have led to growing interest in national and international forums for implementing measures to slow and reverse the buildup of such atmospheric constituents.  These measures may include, but are not limited to, the establishment of systems of trading in carbon dioxide credits or adoption of practices, technologies, or other measures which decrease the concentration of carbon dioxide in the atmosphere;

2.  Improved agricultural practices, including, but not limited to, soil and vegetation, improved natural resources conservation practices, including, but not limited to, vegetation, revegetation, forestation and reforestation on rangeland and other agricultural and nonagricultural lands, improved practices for the capture and sequestration of carbon dioxide emissions through carbon dioxide injection in marginally producing oil and/or gas wells and abandoned oil and/or gas wells and other improved methods of stewardship for Oklahoma’s natural resources have great potential to increase carbon sequestration and help offset the impact of carbon dioxide emissions on carbon dioxide concentrations in the atmosphere; and

3.  It is in the interest of the citizens of this state that the Oklahoma Conservation Commission document and quantify carbon sequestration associated with improved agricultural practices, improved natural resources conservation practices associated with other methods of improved stewardship of soil and vegetation for Oklahoma’s natural resources, on rangeland, and other agricultural and nonagricultural lands, and associated with the capturing and sequestration of carbon dioxide emissions through carbon dioxide injection in marginally producing oil and/or gas wells and abandoned oil and/or gas wells.

C.  It is the intent of the Legislature that such efforts to document and quantify carbon sequestration on agricultural and nonagricultural lands and the capturing and sequestration of carbon dioxide emissions through carbon dioxide injection in marginal oil and/or gas wells and abandoned oil and/or gas wells within the state will enhance the ability of the state's landowners, well owners and mineral owners to participate in any system of carbon dioxide emissions marketing or trading that may be developed in the future.

Added by Laws 2001, c. 81, § 1, emerg. eff. April 16, 2001.  Amended by Laws 2003, c. 221, § 1, emerg. eff. May 20, 2003.

§27A-3-4-102.  Carbon Sequestration Advisory Committee – Duties – Report.

A.  There is hereby created the Carbon Sequestration Advisory Committee.  The Committee shall consist of the following members appointed by the Governor:

1.  The Director of the Department of Agriculture or designee;

2.  The Director of the Department of Environmental Quality or designee;

3.  The Director of the Oklahoma Conservation Commission or designee;

4.  One member representing the Natural Resources Conservation Service of the United States Department of Agriculture;

5.  One member representing Oklahoma State University;

6.  One member representing the Oklahoma Energy Board;

7.  One member representing an entity which generates electrical energy and operates facilities/equipment associated with the transmission and distribution of electrical energy;

8.  Two members who are producers of field crops at least one of whom actively employs a minimum tillage management system in his or her farming operation;

9.  Two members who are producers of livestock at least one of whom is actively involved in range management;

10.  One member with expertise in carbon dioxide emissions marketing or trading;

11.  One member representing an agri-business that does business and trading with farmers and ranchers and is involved with day-to-day merchandising in agricultural products;

12.  One member representing conservation districts in this state;

13.  One member representing the ethanol industry;

14.  One member representing electric cooperatives in this state designated by the industry;

15.  The Director of the Oklahoma Climatological Survey; and

16.  One member representing production agriculture who is actively engaged in carbon-based energy and wildlife-related activities to be designated by the Director of the Conservation Commission.

B.  Members of the Committee shall serve without compensation but shall be reimbursed for their actual and necessary expenses as provided in the State Travel Reimbursement Act.  The Oklahoma Conservation Commission shall, subject to availability of appropriations, provide space for meetings of the Committee and shall provide other assistance and staffing needs of the Committee.

C.  The Carbon Sequestration Advisory Committee shall:

1.  Advise and assist the Oklahoma Conservation Commission in preparing any reports required by this section and in conducting the assessment pursuant to Section 3-4-103 of this title;

2.  Identify existing opportunities for Oklahoma agricultural and nonagricultural landowners, owners of marginally producing oil and/or gas wells and mineral owners to participate in any system of carbon dioxide emissions marketing or trading that may be developed in the future, and to optimize the economic benefits to Oklahoma agricultural and nonagricultural landowners, owners of marginally producing oil and/or gas wells and mineral owners who participate in such carbon dioxide emissions trading transactions.  Such policies or programs may include, but are not limited to, identifying existing or new nonprofit organizations or other public or private entities capable of serving as assemblers of carbon dioxide emissions credits or as intermediaries on behalf of agricultural and nonagricultural landowners, owners of marginally producing oil and/or gas wells and mineral owners in any carbon dioxide emissions trading or marketing system that may be developed in the future;

3.  Encourage the production of educational and advisory materials regarding carbon sequestration and the opportunities to participate in any system of carbon dioxide emissions trading or marketing that may be developed in the future; and

4.  Identify and recommend areas of research needed to better understand and quantify the processes of carbon sequestration on agricultural and nonagricultural lands and through the use of marginally producing oil and/or gas wells and abandoned oil and/or gas wells within the state.

D.  On or before December 1, 2003, the Oklahoma Conservation Commission, in consultation with the Carbon Sequestration Advisory Committee, shall prepare an updated report to the Legislature.  The updated report shall include, but not be limited to:

1.  Any new potential economic impact from utilizations of a voluntary system of carbon dioxide emissions trading or marketing for carbon sequestered on agricultural or nonagricultural lands in the state and for capturing and sequestering carbon dioxide emissions through carbon dioxide injection in marginally producing wells and abandoned oil and/or gas wells that could be used in the event carbon dioxide emissions regulations are adopted in the future;

2.  Improved agricultural practices, including, but not limited to, soil and vegetation, improved natural resources conservation practices, improved practices for the capture and sequestration of carbon dioxide emissions through carbon dioxide injection in marginal oil and/or gas wells and abandoned oil and/or gas wells, and other improved methods of stewardship for Oklahoma’s natural resources which increase stored soil carbon and/or minimize carbon dioxide emissions associated with practices and activities that may generate carbon dioxide emissions;

3.  Methods for measuring and modeling net carbon sequestration associated with improved agricultural practices, improved natural resources conservation practices, improved practices for the capture and sequestration of carbon dioxide emissions through carbon dioxide injection in marginal and abandoned oil and/or gas wells and other improved methods of stewardship for Oklahoma’s natural resources;

4.  Areas of scientific uncertainty with respect to quantifying and understanding sequestration associated with improved agricultural practices, improved natural resources conservation practices, improved practices for the capture and sequestration of carbon dioxide emissions through carbon dioxide injection in marginal and abandoned oil and/or gas wells, and other methods of improved stewardship for natural resources; and

5.  Any recommendations of the Carbon Sequestration Advisory Committee developed pursuant to the Oklahoma Carbon Sequestration Enhancement Act.

Added by Laws 2001, c. 81, § 2, emerg. eff. April 16, 2001.  Amended by Laws 2002, c. 273, § 1, emerg. eff. May 20, 2002; Laws 2003, c. 221, § 2, emerg. eff. May 20, 2003.

 

§27A-3-4-103.  Assessment of past carbon sequestration and future potential sequestration – Report.

A.  1.  The Oklahoma Conservation Commission shall, subject to availability of appropriations, in consultation with the Carbon Sequestration Advisory Committee, assess agricultural and nonagricultural lands and marginally producing and abandoned oil and/or gas wells in this state for past carbon sequestration and future carbon sequestration potential.

2.  The assessment shall seek to quantify carbon sequestration associated with improved agricultural practices, including, but not limited to, soil and vegetation, improved natural resources conservation practices, improved practices for capture and sequestration of carbon dioxide through carbon dioxide injection in marginally producing and abandoned oil and/or gas wells, and other improved methods of stewardship for natural resources.

3.  On or before January 1, 2004, the Commission shall publish an updated report of the findings.  The Commission may, from time to time, update such findings as advancements in understanding of the processes of carbon sequestration and new data become available.

B.  The assessment required in subsection A of this section shall be conducted in a manner that provides a means for owners of land in this state to estimate past and future net carbon sequestration resulting from improved agricultural practices, improved natural resources conservation practices, improved practices for capture and sequestration of carbon dioxide through carbon dioxide injection in marginally producing and abandoned oil and/or gas wells, and other improved methods of stewardship of natural resources occurring on their property.

C.  The Commission may contract and cooperate with the Natural Resources Conservation Service of the United States Department of Agriculture to conduct assessment activities provided for in this section.

D.  The Commission may apply for and accept grants, gifts, or other sources of public and private funds to carry out the purposes of the Oklahoma Carbon Sequestration Enhancement Act.

Added by Laws 2001, c. 81, § 3, emerg. eff. April 16, 2001.  Amended by Laws 2003, c. 221, § 3, emerg. eff. May 20, 2003.

 

§27A-3-4-104.  Carbon Sequestration Assessment Cash Fund.

The "Carbon Sequestration Assessment Cash Fund" is hereby created.  The fund shall be used by the Oklahoma Conservation Commission to carry out the Oklahoma Carbon Sequestration Enhancement Act.  The State Treasurer shall credit to the fund any money appropriated to the fund by the Legislature and any money received as gifts, grants, or other contributions from public or private sources obtained for the purposes of the Oklahoma Carbon Sequestration Enhancement Act.

Added by Laws 2001, c. 81, § 4, emerg. eff. April 16, 2001.

 

§27A-3-4-105.  Carbon sequestration certification program – Applications – Definition of “carbon sink”.

A.  The Oklahoma Conservation Commission is hereby authorized to establish and administer the carbon sequestration certification program.  The purpose of the program is to provide a mechanism for creating and preserving carbon reserves in this state produced as by-products of best available resource management activities upon certified lands.

B.  The Commission, in consultation with the Department of Environmental Quality and with the advice of the Carbon Sequestration Committee, shall develop and promulgate rules including, but not limited to, uniform standards and criteria for the certification of existing or potential carbon sinks located in this state.  In promulgating the rules, the Commission shall develop the program to be as consistent as possible with other governmental programs designed to create carbon reserves for the purpose of voluntarily reducing greenhouse gases.

C.  In order to have land certified as an existing or potential carbon sink, an applicant shall file an application with the Commission.  Along with the application, the applicant shall submit a resource management plan detailing activities which will increase or maintain existing trapped carbon including, but not limited to, improved forest management, alteration of or changes in silviculture practices, and growing of designated crops and any other such practices including, but not limited to, the capture and sequestration of carbon dioxide emissions through injection of carbon dioxide in marginal and abandoned oil and/or gas wells which, based on best available information, will increase trapped carbon.

D.  The Commission shall require applicants to submit such information, forms, and reports as are necessary to properly and efficiently administer the program.

E.  The Commission shall adopt site certification conditions for each carbon sink for which an application is submitted.  In addition the Commission shall determine, based upon compliance with the site certification conditions, the credits or offsets achievable by the specific carbon sink.

F.  Applications for certification of a carbon sink shall be approved or denied in accordance with criteria promulgated by the Commission.

G.  For purposes of this section, “carbon sink” means a geographical area that could be developed with reforestation, afforestation, growing agricultural crops or any existing vegetated area or marginally producing and/or abandoned oil and/or gas well area in which carbon is or could be trapped or injected.

Added by Laws 2002, c. 273, § 2, emerg. eff. May 20, 2002.  Amended by Laws 2003, c. 221, § 4, emerg. eff. May 20, 2003.