Void as against public policy; throughout fees; limitations on use of recycled or treated produced water.

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A provision of an agreement, covenant or promise, foreign or domestic, between private parties, entered into on or after July 1, 2019 is against public policy and void to the extent of it:

A. allows a private party to charge a tariff or fee for the movement or transport of produced water, treated water or recycled water on surface lands owned by the state, if the agreement does not provide for transportation services;

B. requires fresh water resources to be purchased for oil and gas operations when produced water, treated water or recycled water is available and able to be used and the operator elects to use that produced water, treated water or recycled water for the oil and gas operations; or

C. relates to the purchase of water and precludes an operator from purchasing or using produced water, treated water or recycled water in the operator's oil and gas operations when such water is available for the operations.

History: Laws 2019, ch. 197, § 5.

ANNOTATIONS

Effective dates. — Laws 2019, ch. 197, § 13 made Laws 2019, ch. 197 effective July 1, 2019.

Applicability. — Laws 2019, ch. 197, § 12 provided that the provisions of Laws 2019, ch. 197 apply to contracts entered into on and after July 1, 2019.


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