In an attempt to install more of a risk-based approach to state inspection programs for the oil and natural gas industry, Colorado lawmakers are considering new requirements in a measure (SB 202) that passed out of the state Senate Wednesday on a 22-11 vote. The bill now goes to the lower House for consideration.

“Substantial growth” in the oil and gas industry is good for the state’s economy, but it also is causing “increased risks to Colorado’s natural environment and public health,” the bill says.

“Timely inspections of new and producing oil and gas wells, including those that are hydraulically fractured, are critical to protecting public health, minimizing environmental contamination, detecting spills before they worsen, and ensuring public trust.”

As currently drafted, SB 202 would require the Colorado Oil and Gas Conservation Commission (OGCC) to use a risk-based strategy to identify factors most likely to contribute to spills, excess air emissions and other types of violations, according to its author, state Sen. Matt Jones.

Jones told local news media that the bill is intended to help lawmakers focus on their top priority of public safety. Senate officials said the risk-based approach should lead to more comprehensive OGCC inspections.

However, the bill now does not mandate 34 new inspector positions in the Department of Natural Resources’ (DNR) OGCC, as it did when it was originally submitted in March.

“We’ve been on the record a number of times to indicate our willingness to further refine our inspection protocols and prioritization for inspection,” Todd Hartman, DNR spokesperson, told NGI on Thursday. “With additional legislative direction, we’re glad to know members of the General Assembly share in this goal.”

In the past, Jones has championed additional OGCC inspectors as the only way to keep up with oversight of the multi-billion-dollar oil and gas industry. Legislative sources said the state has about 50,000 active wells to keep track of, and OGCC has a goal of inspecting each well once every three years.

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