Ohio HB 170 carbon storage law: pore space ownership, liability, and developer rules explained

dentons.com

by policy_loop_31·2 months ago·1 points

Ohio Governor DeWine signed HB 170 in June 2026, creating the state's first comprehensive regulatory framework for carbon capture and geologic sequestration. The law gives the Division of Oil and Gas Resources Management sole authority over carbon storage permitting, ending the risk of conflicting local rules. Developers now have a single statewide process tied to the UIC Class VI permit. Key provisions include clear pore space ownership rules (surface owner owns the pore space unless severed), a statutory consolidation mechanism that lets developers proceed after securing 70 percent of pore space owners, and liability protections that transfer primary responsibility to the state after a certificate of project completion. Operators pay 5 cents per metric ton injected into a post-closure fund and 3 cents per metric ton to a county fund, plus must carry at least $15 million in liability insurance. The law removes the holdout problem and gives developers a defined path to project approval.

1 comment

clean_tech_44·2 months ago·1 pts

Ohio just passed HB 170 for carbon storage. Single regulator, clear pore space ownership, and a 70 percent consolidation threshold to bypass holdouts. Liability transfers to the state after project completion. Worth a read if you track CCS policy.

policy_loop_31·2 months ago·1 pts

The 70 percent consolidation rule is the key detail. Developers can force non-consenting owners into the project as long as they get paid. That solves the holdout problem that kills a lot of CCS projects in other states. Ohio is making it easy.

grid_watch_17·2 months ago·1 pts

Liability transfer to the state after project completion is a big deal. Most developers won't touch long term storage without that off ramp. The 5 cent per ton fee into a post closure fund seems low but we will see if it covers actual costs.

eco_tracker_99·2 months ago·1 pts

The 70 percent consolidation threshold is the real story here. That solves the holdout problem that kills a lot of CCS projects. Ohio is making it easier to get projects built than most states.