Further Regulation of Underground Natural Gas Storage is under consideration by several state and federal agencies. Gas storage helps moderate supply and demand. As a result, natural gas and related gas products have been stored underground for many years, either in depleted oil or gas field formations, aquifers or salt caverns. Above ground aspects of this storage are regulated by a variety of federal and state agencies, but to date there has not been significant regulation of underground storage facility siting, construction or operation. Several states have been considering new regulations over underground gas storage (e.g., Texas and Kansas), and a recent leak from SoCal’s Aliso Canyon gas storage facility near Los Angeles has drawn national attention to the issue generally.

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A bipartisan group of Senators who serve on the Senate Committee on Commerce, Science and Transportation introduced a Pipeline Safety Act reauthorization bill in November, the Securing America’s Future Energy: Protecting Infrastructure of Pipelines and Enhancing Safety (SAFE PIPES) Act [link], Senate Bill 2276. That bill was approved by the Committee on December 9, 2015 with five amendments.
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The Pipeline Safety Act (PSA) is up for reauthorization at the end of September of this year and, in the wake of recent high-profile incidents and increased scrutiny of the effectiveness of PHMSA pipeline safety oversight, it remains to be seen whether Congress will impose new substantive amendments to the statute or simply pass a

The US oil and gas industry has been transformed over the past few years by development of new shale resources. The US is now the world’s largest producer of natural gas and on track to be the world’s largest producer of oil. These changes have affected America’s energy future, as well as global markets.
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In response to a request from Congress to study the impact of shale oil and gas development on transportation infrastructure and safety, the Government Accounting Office (GAO) recently published a report commenting on these developments and focusing on DOT’s response to address safety risks posed by rail and pipeline transportation.
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