With the introduction of Senate Bill 159, sponsored by Adams and Weld County Senator Kevin Priola (D) and Fort Collins Representative Andrew Boesenecker (D), Colorado and northern Colorado stands at a crossroads as legislators debate a bill to phase out new oil and gas drilling by 2030. Oil and gas companies, long pillars of Colorado and northern Colorado’s economy, face an uncertain future. While the proposal’s stated aim is to protect public health and reduce greenhouse gas emissions, the consequence greatly affects northern Colorado’s economic balance. The NCLA is firmly opposed to Senate Bill 159.
Gradual Ban on New Drilling:
- The proposed legislation aims to gradually phase out new oil and gas drilling permits with no new permits allowed in 2030.
- New permits will be allowed until the end of 2029 but a gradual phasing out would begin in 2028.
- Existing wells can continue operating, but modifications would be limited.
- Companies would face higher costs for sealing old wells.
Industry Concerns
- A Ban on O/G Industry: Industry representatives argue that the legislation effectively bans oil and gas production in Colorado.
- Uncertainty: The proposed legislation threatens existing business investment for oil and gas companies.
- Job Impact: Tens of thousands of jobs hang in the balance, from drillers to engineers.
- Energy Security: A ban on new permits could leave consumers reliant on other producers.
Economic Realities
- Revenue Reduction: Colorado’s coffers have historically benefited from fossil fuel royalties.
- Energy Costs: While clean energy promises long-term benefits, short-term energy costs may rise.
- Investment Frontier: Renewable energy projects could create new economic opportunities..
Balancing Act
- Climate Commitments: As Colorado aims to be a trailblazer in reducing greenhouse gas emissions, the legislation aligns with international climate agreements..
- Sustainable Future: A definite end date for new well permits pushes toward cleaner energy.
Act Now: NCLA has joined the call against SB 159, particularly due to the bill’s very targeted and tangible attack on the energy sector that is an economic piller . Tell our Northern Colorado legislators to vote against SB 159.
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