A bill limiting county control in regulating pipelines and eminent domain passed the Senate Commerce and Energy Committee.
Senate Bill 201 aims to create new requirements to regulate pipelines in the state while establishing a surcharge for certain pipeline companies.
Sen. Casey Crabtree is the Republican Majority Leader and prime sponsor of the bill. He said the bill offers the best compromise for all parties.
“It is clear that the time is now for impactful policy change related to the planning, citing, surveying, permitting, and safety mitigation regarding CO2 infrastructure projects while also reaffirming protections to landowners, and that is what Senate Bill 201 aims to do," said Crabtree. "When South Dakota farmers succeed, all of South Dakota succeeds, and that cuts both ways. When South Dakota farmers have limited access to national and global markets our whole state suffers.”
Opponents of the bill said it takes away local control and dismisses landowner rights. Ed Fischbach is a farmer in Spink County.
“I would urge you to respect the local control, the process is working, the PUC is in charge of it. We have put our trust in the PUC and the PUC has dealt with this issue. Right now, there is no permit pending, so this company has nothing really to complain about, the ordinances stand, let's keep it that way, lets keep the process the way it is,” said Fischbach.
Companies in support of the bill said their future developments depend on the carbon pipeline being built.
Kent Hartwig is a lobbyist for GEVO. GEVO is a company developing sustainable aviation fuel with a Net-Zero One facility planned for Lake Preston. Hartwig said, however, GEVO has no issues taking their project to another state.
“We’ve not put steel in the ground at Lake Preston, we are able to look at other locations and so this summer is really where our opportunities lie, so we are looking for timely decisions by this legislature and the PUC,” said Hartwig.
The bill carries an emergency clause. This means it would become law upon signature of the governor instead of the traditional July 1 date.
The committee passed the bill on a seven to two vote. It now heads to the Senate floor.
