| (a) An owner or operator subject to this subchapter may be
required to establish financial assurance for post closure of each existing
and new Class I hazardous well and each existing and new Class I salt cavern
disposal well and associated salt cavern, in a manner that meets the requirements
of this section, in addition to the requirements specified under Subchapters
A, B, C, and D of this chapter (relating to General Financial Assurance Requirements;
Financial Assurance Requirements for Closure, Post Closure, and Corrective
Action; Financial Assurance Mechanisms for Closure, Post Closure, and Corrective
Action; and Wording of the Mechanisms for Closure, Post Closure, and Corrective
Action), §331.68 of this title (relating to Post-Closure Care), and §331.171
of this title (relating to Post-Closure Care).
(b) An owner or operator required to provide financial assurance
for post closure may use any of the mechanisms specified in Subchapter C of
this chapter to demonstrate financial assurance for post closure, except the
Local Government Financial Test and Local Government Guarantee.
(c) Owners or operators shall comply with §37.31 of this
title (relating to Submission of Documents), except that evidence of financial
assurance for post closure shall be submitted at least 60 days prior to commencement
of drilling operations for new wells and for salt cavern disposal wells. All
financial assurance mechanisms shall be in effect before commencement of drilling
operations. For converted wells and other previously constructed wells, financial
assurance for post closure shall be provided at least 30 days prior to permit
issuance and shall be in effect upon permit issuance.
(d) Owners or operators shall comply with §37.131 of this
title (relating to Annual Inflation Adjustments to Current Cost Estimates),
except that adjustments must be made by using an inflation factor derived
from the most recent annual Implicit Price Deflator for Gross National Product
published by the United States Department of Commerce in its
Survey of Current Business.
(e) Owners or operators using a financial test or corporate
guarantee must comply with §37.141 of this title (relating to Increase
in Current Cost Estimate) except that mechanism increases must be made within
90 days after the close of each succeeding fiscal year.
|
