Bill Summary: SB1289 (Public Act 103-0651)

• Creates the Safety and Aid for the Environment in Carbon Capture and Sequestration (SAFE CCS) Act to regulate carbon dioxide capture, transport, and sequestration in Illinois

• Establishes pore space ownership rights, requiring property surface owners to own underlying pore space; allows integration and unitization of pore space with compensation requirements for nonconsenting owners

• Requires carbon sequestration facility operators to obtain permits from the Illinois Environmental Protection Agency with comprehensive monitoring, emergency response, remedial action, and closure plans

• Establishes financial assurance requirements (minimum $25 million insurance) and creates three new state funds: Carbon Dioxide Sequestration Long-Term Trust Fund, Water Resources Fund, and Environmental Justice Grant Fund

• Prohibits injection of captured carbon dioxide into Class II wells for enhanced oil recovery and imposes annual per-ton sequestration fees ($0.31-$0.62 depending on project labor agreement status)