Energy

Wyoming's HB 128 provides a 5-year severance tax exemption for oil and gas operators using certified advanced extraction methods (tertiary production) between July 2026 and July 2031. It directly affects oil and gas producers who implement qualifying projects approved by the Wyoming Oil and Gas Conservation Commission after July 1, 2026. The bill requires annual reports by the Commission and Department detailing production volumes, qualifying operators, wells, and the tax savings from the exemption. This exemption applies specifically to severance taxes under Wyoming law, with reports due each November 1 from 2026 through 2036.

This bill repeals Wyoming's low-carbon energy standards that required public utilities to meet specific clean energy targets. It removes specific legal requirements from the state code (sections 37-1-101, 37-18-101, and 37-18-102) that previously governed utility operations. The repeal eliminates compliance obligations for utilities under these standards. The Public Service Commission must create new rules to implement this change, effective immediately upon enactment.

Wyoming's SJ 1 is a joint resolution requesting Congress to amend the federal Mineral Leasing Act. It seeks to authorize the state to manage mineral leasing (including oil, gas, and coal) on federal lands within Wyoming, currently overseen by the Bureau of Land Management. The resolution cites declining federal lease sales in Wyoming (e.g., from 122 parcels in 2022 to 8 in 2024) and lengthy regulatory delays as reasons for seeking state control. Wyoming argues this aligns with the 10th Amendment, giving states greater authority over natural resources within their borders. This is a request for federal legislative action, not an enacted law.

Wyoming's HB 5 modifies how oil and gas operators contribute to a bonding pool. It sets a zero assessment rate on oil/gas production from July 2025 through June 2030, after which the commission may impose up to 0.5 mills ($0.0005) per dollar of production value. All collected funds and investment earnings must be deposited into a separate account solely for the bonding pool, not used for other purposes. The bill takes effect July 1, 2026, directly affecting oil and gas operators required to pay bonding assessments in Wyoming.

HB 46 expands Wyoming's existing tax on electricity production from wind resources to also include electricity generated from solar and nuclear facilities. It repeals the separate tax on nuclear electricity and updates the tax rules to cover all three energy sources under a single framework. The tax applies to electricity produced from solar or nuclear resources starting January 1, 2027, and requires producers to report megawatt-hour output annually. This bill directly affects electricity producers using solar or nuclear power in Wyoming, changing how they report and pay taxes on their output.