RAFI participated in the Mining and Energy Commission’s Compulsory Pooling Study Group to examine “compulsory pooling” and recommend potential regulations to protect landowners from having their property taken for private gain.
- Recommendations on compulsory pooling were made at the Compulsory Pooling Study Group meeting on August 28, 2013. A 90% threshold was recommended. For more on what could mean for area landowners, click here.
- The full MEC reviewed the recommendations on September 6, 2013.
What is Forced Pooling?
Forced pooling, known as “compulsory pooling” in North Carolina, gives states the right to compel a non-consenting landowner into a mineral rights lease. In most states, this requires that a certain percentage of surrounding land already be leased.
In North Carolina, there are few legal protections for a landowner in the event of compulsory pooling. The state does not have a regulatory structure governing a compulsory pooling process.
- For more details on forced pooling see our Forced Pooling 101 video.
- View our slideshow presentation providing an overview of hydraulic fracturing and forced pooling.
The Mining and Energy Commission’s Compulsory Pooling Study Group
In July of 2012, the North Carolina legislature ratified the Clean Energy and Economic Security Act. Also known as Senate Bill 820 (Session Law 2012-143) this law, charged the Commission with developing a “modern regulatory program” for the management of oil and gas exploration and development activities in North Carolina, including the use of horizontal drilling and hydraulic fracturing.
- Click here to view the Compulsory Pooling Study Group meeting schedule.
- Click here to view the Objectives of the Compulsory Pooling Study Group.
Because of the current compulsory pooling law, RAFI and other advocates are concerned about the potential threats to landowner rights. The “Hydraulic Fracturing: Where Are We Now?,” presentation embedded below provides a brief overview of hydraulic fracturing, or “fracking”, as well as in-depth analysis of compulsory pooling. The presentation was authored by RAFI Research & Policy Associate James Robinson.