Louisiana Administrative Code › Title 43 - NATURAL RESOURCES › Part I - Office of the Secretary › Subpart 1 - General › Chapter 11 - Leasing State Owned Lands and Water Bottoms for the Exploration, Development and Production of an Alternative Energy Source › Subchapter B - Lease Administration › Section I-1140 - Alternative Energy Source Lease Operations

Current through Register Vol. 50, No. 6, June 20, 2024
A. An AESL on state lands or water bottoms
					 shall have a maximum initial term of five years and continue thereafter, as
					 long as the alternative energy source operations are being conducted without
					 interruption and electric power is being generated and used in significant
					 quantities for the commercial transmission of electric energy and applicable
					 fees are paid to the board, through OMR, in a timely manner.
B. All AESLs shall be executed upon the terms
					 and conditions provided in the current official AESL with any attached
					 rider(s).
C. Notwithstanding any
					 provisions to the contrary in any AESL awarded or in any rider attached
					 thereto, the lease awarded shall be granted and accepted without any warranty
					 of title and without any recourse against the Lessor whatsoever, either
					 expressed or implied. Further, Lessor shall not be required to return any
					 payments received under the AESL awarded or be otherwise responsible to the
					 lessee.
D. Lessor accepts and
					 reserves the full use of the leased premises and all rights with respect to its
					 surface and subsurface for any and all purposes except for those granted to the
					 lessee, including the use of the leased premises for the exploration,
					 production and development of oil, gas and other minerals by the Lessor, its
					 mineral lessees, grantees or permittees. Co-users of the leased premises shall
					 agree to coordinate plans and cooperate on activities to minimize interference
					 with other operations to the extent possible.
E. Prior to commencing construction, each
					 lessee and AESL operator shall obtain a general liability insurance policy in a
					 form acceptable to the board as set forth in
					 §1154 of this
					 Chapter.
F. Prior to commencing
					 construction, each lessee and AESL operator shall provide financial security in
					 a form acceptable to the board as set forth in
					 §1153 of this
					 Chapter.
G. Lessee hereby agrees
					 that in exercising the rights granted under the AESL, it will comply with and
					 be subject to all current applicable laws and regulations, including, but not
					 limited to, environmental laws, ports and waterways laws, energy laws, and
					 those validly adopted or issued, by the U.S. and its agencies, by the state of
					 Louisiana and its agencies, and by any applicable local or parish government.
					 lessee further agrees that it will comply with all minimum water quality
					 standards validly adopted by governmental authorities with respect to
					 pollution, noxious chemicals, and waste being introduced into affected water
					 areas.
H. Any contract entered into
					 for the lease of state lands for any purpose shall require that access by the
					 public to public waterways through the state lands covered by the lease shall
					 be maintained and preserved for the public by the lessee. This provision shall
					 not prohibit the secretary of the state agency having control over the property
					 from restricting access to public waterways if the secretary determines that a
					 danger to the public welfare exists. This provision shall not apply in cases
					 involving title disputes.
I. The
					 alternative energy source lessee operator shall schedule a pre-operations
					 meeting with and submit an operations package to the board, through OMR, at
					 least 30 days prior to commencement of construction. The operation package
					 shall contain the following additional items:
1. notice of beginning of AESL
					 operations;
2. proof of financial
					 assurance as set forth in Subpart D of this Chapter;
3. an updated list of project
					 participants;
4. any other
					 information or documentation required by the board, through OMR.