Louisiana Administrative Code › Title 43 - NATURAL RESOURCES › Part V - Office of Mineral Resources › Chapter 9 - Leasing State Owned Lands and Water Bottoms for the Exploration, Development and Production of an Alternative Energy Source › Subchapter B - Lease Administration › Section V-940 - Alternative Energy Source Lease Operations [Formerly LAC 43:I.1140]

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 §954 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 §953 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.