§ 79-6-406 — Authority to study transportation, heating, and electricity-generating fuel storage reserve.

(1) As used in this section, "energy fuel" means transportation, heating, and electricity-generating fuels used in the state.
(2) The office shall conduct a study analyzing the potential benefits, risks, feasibility, and requirements of establishing a Utah transportation, heating, and electricity-generating fuel storage reserve.
(3) A study conducted under this section shall evaluate:
(3)(a) current and predicted energy fuel consumption patterns and needs for the state;
(3)(b) existing energy fuel infrastructure in the state, including refineries, powerplants, pipelines, railroads, transmission lines, and storage facilities;
(3)(c) strengths and vulnerabilities in the state's regional and national energy fuel supply chains;
(3)(d) impacts on energy fuel availability from natural disasters, accidents, or other causes;
(3)(e) feasibility of storage options to mitigate supply risks, including:
(3)(e)(i) optimal locations, including salt caverns located in the state;
(3)(e)(ii) ownership structures;
(3)(e)(iii) inventory management;
(3)(e)(iv) strategies for prioritizing fuel supplies in emergency situations;
(3)(e)(v) accessibility protocols; and
(3)(e)(vi) funding mechanisms;
(3)(f) opportunities to work with industry to serve strategic initiatives and critical needs; and
(3)(g) economic modeling to analyze required state energy fuel reserve sizes and costs.
(4) In conducting a study under this section, the office may:
(4)(a) contract with independent experts and consultants; and
(4)(b) coordinate with private industry and others with relevant expertise.
(5) The office shall present a status update on the study in a report to the Public Utilities, Energy, and Technology Interim Committee by November 30, 2024.

Legislative History

Enacted by Chapter 62, 2024 General Session