🟡Relating to the inspection, purchase, sale, possession, storage, transportation, and disposal of petroleum products, oil and gas equipment, and oil and gas waste; creating criminal offenses and increasing the punishment for an existing criminal offense.

🟡 SB 1806: New crimes for oil theft and waste dumping

What it says it does:
The bill says it strengthens enforcement against theft of petroleum products, theft of oilfield equipment, and illegal disposal of oil and gas waste. It also authorizes inspections of tankers suspected of hauling crude or condensate.

What it actually changes:
Police can sell seized crude oil or condensate immediately at market price and hold the cash instead of the product. DPS officers gain authority to stop and sample tankers on suspicion. A new crime is created for oilfield equipment theft. Penalties for theft are raised at lower dollar thresholds. Running or converting a disposal well without a Railroad Commission permit becomes a criminal offense.

Who is pushing for it:
Support was recorded from Texas Oil and Gas Association, Texas Independent Producers and Royalty Owners Association, Permian Basin Petroleum Association, ConocoPhillips, Oxy, Western Midstream, Fasken Oil and Ranch, Milestone Environmental Services, Houston and Dallas police associations, Combined Law Enforcement Associations of Texas, Texas Municipal Police Association, DPS, and the Dallas County District Attorney’s Office.

Who benefits:
Large oil and gas operators, waste handlers with Railroad Commission permits, and law enforcement agencies that avoid costly custody of seized crude. Producers see more reliable recovery of stolen product and fewer losses to theft or dumping.

Who gets left out or exposed:
Independent haulers and small contractors face broad inspection authority without clear suspicion standards. Defendants and claimants lose the ability to contest the condition of seized oil since it can be sold before trial. Operators tied to unpermitted waste disposal are directly exposed.

Why this matters long term:
It strengthens industry protection but also opens private channels in law enforcement, such as outside contractors selling seized oil and private gifts funding forensic labs. Those gaps weaken transparency and shift power toward agencies and incumbents while leaving small players at risk of arbitrary stops.

What to watch next:
Rules from the Public Safety Commission will decide how suspicion is defined and how inspections are conducted. Oversight of donor funding and private sales is not spelled out, so future audits or rulemaking could decide how transparent the process is.

Bottom line:
SB 1806 cracks down on oil theft and waste dumping, but it shifts power by letting the state and its private contractors control seized product before trial. Industry gains protection, while smaller operators face more discretion and fewer safeguards.

#SB1806 #TexasPolicy #WatchTheRules #TexasEnergy #CriminalJustice #OilAndGas