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Law 40/2010 Of 29 December, On Geological Storage Of Carbon Dioxide.

Original Language Title: Ley 40/2010, de 29 de diciembre, de almacenamiento geológico de dióxido de carbono.

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TEXT

JOHN CARLOS I

KING OF SPAIN

To all who present it and understand it.

Sabed: That the General Courts have approved and I come to sanction the following law.

PREAMBLE

I

The important economic growth in our society since the middle of the last century has been associated with a very noticeable increase in energy consumption, which is an important factor in improving the standard of living of the citizenry. However, this same increase, and especially the fact that it is based on an energy model strongly focused on the use of fossil fuels, causes environmental and economic problems that may end up slowing development and affect the the welfare of humanity. Among these impacts are especially those that stem from the emission of greenhouse gases, mainly CO2, which are the cause of climate change.

This is why, on the one hand, it is necessary to limit demand, promoting energy efficiency and, on the other, to pursue an energy supply that ensures sustainable economic development. In this framework of action, renewable energy plays an essential role both for security of supply and for climate protection. However, the reduction of CO2 emissions requires decisive action on many fronts and the development and implementation of new technologies, especially in the energy field.

According to reports from the United Nations Intergovernmental Panel on Climate Change, in the context of the global reduction of CO2 emissions by 50% by 2050, it is necessary to reduce by between 25 and 25%. 40% emissions in the developed world by 2020, and between 80 and 95% by 2050. Science also points out that such a reduction is technically feasible, and that the benefits it will provide will outweigh the costs.

Among the options for achieving these goals is the capture and geological storage of carbon (CCS) as a transition technology that will contribute to mitigating climate change. Carbon capture and storage consists of capturing carbon dioxide (CO2) emitted by industrial facilities, transporting it to a storage site and finally injecting and confining it into a formation adequate underground geological, with a view to its permanent storage.

The development of this technology and the investment in it by industries and companies requires the definition of a technical, economic and legal framework that ensures their deployment in a safe manner for the environment. This regulatory framework has been addressed in the European Union by the adoption of " Directive 2009 /31/EC of the European Parliament and of the Council of 23 April 2009 on the geological storage of carbon dioxide and amending Council Directive 85 /337/EEC, Directives 2000 /60/EC, 2001 /80/EC, 2004 /35/EC, 2006 /12/EC, 2008 /1/EC and Regulation (EC) No 1013/2006. ' This Directive is part of the so-called energy and climate change package, with which EU countries will deliver on the commitment made by the Heads of State and Government in March 2007 to reduce emissions of greenhouse gases. greenhouse effect by 20% compared to the base year, in the year 2020.

It should be noted that, according to the studies carried out with a view to assessing the impact of the Directive, implementing this technology could be avoided by 2030, with emissions representing approximately 15% of the reductions. required at the level of the European Union.

This law aims to incorporate into the Spanish national law the provisions contained in the aforementioned Directive, adapting them to the industrial, geological and energy reality of our country, and establishing a legal basis for the geological storage of carbon dioxide, in safe conditions for the environment, to contribute to the fight against climate change.

The law is limited to regulating the activity of geological storage of carbon dioxide, and it only contains one-off forecasts in relation to capture and transport. In relation to the capture, the installations dedicated to this activity are subject to the regulations on integrated pollution control, so they will need to obtain the corresponding integrated environmental authorization, and they are also subject to the regulations on environmental impact assessment. Similarly, as far as transport is concerned, it is envisaged that the transport networks by pipeline should be subject to a declaration of environmental impact. To this end, the final provisions of the law introduce amendments to the environmental impact assessment and integrated pollution control regulations. In addition, the only references to the transport networks in the Articles, in Chapter IV, are intended solely to ensure access to them (and, ultimately, to places of storage) in transparent and non-transparent conditions. discrimination. If there is a need to introduce a specific regulation for these CO2transport networks, it will need to be done through other rules. In this respect, and exclusively for ancillary networks linked to the operation of a particular storage site, it is anticipated that certain conditions may be introduced by regulatory standards.

In order to have a complete overview of the regime applicable to the capture and geological storage of carbon, account must be taken of the inclusion not only of storage sites but also of transport and transport networks. capture facilities, in the emissions trading scheme, so that in case of leakage at any point in the process there will be an obligation to deliver as many allowances as tonnes of CO2 have been issued to the atmosphere. The incorporation of these facilities into the emissions trading scheme is carried out by means of a modification of Law 1/2005 of 9 March, which regulates it, irrespective of this law.

II

Chapter I contains the general provisions of the geological carbon storage regime. It has been decided to address the transposition through an ad hoc bill, rather than to reform other norms of our law, such as the Mining Act, due to the unique characteristics of the CAC. More than in the use of a geological resource, the focus here is to contribute to the mitigation of climate change by means of a novel technique that requires a legal regime of its own, fundamentally oriented to guarantee safety for the environment and people.

The goal of storage is its permanent confinement, in safe conditions, in order to reduce CO2 emissions to the atmosphere. The law will be applied in underground structures in Spain, including its territorial sea, its exclusive economic zone and its continental shelf, expressly prohibiting storage in the water column. In particular, the third additional provision provides for some specificities for storage in the marine subsoil.

Article 5 sets out the competencies that correspond to each Administration, attributing it to the Ministry of Industry, Tourism and Trade, among others, to grant the research permits the affected area of which covers the territory of more than one autonomous community or to the marine subsoil and to grant and revoke the storage concessions. In turn, the competent bodies of the autonomous communities will be responsible among other issues, to grant the research permits in their territory, to establish a system of inspections in the places of storage, to carry out the monitoring and establishing appropriate corrective measures and the adoption of the monitoring plan. Finally, it is up to the Ministry of the Environment and the Rural and Marine Environment, among others, to approve the final management plan after the closure and to propose to the Council of Ministers the transfer of responsibility for the closed storage.

This is also the possible concurrency of rights in the same area, designating the Ministry of Industry, Tourism and Commerce or the competent organ of the autonomous community, if any, and according to the distribution of competence intended, as responsible for resolving any incidents that might arise.

Chapter II regulates research permits and the granting of storage. The acquisition of a research permit shall be compulsory in those cases where an examination is intended to determine the storage capacity or the suitability of a particular location. The research permits are granted by the competent authority of the autonomous community or by the Ministry of Industry, Tourism and Trade, in certain cases, being obliged to resolve the applications within the maximum period of one year. These permits will confer the exclusive right to investigate in a delimited area. The possibility of a competitive competition procedure is envisaged for granting the research permits to applicants who present the best projects.

The storage concession gives its holder the exclusive right to store CO2 at the storage site, with the Ministry of Industry, Tourism and Trade being in charge of granting these concessions. Only CO2 can be stored in those geological formations considered suitable, which shall be determined by a characterization and an assessment of the potential storage complex and the surrounding geological formations, in accordance with the criteria specified in Annex I to the Act. It is regulated, as part of the application for storage, a financial guarantee which must respond to the fulfilment of the obligations arising from the concession, as well as the obligations arising from the inclusion of the storage in the field of application of Law 1/2005 of 9 March, which regulates the regime of trade in greenhouse gas emission rights.

The content of the concessions is also included, which should include a plan for monitoring the storage sites, and the procedure for reviewing and revoking them.

Chapter III addresses the operation of storage sites and their closure, as well as the obligations arising therefrom. A number of reporting obligations and a system of inspections are established in order to ensure the safety of the sites. The measures to be taken in the event of significant irregularities or leakage are also included. The competent bodies in accordance with the provisions of the law shall carry out these inspections and require, or take into account, the necessary corrective measures.

It should also be recalled that in addition to other consequences that may result from potential leaks, the holders will have to surrender allowances to respond to the emissions that such leakage would entail under Law 1/2005, of 9 March, which regulates the regime of trade in greenhouse gas emission rights.

Article 23 sets out the obligations relating to the closure and the period after the closure, delimiting those areas on which the holder of the site remains responsible until the transfer of responsibility to the State, a matter which is dealt with in depth in the following article. In this respect, it should be noted that only when the stored CO2 is shown to be completely and permanently confined, and once 20 years have elapsed since the closure of the storage site, the responsibility for the holder himself to the General Administration of the State.

Finally, the creation of a monitoring fund for carbon dioxide storage sites is foreseen, which is primarily intended to cover the costs of monitoring after the transfer of responsibility and which is provide the contributions of the holders of the storage places with the contributions.

Chapter IV regulates third-party access to the transport network and places of storage, which must be transparent and non-discriminatory, laying down the basic criteria for ensuring this access. It also provides for the resolution of potential conflicts, both national and cross-border.

Chapter V collects the creation of a record of storage and other storage concessions from closed storage sites and surrounding storage complexes. It also provides for the making available to the public of information related to the geological storage of CO2 in accordance with applicable regulations.

Chapter VI establishes the sanctioning regime. The law distinguishes between very serious, serious and minor infractions, and identifies different typical behaviors related to non-compliance with the obligations imposed by the law, as well as the corresponding sanctions, which may reach the 5 Millions of euros.

The additional provision first establishes the obligation to take into account the storage concessions of CO2 in the corresponding instruments of spatial planning, urban planning or planning of road infrastructure, as appropriate. The second additional provision lays down the obligations for combustion plants with a potential equal to or greater than 300 megawatts to which first administrative construction authorisation is granted after 25 June 2009, with the objective of future adaptation of the same to capture CO2. The additional third provision lays down the conditions for the storage of carbon dioxide in geological structures that are extended, in whole or in part, for the marine subsoil.

Finally, the transitional provision first lays down the system of authorisations for the recognition of underground structures for use as storage of CO2, processed in accordance with Law 22/1973, of 21 July, from Minas, prior to the entry into force of this law. The second transitional provision provides for the regime applicable to the reserve areas in favour of the State.

III

The competition titles that support this rule-and which are included in the final provision-are those provided for in Articles 149.1.23., 25. and 13. of the Spanish Constitution. The articulation of these titles, as is the case for other subjects whose central axis is the fight against climate change (such as the market for greenhouse gas emission rights) is particularly complex, because of the close existing link between the environment, energy regime and economic activity.

In the first place, both the clearly environmental objective of the standard-contributing to the fight against climate change by capturing and storing carbon dioxide and the consequent reduction of emissions to the atmosphere-, the fact that the storage of carbon dioxide must be carried out in safe conditions for the environment, in order to prevent leakage of carbon dioxide-allow the use of Article 149.1.23. exclusive to dictate the basic legislation on environmental protection.

Thus, with a purpose directly oriented to the protection of the environment-in this case, the atmosphere-is regulated, with a basic character, a system of control and environmental response of the storage facilities, which includes a number of obligations on the part of the operator, as well as the monitoring obligations that are set out in a monitoring plan (detecting significant irregularities, detecting CO2 leakage, taking corrective action, where appropriate; reporting obligations on the monitoring results, characteristics of the CO2flows, etc., and the obligations relating to the closure (in addition to monitoring and reporting, sealing the site and removing the facilities) and the period after the closure until the State assumes responsibility for the installation.

It should be noted that in the application of the regime, most of the executive responsibilities related to the supervision of the obligations of the owners of the facilities are attributed to the autonomous communities: approve the installation tracking plan, approve the post-installation management plan. Carry out environmental inspections, monitor the information to be submitted by the operators, or exercise the power of sanction in these matters.

On the other hand, the mechanism chosen in this case to achieve the objective of reducing emissions is the geological storage of carbon dioxide in underground structures, a matter that finds its accommodation in the article. 149.1.25., according to which, it is up to the State to establish the bases of the energy and mining regime. Thus, the questions relating to the territorial scope of the rule, the consideration of public domain goods, the technical concepts relating to the storage process and the precepts for the purposes of this title are given under this heading. to make the authorisations provided for in this law compatible with others necessary for the construction of the facilities and the development of the activity.

Finally, it is necessary to mention the title of competence provided for in Article 149.1.13. As has already been pointed out, the storage of carbon dioxide is set up as one more piece in the set of measures that are being implemented in order to promote a change of energy model that ensures sustainable economic development. In this respect, the close connection between storage and energy policies and on climate change should be highlighted. In particular, as has been pointed out, the geological storage of CO2 is closely related to the emissions trading scheme, since on the one hand the volume of carbon dioxide stored must necessarily be consistent with allowances to be allocated to installations for each trading period, and, on the other hand, prevents the holders from dealing with the obligations to deliver rights under this scheme, with the economic relevance that this behaviour. Therefore, the storage of carbon dioxide is called to form an integral part of these policies, with the consequent impact on the economy as a whole and on the taking of business decisions in the different sectors that the integrate.

This circumstance justifies, as has been pointed out, the invocation of the title referred to in Article 149.1.13. The State is entitled to exercise certain powers, such as the granting of storage concessions and the determination of the conditions of access to the transport network and to the sites of storage.

It is perhaps in relation to the granting of the concession of storage, which, as has been indicated, corresponds to the State, where apparently there could be greater complexity to disallow the competition titles, although the analysis of the model already used in relation to the competitive distribution in the market of emission rights and of the provided by the regime of hydrocarbons, leads to the attribution of the competence of granting of the concession storage in the State, under Title 149.1.13. of the Constitution.

In this field, it can be pointed out that the constitutional case law has admitted that the said competition law can cover both state rules and the guidelines and the overall criteria for the management of sectors. (i) specific economic measures, such as forecasts for actions or individual measures which are essential for the achievement of the objectives proposed in the planning. It also provides for executive actions in relation to practices or activities that may alter free competition and are of relevance to the supra-regional market.

Under the competence of the State to lay the foundations and the coordination of the overall planning of the economy, in the STC 197/1996, the Constitutional Court admits the centralization of executive powers when they come justified by being essential measures for the preservation of the basic or to ensure the achievement of the aims inherent in basic regulation (SSTC 49/1988, legal basis 32; and 135/1992, legal basis 3. º), recognising, in the state competence to grant the distribution authorizations to the increased fuel and oil fuels.

The justification here, as regards its strategic character for the national economy as a whole, is easily transferred to the granting of carbon dioxide storage. As has been said, the storage of carbon dioxide is set as a key piece in the set of measures that are being carried out in order to promote a change of energy model that ensures sustainable economic development. Further, you can point to the following:

(a) First of all, it should be noted that, in the medium term, and once the employment of the CCS begins to be deployed, the establishment of large combustion plants-large thermal power plants-will be The state will be closely associated with obtaining storage concessions. In this sense, the possibility of having capture devices and the possibility of accessing storage sites will, in all probability, be essential for the viability of power generation plants of a certain entity. which use fossil fuels. Therefore, in the same way as the law reserves to the General Administration of the State the authorization of these facilities (Article 3 (2) (a) of Law 54/1997, of 27 November, of the Electrical Sector), it must remain in the hands of the same Administration granting storage concessions.

b) But in addition, second, the capture and geological storage of carbon dioxide plays a central role in the change of energy model and in the design of energy, industrial and anti-climate policies. climate change. Thus, scenario studies estimate that before 2050 a notable percentage of global CO2 emissions from fossil fuels could be technically eligible for uptake, in particular between 30 and 60%. percent of the CO2 emissions caused by electricity generation, and between 30 and 40 percent of those coming from the industry. In addition, it is noted that the inclusion of CCS in a portfolio of mitigation options reduces the costs of stabilizing CO2 concentrations by 30 percent or more. Finally, one of the aspects of competitiveness in terms of the costs of CCS systems is that such technologies are compatible with most of the existing energy infrastructure. From this starting point, it is considered that CCS would be an appropriate option for countries that have a considerable number of suitable CO2 sources for uptake, which have access to storage sites and expertise in activities with oil or gas, and which need to meet their development goals in an environment where carbon is restricted. Considering Spain's climate change goals, the characteristics of its energy model and its geological conditions, it can be said that our country is in this situation. According to the analysis carried out by the European Commission, the achievement of a 30% reduction in greenhouse gas emissions by 2030 would have a higher 40% cost without using the CCS than with it. Therefore, not using this technology would not only put at risk the achievement of the EU's environmental objectives, but could also have negative effects on competitiveness and employment.

c) Finally, the deployment of this technology can be of great relevance to business decision-making, particularly in the energy sector. It is important to remember that the issuing centres which are likely to use this technology are subject, in the EU, to the European emissions trading scheme. Under this scheme, facilities holders must annually deliver to the administration as many allowances as tonnes of CO2 have issued during the previous year. To the extent that the acquisition of allowances has a cost, there is an economic incentive to reduce emissions. In this respect, it should be recalled that the economic incentive that the scheme entails will be accentuated from 2013, when, on the one hand, the total volume of rights on the market (cap) is reduced, as a result of the commitments made, and, another, the auction becomes the prevailing allocation methodology (unique in the case of the power generation sector). In these circumstances, in which each tonne emitted into the atmosphere will have a cost for the operators of the installations of around EUR 30 (as estimated by the European Commission), the implementation of catch technologies, and the The ability to store the generated CO2 , they charge a first-order economic relevance. In fact, the IPCC report on carbon dioxide capture and storage from 2005 points out that CCS systems should start deploying at a significant level when the prices of CO2 start to reach between $25 and $30. USA per tonne, values lower than those estimated to be achieved in the European context in the coming years. In this way, in a scenario of important limitations regarding the possibility of emitting greenhouse gases, and with this, of increasing costs linked to these emissions, access to the CAC is configured as an element that results (a) central to the adoption of investment decisions by energy operators, allowing for cost savings for companies to the extent that they will not have to acquire allowances by way of auction or on the market, while at the same time is configured as a piece of great relevance to the design of national energy policy.

Finally, it cannot be forgotten that in the carbon dioxide capture and storage system another relevant element is present, which has to do with the territorial component of a future transport network CO2 that should end up connecting energy (and possibly industrial) installations with storage locations. For these purposes, it should be noted that the geological structures suitable for storage are not evenly distributed throughout the territory, so that, in so far as this technology is deployed, the sites of storage must be connected to the capture points through transport networks. This will result in the setting up of a network of inter-connected superregional infrastructure at national level. This circumstance, together with those set out in the previous paragraphs on the relevance of CCS in the future energy model, justifies that the fulfilment of the conditions for access to networks and places of storage must be responsibility of the General Administration of the State.

CHAPTER I

General provisions

Article 1. Object.

1. This law establishes the legal framework for the geological storage of carbon dioxide (CO2), in safe conditions for the environment, in order to contribute to the fight against climate change.

2. The objective of the geological storage of CO2 is its permanent confinement, in safe conditions for the environment, in such a way as to avoid and, where not possible, to reduce to the maximum, the negative effects or risks that it could have such storage, on the environment and on human health.

3. The conditions necessary for the development of the ancillary transport networks referred to in Article 26 of this Law and that of other ancillary facilities directly linked to places of transport shall be regulated. storage and required to perform the CO2 geologic storage activity.

Article 2. Scope and Bans.

1. This law will apply to the geological storage of CO2 in underground structures in Spain, including its territorial sea, its exclusive economic zone and its continental shelf. In the case of geological storage of CO2 in the marine subsurface, the provisions of the State and Community legislation and the international agreements signed by Spain for the protection of the environment must also be respected. marine environment.

2. This law shall not apply to the geological storage of CO2 carried out for the purpose of research, development or experimentation of new products and processes provided that the intended storage capacity is less than 100 kilotonnes. A specific regulation will determine the provisions of this law applicable to these places of storage. As long as this regulation is not approved or, once approved, as not provided for in it, to the storage of CO2 for research and development, it will be applicable to the Law 22/1973, of July 21, of Mines.

3. Storage of CO2 shall not be permitted in a storage place that extends beyond the area referred to in paragraph 1.

4. Storage of CO2 in the water column and the seabed shall not be permitted.

Article 3. Public domain.

For the purposes of Article 132.2 of the Constitution, the geological formations that form part of the existing storage places in the territory of the State and in the State shall be considered as State public property. the subsoil of the territorial sea and of the seabed which are under the sovereignty of the Kingdom of Spain in accordance with the legislation in force and the international conventions and treaties to which it is a party.

As state public domain assets, such geological formations are inalienable, imprescriptible and non-embargable and will be regulated, as not provided for in this law, by the provisions of Law 33/2003 of 3 November 2001. Heritage of Public Administrations.

Article 4. Definitions.

For the purposes of this law, it shall be understood as:

1. "Geological Storage of CO2": The injection and confinement of CO2 in underground geological formations.

2. "Water column": The mass of continuous vertical water, from the surface to the sediments of the bottom.

3. "Place of storage": The structure defined in terms of volume within a geological formation used for the geological storage of CO2 and associated surface and injection facilities.

4. 'Geological training' means the lithographic subdivision in which different layers of rock can be observed and mapped.

5. "Leak": Any CO2 escape from the storage complex.

6. 'Storage complex' means the place of storage and surrounding geological formations that may influence the integrity and overall security of storage (secondary confinement formations).

7. "Underground structure": Cavity or permeable rock (rock with hydraulically connected pores) in which pressure transmission can be measured with technical means and is delimited by flow barriers (saline formations, facies changes (a) or by the minting or outcropping of the training.

8. "Research": The assessment of potential storage complexes for the purposes of geological storage of CO2 through geological prospecting activities, including geophysical techniques and drilling, in order to obtain information on the strata of the potential storage complex and, where appropriate, the performance of injection tests to characterise the storage site.

9. 'Research permit' means the written and reasoned administrative decision authorising the investigation and specifying the conditions under which it is to be carried out, issued by the competent authority in accordance with the provisions this law.

10. 'Holder' means any natural or legal person, of a public or private nature, who exploits or controls the place of storage or, where this law so provides, holds, by delegation, a determining economic power over the operation storage site technician.

11. "Storage Concession": The written and reasoned administrative resolution authorising the geological storage of CO2 in a storage place by the holder and specifying the conditions under which it should be be carried out by the competent authority in accordance with the provisions of this law.

12. "Substantial change": Any modification of the CO2 geological storage not contemplated in the storage concession and likely to have significant effects on the environment or human health.

13. "CO flow2": The resulting flow of substances from carbon dioxide capture processes.

14. 'Residue' means any substance defined as waste in Law 10/1998 of 21 April of Waste as well as in the relevant Community legislation in force.

15. "CO Pen2": The CO2 dispersion volume in the geologic formation.

16. "Migration": The offset of the CO2 within the storage complex.

17. 'Significant irregularity' means any irregularity recorded in the injection or storage operations or in the state of the storage complex itself, involving a risk of leakage or a risk to the environment or health human.

18. 'Significant risk' means the likelihood of damage occurring and the extent of the damage being such that it cannot be disregarded without calling into question the purpose of this law in relation to the place of storage in question.

19. "Corrective measures": Measures taken to correct significant irregularities or to prevent or stop leakage of CO2 from the storage complex.

20. "Storage place closure": The definitive cessation of CO2 injection at a storage site.

21. 'Post-closure period' means the period following the closure of a place of storage, including the period after the transfer of responsibility to the competent authority.

22. 'Transport network' means the network of pipes, including the corresponding pumping and monitoring stations, for the transport of CO2 to the place of storage.

Article 5. Competencies.

1. It shall be for the Ministry of Industry, Tourism and Trade, in accordance with this law, to exercise the following functions:

(a) Grant the research permits provided for in this law when they affect the territorial scope of more than one autonomous community or the marine subsurface and resolve, in accordance with Article 6, the conflicts by concurrency rights that affect them.

b) Grant the storage concessions provided for in this law and resolve, in accordance with Article 6, the conflicts over rights that affect them.

c) Revoke storage concessions in the assumptions provided for in this law.

d) Check the financial soundness of the holder of a storage concession and the technical preparation of the staff who will develop their functions in the storage sites.

e) Ensuring that incompatible uses are not given in the storage places, within the scope of their competences, and coordinate with other administrations to ensure the same objective.

f) Resolve conflicts regarding access to transport networks and storage places.

g) Create and maintain a record that gathers information regarding research permits for storage concessions and closed storage sites, collecting relevant information from other administrations public.

h) Approve, as a substantive organ, the facilities projects of these stores in accordance with the current regulations.

i) Inspection of storage sites located on the marine subsoil. In the event of significant irregularities or leakage, it shall be ensured that the holder of the concession takes the necessary corrective measures, and if it deems necessary, shall adopt them by itself.

j) Those other functions attributed to him by this law.

The General Administration of the State may entrust the exercise of activities related to the functions set out in paragraphs (b), (c), (d), (g), (h) and (i) to those Autonomous Communities which so request, within the framework of Article 15 of Law No 30/1992 of 26 November 1992 on the Legal Regime of Public Administrations and the Common Administrative Procedure.

2. The Ministry of the Environment and the Rural and Marine Environment shall be responsible for the following tasks:

(a) Inform, in the terms provided for in this law, the granting of the research permits and the storage concessions granted to the Ministry of Industry, Tourism and Trade, as well as to formulate the the environmental impact statement or, where appropriate, the statement on the environmental assessment of the projects referred to in the second final provision of this law for which the Ministry of Industry, Tourism and Trade has the the condition of a substantive body, in accordance with the provisions of the Royal Legislative Decree 1/2008, of 11 of January, by which the recast text of the Environmental Impact Assessment of Projects Act is approved.

b) Exercise the monitoring and supervision functions of the storage sites referred to in Article 23.5, as well as in the cases where the transfer of responsibility has occurred to the Administration General of the State, in the terms provided for in this law.

(c) Propose to the Council of Ministers the transfer of responsibility for closed storage sites, as provided for in Article 24.

d) Create and maintain a record of closed storage places.

e) Those other functions attributed to you by this law.

The General Administration of the State may entrust the exercise of activities related to the functions referred to in paragraphs (b), (c) and (d) to those Autonomous Communities that so request, within the framework of the established in Article 15 of Law 30/1992 of 26 November 1992, of the Legal Regime of Public Administrations and of the Common Administrative Procedure.

3. The competent bodies of the autonomous communities shall be responsible for the following tasks:

(a) Grant the research permits provided for in this law when they do not exceed the territorial scope of an autonomous community and resolve, in accordance with Article 6, the conflicts of rights affecting the same.

b) Report storage grant requests.

c) Approve the follow-up plan and interim post-shutdown management plan.

d) Establish a system of inspections in storage places.

e) Ensure that in the event of significant irregularities or leakage, the holder of the concession takes the necessary corrective measures, and if it deems necessary, adopt them by itself.

f) Take responsibility for monitoring and corrective measures after a storage site is closed and up to the transfer of responsibility.

g) Those other functions attributed to them by this law.

The competent autonomic bodies shall further develop the activities entrusted to them in accordance with the provisions of paragraphs 1 and 2 of this Article.

4. In the case of geological storage of CO2 in the marine subsoil, the functions set out in the previous paragraph shall be the State General Administration, in accordance with the provisions of the additional provision third of this law.

5. For the purposes of paragraph 3 (c) to (f), in the case of places of storage situated within the territory of more than one autonomous community, the latter shall develop appropriate cooperation channels for the appropriate implementation of the this law.

Article 6. Concurrency of rights.

1. Research permits and storage concessions may be granted even in cases where, except for all or part of the same area, mineral or hydrocarbon rights are granted in accordance with the applicable rules, except in the case of underground structures regulated in Section II of Chapter II of Law 22/1973 of 21 July, of Mines, and provided that the storage of CO2 is compatible with the mining or hydrocarbon works that have been carried out previously authorized in that area.

2. The granting of research permits and storage concessions under this law shall not prevent the allocation of permits or concessions relating to other mineral deposits and other resources on the same areas of authorizations, permits or concessions. geologic, as long as the implicit tasks do not put the structure for CO storage at risk2.

3. The competent authority of the autonomous community or the Ministry of Industry, Tourism and Trade, where appropriate, and in accordance with the relevant distribution provided for in Article 5, shall resolve any incidents which may arise as a result of a meeting of the requests for research permits or for storage concessions from CO2 and other mineral substances and other geological resources. In the event that the work is incompatible, definitively or temporarily, the substance or resource whose exploitation is of greatest interest shall be determined. Ultimately, in the absence of a prevalent interest, priority will be given to the oldest right. The holder to whom the priority is granted shall, where appropriate, provide compensation to the holder who has recognised other rights prior to the damage caused to him. If the incompatibility is temporary, the suspended tasks may be resumed after the latter has disappeared.

4. In those cases where the research work carried out under two or more different research permits has ended up in the same geological structure, the competent authority of the Autonomous Community or the Ministry of Education Industry, Tourism and Trade, in the case of research permits of their competence, will resolve the incidents that may arise.

Article 7. Other authorizations.

The authorizations, permits and concessions covered by this law will be without prejudice to those other authorizations than the necessary works, constructions and facilities that may be required for their development.

CHAPTER II

Storage grants and research permissions

Article 8. Research permit.

1. In those cases where it is necessary to carry out research work in order to determine the storage capacity or the suitability of a particular storage site, such work shall require the obtaining of a permit from research granted under this law.

In those cases where appropriate, monitoring of the injection tests may be included in the research permits. In these cases, the competent body may, if it considers it appropriate, agree on the need to provide a guarantee in accordance with Article 12.

2. All natural or legal persons who provide sufficient evidence of the technical and economic solvency necessary to address the research project may be the holders of research permits.

3. The research permits shall confer on the holder the exclusive right to carry out the investigation on an indefinite depth volume whose surface base shall be delimited by parallel and meridians referring to the reference systems. Geodesic in force, being defined by the grouping of quadrillaters of one minute of side, in coincidence with whole minutes of latitude and longitude, attached to at least one of its sides provided that it does not exceed a maximum of 100,000 hectares.

The holder of a permit that demonstrates that the structure exceeds the area recognized in the permit, may ask the competent organ for the extension of the area affected by the permit provided it is comply with the requirements laid down in this law.

4. The validity of a permit may not exceed the period necessary to carry out the investigation for which it is granted. In any case, the validity of the permit shall not exceed 4 years. However, the competent authority may extend it for a maximum period of 2 years where the period initially stipulated is insufficient to conclude the investigation concerned, and provided that the investigation has been carried out by the competent authority. compliance with the permission.

Exceptionally, if at the end of that extension the characteristics of the investigation could be considered favourable for the positive characterization of a place of storage and for reasons other than the holder of the permit, The competent authority may, at the request of the person concerned, grant a further extension of 2 years.

5. The holder of a research permit will be the only one empowered to investigate the potential storage complex of CO2. During the period of validity of the permit will not be allowed in the potential storage places uses incompatible with the activity covered by the same. For these purposes, the competent authority shall carry out the necessary formalities with other departments and public administrations in order to ensure that such incompatible uses are not permitted.

6. The holder of the permit shall be obliged to:

a) Conduct investigations for which you have been granted permission within the time limits set in the research permit.

b) Provide to the Administration that the research permit has granted the information to be requested with respect to the characteristics of the underground structure, the works, and investments to be made, the reports geological and geophysicists carried out under the permit, as well as other data which are regulated.

The result of the research work will also be sent to the Ministry of Industry, Tourism and Commerce.

This information will be treated as confidential, and will maintain this character for the duration of the permit and up to seven years from the date of completion of the field work.

7. The research permit shall carry with it the declaration of public utility or social interest of the suprayacentes lands that are necessary for the work, for the effects foreseen in the Law of Compulsory Expropriation for the temporary occupation of the affected areas.

Article 9. Processing of the research permits.

1. The procedure for the processing of research permits shall be regulated. The competent body shall decide on requests for research permits within a maximum of one year.

2. Permits shall be granted or refused on the basis of objective, public and non-discriminatory criteria, including the greatest amount of investment, the speed of implementation of the programme and the technical characteristics and suitability of the project. In the case of the concurrence of two or more applications on the same area, it shall be ensured that the procedures for granting the research permits permit the participation of all entities possessing the necessary capacities.

3. The applicant for the research permit shall include at least, together with requests for research permits, the supporting documentation of the following information:

a) The name and address of the holder;

b) Accreditation of the technical and economic competence of the holder;

c) The surface of the permit delimited by its geographical coordinates, in accordance with the provisions of Article 8.3 of this Law.

(d) A research plan for the place of storage that includes a plan of work with all the actions planned and the means necessary for its implementation, in accordance with the criteria set out in Annex I.

All documents of a technical nature must be signed by competent technicians in the relevant field.

4. Within two months of the entry of the application, the competent authority shall check whether the applicant is satisfied with the requirements laid down to be the holder of the research permits.

In the event that the applicant does not meet those requirements, the application will be denied. If it is satisfied, the publication shall be ordered in the Official Journal of the State or in the official journal of the corresponding autonomous community of an advertisement in which the name of the applicant is published and the delimitation of the area covered by the (a) to ensure that, within a period of two months, proposals for improvement by the applicant, competing offers by third parties or the opposition of those deemed to be prejudiced in their right may be submitted within two months. Such proposals for improvement or competing offers shall be submitted in a sealed statement which shall be opened only after the deadline has been completed.

After the two-month period, no new applications on the same surface shall be permitted as long as the resolution is addressed.

5. The documentation required for the submission of competing bids, the form and time limits for submission and the award procedure shall be established.

The valuation criteria will also be regulated in the case of competing bids, taking into account, inter alia, the largest amount of investments and the speed of implementation of the investment programme.

6. The resolution on the granting of the research permit will be adopted by Ministerial Order of the Ministry of Industry, Tourism and Trade, after a favourable report by the Ministry of the Environment and Rural and Marine Environment, and after the report of the the autonomous communities concerned, or in the form that each autonomous community establishes for those concerned with its territorial scope, and must expressly resolve any objections that have been made.

7. The Council of Ministers, acting on a proposal from the Minister for Industry, Tourism and Trade, or the competent regional bodies, within the scope of their respective powers, may, where they consider it necessary for reasons of general interest, open competition on certain areas not granted, by means of a notice published in the 'Official State Gazette' or in the official journal of the corresponding autonomous community, awarding them to the contestant who, by meeting the required requirements, offers the better conditions.

Article 10. Granting storage.

1. Storage of CO2 will require obtaining a concession granted under this chapter. Storage concessions shall confer the exclusive right to store CO2 on the storage site to its holder.

No storage site may be used for CO2 storage without the corresponding grant being granted under this law.

2. The suitability of a geological formation to be used as a storage site shall be determined by means of a characterization and an assessment of the potential storage complex and the surrounding geological formations, according to the with the criteria specified in Annex I to this Act. A geological formation may be chosen only as a storage site if, under the proposed conditions of use, there is no significant risk of leakage or significant risk to the environment or human health.

3. Storage concession holders may be holders of all natural or legal persons who sufficiently credit the technical and economic solvency necessary to address the storage project subject to the application.

4. There may be only one holder per storage place. Any uses incompatible with the storage of CO2may not be authorised in that place. During the granting of the concession procedure, it shall be ensured that incompatible uses of the complex are not authorised. For these purposes, received a grant application, the Ministry of Industry, Tourism and Trade shall inform other Departments and public administrations, in order to ensure that such incompatible uses are not permitted.

5. The storage concessions shall confer on the holder the right to exploit exclusively a storage site suitably characterised in accordance with paragraph 2. The concession shall specify the surface base of the place of storage. storage, which shall be delimited by parallel and meridians referring to the geodesic reference systems in force, being defined by the grouping of quadrillaters of one minute's side, in coincidence with whole minutes of latitude and length, attached to at least one of its sides.

6. The storage concession shall have a maximum duration of 30 years, renewable for two successive periods of ten years.

However, if in the course of the penultimate year of the second extension it could be established that at the end of the total period of validity the total storage capacity will not be completed, the Ministry of Industry, Tourism and Trade, upon request of the holder made before the beginning of the last year of the second extension, may, on a reasoned basis, grant an exceptional extension for a period of not more than 10 years to optimise the place of storage before closing.

7. The approval of a storage concession shall involve the declaration of public utility of the suprayacent land necessary for the establishment of the injection facilities, as well as their auxiliary facilities, to the effects of forced expropriation and exercise of the easement of passage.

For the recognition of the public utility of the facilities referred to in the preceding paragraph, it shall be necessary for the data subject to request it, including a specific and individualized relationship of the goods or rights that the applicant considers necessary expropriation or occupation. The request shall be submitted for public information and a report shall be obtained from the bodies concerned. After completion of the procedure, the recognition of the public utility will be agreed by the Ministry of Industry, Tourism and Commerce if the granting of the concession corresponds to the General Administration of the State, or the competent agency of the Autonomous community in other cases.

The declaration of public utility shall in any event imply the need for occupation of the goods or for the acquisition of the rights concerned, and shall involve the urgent occupation within the meaning of Article 52 of the Law of Compulsory Expropriation of 16 December 1954.

Article 11. Processing of storage concessions.

1. It is the responsibility of the Ministry of Industry, Tourism and Commerce, prior to the Ministry of the Environment, and the Rural and Marine Environment, to grant the storage concessions.

2. The procedure for granting storage concessions shall be determined in accordance with the rules. The Ministry of Industry Tourism and Trade will have to resolve requests for storage concessions within a maximum of one year. The time limit for resolution shall be deemed to be interrupted during the processing time of the relevant environmental impact assessment.

3. It will be ensured that these procedures are open to all entities that have the necessary capacity and that concessions are granted on the basis of objective, public and transparent criteria. However, priority shall be given to the granting of a storage concession for a particular storage place to the holder of the permit for investigation on that site. The granting of the storage concession to the holder of the research permit shall be conditional on the completion of the research work, the completion of all the conditions laid down in the research permit and the the request for storage is cured during the period of validity of the permit for investigation.

If the holder of the research permit waives this right or does not exercise it in accordance with the provisions of the previous paragraph, a public tender procedure shall be arbitrated in order to award the concession to the applicant who, by meeting the required requirements, offers a project that presents the best conditions. The documentation required to participate in these contests, the form and time limits for the submission of tenders, the procedure for their award and the criteria for their assessment shall be established.

4. The holders of other mining rights and operating geologicals the object of which is not the storage of CO2 and which can demonstrate the suitability of a structure for the storage of CO2 in accordance with Annex I of this Law to the limits of these rights, may submit directly application for storage grant without the need to comply with the formalities relating to the research permits, provided that they present it before the term of the validity of your rights.

5. Storage concessions requests will include the following information:

a) The name and address of the holder.

b) Accreditation of the technical and economic competence of the holder.

c) The characterization of the site and the storage complex and the assessment of safety conditions in accordance with the provisions of this law.

d) A storage site exploitation project that includes the planned investment program and business activities, the total amount of CO2, which can be injected and stored, as well as the sources of origin of the same and in particular whether they come from own or third party activities, the intended transport methods, the composition of the CO2 flows, the injection rates and pressures and the situation of the facilities injection.

e) A study of the greenhouse gas balance in the total process (capture, transport and storage).

(f) The description of the measures to prevent irregularities or significant deviations from the planned operating plan.

g) A follow-up plan proposal.

h) Proposal for corrective measures.

i) Interim post-closure management plan proposal.

j) Initial document of the project or, where appropriate, environmental document referred to in Articles 6 and 16 of the Royal Legislative Decree 1/2008 of 11 January, approving the recast text of the Law on the Evaluation of Environmental impact of projects for projects that need to be subject to environmental impact assessment.

All documents of a technical nature must be signed by competent technicians in the relevant field.

6. A request shall be sent to the competent authority of the autonomous community for a report within a period of three months, after which, if it has not been issued, the action may be continued, in accordance with the provisions laid down in the Article 83.4 of Law 30/1992, of 26 November, of the Legal Regime of Public Administrations and of the Common Administrative Procedure. The competent authority of the autonomous community shall also be required to approve the monitoring plan and the interim post-closure management plan provided for in Articles 19 and 23, which shall be incorporated into the content of the concession.

In addition, a request shall be received from the European Commission for the purposes of Articles 8.2, 10 and other concordance of Directive 2009 /31/EC within one month of receipt and of the Institute. Geologic and Minero de España. The latter shall be presumed in favour if there is no express statement within three months.

7. Without prejudice to the above paragraph, the competent authority of the autonomous community shall approve the relevant greenhouse gas emission authorisation in accordance with the provisions of Law 1/2005 of 9 March 2005. regulating the regime of trade in greenhouse gas emission rights, without which the place of storage cannot begin to operate.

Article 12. Financial collateral.

1. The applicant shall submit, together with his application for storage, proof of the establishment of a financial guarantee which satisfies the obligations arising out of the grant and the law, including the the closure procedures and the post-closure provisions, as well as the obligations arising from the inclusion of the storage sites in the scope of Law 1/2005 of 9 March, which regulates the scheme of the trade in greenhouse gas emission allowances. The warranty will be returned whenever the grant request is not approved.

This financial guarantee must be valid and effective before the injection begins.

2. The guarantees shall be constituted in the form and in accordance with the procedures and modalities to be established.

3. In determining the amount of the security the competent bodies shall take into account the costs of dismantling the injection site and the sealing of the storage site. In addition, account shall be taken of the storage capacity of the site and the cost of the greenhouse gas emission allowance.

4. The financial guarantee may be regularly updated taking into account changes in the risk of leakage assessed and the estimated costs referred to in the previous paragraph.

5. In the event that the guarantee is fully or partially executed, the holder will be obliged to replenish the guarantee within a maximum period of two months. In the event of non-compliance with this obligation, the concession shall be revoked.

6. The financial guarantee shall continue to be valid and take effect:

(a) After the closure of a place of storage in accordance with points (a) and (b) of Article 23 (1), until the responsibility for the storage site is transferred to the competent authority.

b) After the revocation of a storage grant:

i. Until the issue of a new concession.

ii. Where the place of storage has been closed in accordance with point (c) of Article 23 (1), until the transfer of responsibility in accordance with this law, provided that the financial obligations referred to in that paragraph have been fulfilled. Article 25.

7. This guarantee will be independent of the guarantee provided for in Law 26/2007 of 23 October of Environmental Liability, although it must take into account the coverage granted by this or other guarantees in such a way that there is no overlap or discovered.

In the event that the operator integrates all of the above financial guarantees into a single one, the amount intended to cover the cost of the corrective measures and the fulfilment of the obligations arising from the granting of the storage of carbon dioxide must be clearly delimited and readily available from the rest of the guarantee.

Article 13. Conditions for granting storage concessions.

The Ministry of Industry, Tourism and Trade will only grant a storage concession once it has checked, on the basis of the application submitted, the following:

a) That all relevant requirements of this law and other applicable provisions are met.

b) That the holder is financially solvent, competent and technically reliable to exploit and control the place of storage, and that training and professional and technical training are provided to the holder and all his staff appropriate.

c) In case there is more than one storage place in the same underground structure, the potential pressure interactions are such that both places can meet the requirements of this law simultaneously.

Article 14. Content of the storage concessions.

The grant resolution of the grant shall contain at least the following information and elements:

a) The name and address of the holder.

b) The precise location and delimitation of the site and storage complex and the elements relating to the underground structure.

c) The approval of the operating plan for the place of storage presented.

(d) The requirements for the holding of the storage site, the total amount of CO2 for which the geological storage is authorised, the pressure limits of the tank and the maximum levels and pressures injection.

e) The requirements regarding the composition of the CO2 flow and, where applicable, other requirements regarding injection and storage, in particular to prevent significant irregularities.

(f) The monitoring plan approved by the Autonomous Community in accordance with Article 19, the obligation to implement the plan and the requirements for updating the plan, as well as the information requirements foreseen in the plan. Article 20.

g) The obligation to inform the Ministry of Industry, Tourism and Trade and the competent body of the Autonomous Community, in the event of significant irregularities or leakage, the obligation to report a plan of measures corrective and the obligation to implement such a plan in the event of significant irregularities or leakage.

(h) The closing conditions and the interim post-closure management plan approved by the autonomous community in accordance with Article 23.

i) The provisions regarding modifications, revision, updating, and revocation of the storage concession.

j) The obligation to establish and maintain the financial guarantee or other equivalent measure.

k) The environmental impact statement or, where applicable, the environmental assessment statement.

Article 15. Reviewing and revoking storage concessions.

1. The holder shall inform the Ministry of Industry, Tourism and Trade and the competent body of the autonomous community of any changes it intends to make to the project of the holding of a storage site, as well as of the changes of holder. These amendments shall be approved by the Ministry of Industry, Tourism and Trade which, if appropriate, shall review the granting of the storage concession or its conditions.

2. The competent authority of the autonomous community shall ensure and inform the Ministry of Industry, Tourism and Trade that there is no substantial change in the operation of the storage sites without the need for a issued a new storage concession or a revised concession in accordance with this law. The competent authority of the autonomous community may request the review of the storage concessions in accordance with the provisions of this Article.

The substantial changes in the exploitation of the storage sites will be subject to environmental impact assessment under the terms of the Royal Legislative Decree 1/2008 of January 11.

3. The Ministry of Industry, Tourism and Trade shall examine and, where appropriate, decide, after hearing the holder and subject to the report of the competent authority responsible where appropriate, the modification of the conditions or, ultimately, the revocation of the the granting of storage, without prejudice to any sanctions which may be applicable, in the following cases:

a) If you are aware of or have reported significant irregularities or leaks.

(b) If the reports submitted or the environmental inspections carried out show that the conditions for the granting or the risks of significant irregularities or leakage are not met.

c) If you are aware of any other non-compliance with the conditions of the concession by the holder.

d) If necessary in light of the latest scientific discoveries and technological advances. The holder shall be entitled to be compensated for any damages which, if any, may cause him to modify or revoke the concession.

The competent bodies of the Autonomous Communities may request the revocation of concessions in the cases provided for in this paragraph.

4. In any event, without prejudice to points (a) to (d) of the previous paragraph, the concessions shall be reviewed five years after their granting, and thereafter every ten years, subject to the report of the autonomous community responsible for the Inspection of the installation, which must be issued at least three months before the deadlines are met.

5. Following the revocation of a concession pursuant to paragraph 3, the Ministry of Industry, Tourism and Trade may issue a new concession or close the place of storage. The decision to revoke the concession shall indicate whether the closure of the place of storage or the granting of a new concession is appropriate.

6. Until a new concession is issued, the competent authority of the autonomous community shall temporarily assume all legal obligations relating to the criteria for the admission of CO2, in the event that they continue, as such. as regards the monitoring and implementation of the corrective measures in accordance with the requirements laid down in this law, the delivery of the allowances in the event of absconding under Law 1/2005 and the implementation of the measures taken by the Commission. prevention and repair in accordance with Article 17 (1) and Articles 19 and 20 (1) of the Law 26/2007, of October 23, of Environmental Responsibility.

The autonomic administration will recover from the previous owner the costs incurred, even making use of the financial guarantee provided for in this law.

7. In the case of closure of the storage site in accordance with point (c) of Article 23 (1), the provisions of paragraph 5 of that Article shall apply.

Article 16. Transmissibility of research permits and storage concessions.

The total or partial transmission of research permits and storage concessions shall be subject to the authorization of the competent authority in each case for granting, upon accreditation of the compliance by the the acquirer of the requirements to be the holder of the requirements.

Article 17. Extinction of research permits and storage concessions.

1. The permits and concessions regulated in this law shall be extinguished:

(a) By revocation declared by the competent body after hearing the holder. The revocation shall take place, in the case of a permit for investigation, for failure to comply with the conditions laid down therein; in the case of storage concessions, the provisions of Article 15 shall apply.

b) By expiration, at the expiration of their deadlines.

c) By the full or partial waiver of the holder.

d) By death or extinction of the holder, including the dissolution or liquidation of the titular legal person.

e) For any other causes established by the laws.

2. When a permit or concession is extinguished, the security or the part of the guarantee that corresponds to the partial extinction shall be returned to the holder, unless the security is implemented in accordance with the provisions of this law.

3. Where an operating concession is extinguished by the expiry of its period and is the subject of a tender for subsequent award, it shall have the preference to acquire it on an equal footing with the concessionaire.

4. The provisions of this Article shall be without prejudice to the provisions of Article 15 and Article 18 et seq. of the obligations arising from the closure.

CHAPTER III

Running, closing, and obligations after closing

Article 18. Composition of the carbon dioxide stream.

1. For the purpose of storage under this law, the flow to be stored shall be predominantly composed of carbon dioxide. No residue or substance may be added to the flow of CO2 with the object of removal.

2. However, the flow of CO2 may contain traces of associated substances from the source or during the capture or injection operations and residual substances that have been added to facilitate monitoring and verification. of CO2migration. The concentrations of all incidental and added substances must be below a level that can:

a) Causing negative effects on storage place integrity or transport infrastructure,

b) constitute an important risk to the environment or human health, or

c) infringe provisions of applicable regulations.

3. The holder of the place of storage shall:

a) Accept and inject CO2 flows only if an analysis of the composition of the flows by an accredited entity has been carried out for this purpose in the manner that is regulated, including the corrosive substances, and a risk assessment, and if the risk assessment has shown that the levels of contamination are in accordance with the conditions referred to in paragraph 1.

b) Maintain a record of the quantities and characteristics of the delivered and injected CO2 flows, including the composition of such flows.

4. The competent body of the autonomous community shall ensure that the holder complies with these obligations. For these purposes, the holder may, at any time, obtain the appropriate information, including documents proving compliance with these obligations.

5. For the purposes of this Article, the guidelines adopted by the European Commission pursuant to Article 12.2 of Directive 2009 /31/EC shall be taken into account.

Article 19. Monitoring.

1. The operator shall carry out the monitoring of the injection facilities and the storage complex, including, where possible, the CO2, and, where necessary, of the surrounding environment, in order to:

a) Compare the actual behavior of the CO2 and the training water, in the storage place with the modeling of such behavior.

b) Detect significant irregularities.

c) Detect CO2migration.

d) Detect CO2leaks.

e) Detect important negative effects in the immediate environment, particularly in drinking water, in the population, or in the users of the surrounding biosphere.

f) Evaluate the effectiveness of the corrective measures taken.

g) Update the security and integrity assessment of the storage complex, in the short and long term, including the assessment of whether the stored CO2 will remain complete and permanently confined.

2. The monitoring shall be based on a plan drawn up by the holder in accordance with the requirements set out in Annex II to this Act and shall also include detailed data for the monitoring of emissions in accordance with the provisions of this Act. Law 1/2005 of 9 March, which regulates the regime of trade in greenhouse gas emission rights. The Plan will be presented to the Ministry of Industry, Tourism and Trade with the grant application. The Ministry of Industry, Tourism and Trade shall forward it to the regional authority responsible for its approval. Once approved by the competent regional authority, the latter will forward the Plan to the Ministry of Industry, Tourism and Trade to be incorporated into the storage concession.

3. The plan shall be updated in accordance with the requirements set out in Annex II and, in any case, every five years, in order to take account of changes in the risk of leakage assessed, changes in risks assessed for the environment and human health, new scientific knowledge and improvements made to the best available technologies. The updated plans shall be submitted to the Ministry of Industry, Tourism and Trade for approval by the competent authority in accordance with the procedure laid down in the previous paragraph.

Article 20. Reporting obligations.

With the frequency to be determined in the concession, and in any case at least once a year, the holder shall submit to the competent authority of the autonomous community the following information:

(a) All results of the monitoring carried out during the period considered, including information on the monitoring technology used.

b) The quantities and characteristics of the delivered and injected CO2 flows, including the composition of such flows, during the period considered.

c) Proof of financial collateral maintenance.

(d) Any other information deemed useful by the competent autonomic body to assess compliance with the conditions stipulated in the concession and to improve knowledge of the behaviour of the CO2 in the place of storage.

Article 21. Inspections.

1. The competent authority of the autonomous community shall establish a system of routine or spot inspections of storage complexes in order to verify and enforce compliance and to monitor the effects of the complex storage of CO2 for the environment and human health.

2. The inspections shall include activities such as site visits, including injection facilities, the assessment of the injection and monitoring operations carried out by the operator and the verification of all the records held by the same.

3. Periodic inspections shall be carried out at least once a year for the duration of the concession and up to three years after the closure. Subsequently, these inspections shall be carried out every five years until the transfer of the responsibility to the competent authority takes place. The inspections shall examine the injection and monitoring facilities as well as all the possible effects of the storage complex for the environment and human health.

4. One-off inspections shall be carried out in the following cases:

(a) When knowledge is known or reported to be significant irregularities or leaks.

b) When reports reveal insufficient compliance with the terms of the concession.

c) To investigate complaints regarding the environment or human health.

d) In other cases, if the competent body of the autonomous community considers it appropriate.

5. After each inspection, the competent authority of the autonomous community shall draw up a report on the results of the inspection. The report shall assess compliance with the requirements of this law and indicate, where appropriate, the appropriateness of further measures. The report shall be communicated to the holder and shall be made public within two months of the inspection. The autonomous communities shall send copies of these reports to the Ministries of the Environment, the Rural and Marine Environment and Industry, Tourism and Trade, and shall report annually on the inspections carried out in the framework of the Coordination of Climate Change Policies.

Article 22. Measures in case of significant irregularities or leakage.

1. The holder is obliged to notify immediately to the competent authority of the Autonomous Community any significant irregularities or leaks that occur and to take the necessary corrective measures, including those related to the protection of human health.

In the event of leakage and significant irregularities at risk of leakage, the operator shall also notify the competent authority in accordance with Law 1/2005 of 9 March on the rules governing the trade in rights. for the emission of greenhouse gases, if different from that referred to in the preceding paragraph.

2. The measures referred to in paragraph 1 shall be adopted, in accordance with at least the requirements laid down in the plan of remedial measures submitted in accordance with Article 14 (g).

3. The competent authority of the autonomous community shall require the holder to take the necessary corrective measures and the appropriate measures relating to the protection of human health. These measures may be additional to those provided for in the plan of remedial measures or different measures. In addition, the competent body of the autonomous community may, at all times, adopt corrective measures if it considers it necessary.

4. If the holder does not take the necessary corrective measures, the competent authority of the autonomous community shall adopt them by itself.

5. The competent authority of the autonomous community shall recover from the holder the costs incurred in connection with the measures referred to in paragraphs 3 and 4, and may make use of the financial guarantee provided for in Article 12.

6. Irrespective of the provisions of the above paragraphs, in the event of leakage, the holder shall have the obligation to carry out the corresponding deliveries of allowances in accordance with the provisions of Law 1/2005 of 9 March 2005. that the regime of greenhouse gas emissions trading is regulated.

Article 23. Obligations relating to the closure and post-closure period.

1. The storage place will be closed in the following cases:

(a) For the time limit laid down in the concession has been met, the injection activities have been completed or any other of the conditions laid down in the concession carrying out the completion of the injection has been completed; provided that, in all such cases, such circumstances are credited by the holder to the Ministry of Industry, Tourism and Trade.

(b) At the request of the holder, upon acceptance by the Ministry of Industry, Tourism and Commerce provided that it does not have a negative effect on the public domain, the environment or public health or causes prejudice to third parties, or

(c) When decided by the Ministry of Industry, Tourism and Trade after the revocation of a storage concession.

2. After the closure of a place of storage in accordance with points (a) or (b) of paragraph 1, and until the responsibility for the storage site is transferred to the General Administration of the State, the holder shall remain responsible for:

a) Monitoring and reporting obligations.

b) Adopt all corrective measures, in accordance with the requirements set forth in this law.

c) comply with the obligations relating to the delivery of the allowances in case of leakage, in accordance with Law 1/2005 of 9 March, regulating the regime of trade in the rights of emission of gases greenhouse.

d) To comply with the preventive, avoidance and repair measures provided for in Articles 17, 19 and 20 of Law 26/2007 of 23 October on Environmental Liability.

e) Sellar the storage site and remove the injection facilities.

These obligations shall be fulfilled in accordance with a post-closure management plan drawn up by the holder, in accordance with best practices and with the requirements set out in Annex II. The management plan after the provisional closure shall be submitted to the Ministry of Industry, Tourism and Trade with the application for a concession. The Ministry of Industry, Tourism and Trade shall forward it to the regional authority responsible for its approval. Once approved by the competent regional authority, the latter will forward the Plan to the Ministry of Industry, Tourism and Trade to incorporate it into the storage concession in accordance with the provisions of Article 14.

3. Prior to the closure of a place of storage in accordance with points (a) or (b) of paragraph 1, the interim management plan after the closure shall be duly updated, taking into account the risk analysis, best practices and Existing technological improvements at that time. Once it has been updated, it will be submitted to the Ministry of Industry, Tourism and Trade, which will forward it to the regional authority responsible for its approval as a definitive post-closure management plan.

4. After the closure of a storage place and until the transfer of responsibility to the General Administration of the State, the competent bodies of the autonomous communities shall ensure that the holder of the obligations laid down in this Regulation is satisfied. in paragraph 2.

5. Following the closure of a storage site in accordance with point (c) of paragraph 1, the Ministry of the Environment, and the Rural and Marine Environment shall be responsible:

(a) Monitoring and corrective measures in accordance with the requirements set out in this Act.

b) To comply with the obligations related to the delivery of the allowances in case of leakage, in accordance with Law 1/2005 of 9 March, which regulates the regime of trade in the rights of the emission of gases from the greenhouse effect.

c) Sealing the site of storage and removal of injection facilities.

d) To comply with the preventive, avoidance and repair measures provided for in Articles 17, 19 and 20 of Law 26/2007 of 23 October on Environmental Liability.

The post-closure requirements under this law will be met by the Ministry of the Environment, and the Rural and Marine Environment under the interim post-closure management plan, updated if necessary. The exercise of these functions may be entrusted by the Ministry of the Environment, and the Rural and Marine Environment to the entity referred to in Article 25 (3) or any entity with technical means and competence to develop these functions.

6. The competent authority of the autonomous community or the Ministry of the Environment, and the Rural and Marine Environment, as appropriate, shall recover from the operator the costs incurred in connection with the measures referred to in paragraph 5, and may make use of the these effects of the financial guarantee provided for in Article 12.

Article 24. Transfer of responsibility.

1. After the closure of a place of storage in accordance with Article 23 (1) (a) or (b), all related legal obligations shall be transferred to the General Administration of the State on the initiative of the State or at the request of the holder. with the monitoring and with the corrective measures required under this law, with the delivery of the allowances in accordance with Law 1/2005 of 9 March, regulating the regime of trade in the rights of emission of gases (a) the amount of the amount of the total amount of the amount of the amount of the amount of the Articles 19 and 20 (1) of Law 26/2007 of 23 October of Environmental Liability, provided that:

a) All available tests indicate that all stored CO2 will remain complete and permanently confined.

(b) Have elapsed at least 20 years, unless the Ministry of the Environment, and the Rural and Marine Environment determines a lower time limit after having verified that before that period has elapsed, there is certainty as to what is contemplated in the preceding paragraph.

(c) The financial obligations referred to in Article 25 have been met.

d) The storage site has been sealed and injection facilities have been removed.

2. The holder shall prepare a report which documents compliance with the condition referred to in point (a) of paragraph 1 and shall submit it to the Ministry of the Environment, and the Rural and Marine Environment. The report must accredit, at least the following:

a) The compliance of the actual behavior of the CO2 injected with the modeling of such behavior.

b) The absence of any apparent leakage.

c) That the place of storage is evolving towards a long-term stability situation.

3. Where the Ministry of the Environment, and the Rural and Marine Environment considers that the conditions referred to in points (a) and (b) of paragraph 1 are met, it shall prepare a motion for a resolution approving the transfer of responsibility. The motion for a resolution shall specify the method for determining compliance with the condition referred to in point (d) of paragraph 1, as well as the updated requirements relating to the sealing of the storage site and the removal of the injection facilities. The report referred to in paragraph 2 and the motion for a resolution to the European Commission for this report shall be forwarded by the Ministry of the Environment and the Rural and Marine Environment.

Where the Ministry of the Environment, and the Rural and Marine Environment considers that the conditions referred to in points (a) and (b) of paragraph 1 are not met, it shall inform the holder of the reasons.

4. Once the formalities provided for in the preceding paragraphs have been completed and the conditions laid down in paragraph 1 have been met, the Ministry of the Environment and the Rural and Marine Environment shall raise the proposal for a transfer decision. responsibility to the Council of Ministers for approval. Such a decision shall be notified to the holder and communicated to the European Commission.

5. Once the responsibility has been transferred, the planned periodic inspections will be completed and the monitoring may be reduced to levels that are estimated to be sufficient to detect any significant leakage or irregularities. Monitoring shall be intensified in case of significant leakage or irregularities, in order to assess the extent of the problem and the effectiveness of the corrective measures.

6. In cases where the Administration incurs the cost of managing the place of storage after the transfer of responsibility, it may recover from the holder the costs incurred if it has incurred non-compliances, in particular in Cases of poor data submission, concealment of relevant information, negligence, intentional deception or lack of due diligence. In other cases, and without prejudice to Article 25, the costs of the holder may not be recovered after the transfer of responsibility.

7. After the closure of a storage site in accordance with point (c) of Article 23 (1), the transfer of responsibility shall be deemed to be effective once all available evidence indicates that all of the CO2 stored will remain completely and permanently confined, and once the storage site has been sealed and injection facilities have been removed.

Article 25. Tracking of carbon dioxide storage places after the transfer of responsibility.

1. The Government shall take the necessary measures to monitor the storage sites after the transfer of responsibility, including those relating to the coverage of the monitoring costs of those sites. storage, as well as those that are necessary to ensure that the stored CO2 remains completely and permanently confined.

2. For the purposes of the previous paragraph, the government shall regulate a financial instrument to deal with the costs of monitoring. In any event, and in accordance with the determination, the holder of the place of storage shall make an economic contribution, before the transfer of responsibility has taken place in accordance with Article 24, to the financial instrument. The amount of the contribution and the conditions under which it is to be made shall be determined in accordance with the parameters set out in Annex I and the elements relating to the chronology of the storage of CO2 that are relevant for establishing subsequent transfer obligations, and shall cover at least the anticipated costs of monitoring for a period of 30 years.

3. In addition, for the purposes of paragraph 1 of this Article, the Government shall, before the transfer of responsibility for any place of storage, take the necessary measures to ensure the appropriate exercise of the monitoring functions of the closed storage sites and whose responsibility is to be transferred to the Administration. In this respect, the analysis of these elements may be entrusted to a public entity with technical means and competence to do so.

CHAPTER IV

Third-party access

Article 26. Access to the transport network and places of storage.

1. The Ministry of Industry, Tourism and Trade will take the necessary measures to ensure the access of potential users to transport networks and storage sites for the purposes of geological storage of CO2 produced and captured in accordance with paragraphs 2, 3 and 4. The necessary measures may be required to ensure compliance with the provisions of this Article.

2. The access referred to in paragraph 1 shall be provided in a transparent and non-discriminatory manner. To do this, it will be taken into account:

a) The storage and transport capacity that is available or may be available on reasonable terms.

b) The proportional share of the reduction obligations of CO2 assumed by Spain under international legal instruments and the Community rules that are intended to be met by the capture and CO2geological storage.

c) The need to refuse access to storage sites in the event of incompatibilities of technical specifications that cannot be reasonably remedied.

(d) The need to respect the reasonable and duly justified needs of the owner or holder of the place of storage or of the transport network and the interests of all other users of the place of storage or of the network or of the processing or management facilities that may be affected.

3. Holders of storage sites may require a price for their use, while respecting the principles of transparency and non-discrimination. The remuneration scheme for transport networks will be determined by the Ministry of Industry, Tourism and Trade, following the agreement of the Government's Delegation for Economic Affairs, in the form that will be established.

4. Holders of transport networks and storage sites may refuse access on the grounds of lack of capacity. The refusal shall be duly substantiated and justified. In the event of refusal of access, the holder shall inform the Ministry of Industry, Tourism and Trade, stating the reasons for the refusal.

5. The Ministry of Industry, Tourism and Trade may require the necessary measures to be taken to ensure that holders who refuse access on the grounds of lack of capacity or lack of connection make the necessary improvements, provided that make it economically viable and that a potential customer is willing to bear the costs and responsibilities that this entails, and provided that this does not have negative environmental effects on the safety of transport and storage CO2geologic.

Article 27. Conflict resolution.

1. The Ministry of Industry, Tourism and Trade shall resolve disputes relating to access to transport networks and places of storage, having regard to the criteria set out in Article 26 (2) and taking into account the number of parties that may intervene in the negotiation of such access.

2. In the event of transnational conflicts, the solution mechanisms provided for in this law shall apply when the transport network or the place of storage to which access has been denied is located in Spain. Where a transnational conflict arises, in which another Member State of the European Union is involved in the management of the transport network or in that of the place of storage in question, the Government shall be concerned with that of the State concerned. ensure consistent application of the CO2 geological storage regime.

CHAPTER V

Registration and Advertising

Article 28. Recording places of storage.

1. The Ministry of Industry, Tourism and Trade will create and maintain a record of the research permits and approved storage concessions, including information on closed storage sites. To this end, it will seek the necessary information from the competent regional authorities and the Ministry of the Environment, and the Rural and Marine Environment.

2. The Ministry of the Environment, and the Rural and Marine Environment will create and maintain a permanent record of all closed storage sites and surrounding storage complexes, including the maps and sections of their extension. space and the available information to assess whether the stored CO2 will be completely and permanently confined.

3. The Public Administrations shall maintain the cooperative relations necessary to ensure the accuracy and consistency of the information contained in their respective registers. In particular, the Autonomous Administrations and the Ministry of the Environment, and the Rural and Marine Environment will make available to the Ministry of Industry, Tourism and Commerce information on the research permits granted and the closed storage places, respectively.

4. Public administrations shall take into account the records referred to in this Article in their planning procedures, as well as when they authorise activities likely to affect or be affected by geological storage. of CO2 in the registered storage places. In this respect, the provisions of the first provision of this law shall be observed.

Article 29. Advertising.

Public Administrations shall make available to the public information related to the geological storage of CO2 in accordance with the provisions of Law 27/2006 of 18 July on the rights of access to information, public participation and access to justice in the field of the environment.

CHAPTER VI

Sanctioning Regime

Article 30. Violations.

1. Administrative violations are the actions and omissions that are typified in the following articles.

2. The administrative offences set out in this law shall be without prejudice to the civil, criminal, environmental or other responsibilities in which the owners of the undertakings carrying out the activities may incur refer to.

Article 31. Very serious infringements.

1. These are very serious violations:

a) Carry out CO2 injections without the enabling administrative title under this law.

(b) Failure to comply with the obligations imposed on the holders in the framework of this law that endanger human health or the environment.

(c) Falsifying information related to the transfer of regulated liability in Article 24.

2. Serious infringements as referred to in the following Article shall also be considered to be very serious where a penalty for the same type of infringement has been imposed on the offender in the three years preceding his commission.

Article 32. Serious infringements.

These are serious violations:

a) Carry out research jobs for CO2 storage without having a research permit under this law.

b) Not having constituted a valid and effective financial guarantee at the time of the start of the injection.

c) The injection into a place of storage of flows without complying with the requirements of this law, including the injection of substances or waste other than those covered by this law.

d) Not to track injection facilities and storage complex in accordance with the provisions of this law.

e) Do not follow up on storage places after closure in accordance with the provisions of this law.

f) Do not immediately notify any significant irregularities or leaks that occur.

g) Failure to take appropriate corrective action in the event of significant irregularities or leakage.

h) Failure to comply with the reporting obligations under this law within the time limits provided for or to distort the information provided to the Administration.

i) Failure to comply with obligations relating to the sealing and removal of injection facilities after the closure of the storage site.

Article 33. Minor infractions.

Minor infractions are those violations of the precepts of enforcement which fall within this law and in its implementing rules which do not constitute a serious or very serious infringement, in accordance with the provisions of the two previous articles.

Article 34. Graduation of sanctions.

The following circumstances will be taken into account for the determination of the corresponding sanctions:

(a) The danger resulting from the violation of human life and health and the environment.

b) The importance of damage or deterioration caused.

c) The intentionality or reiteration in the commission of the infringement.

d) The reiteration by commission of more than one infraction of the same nature.

Article 35. Penalties.

1. The offences listed in the preceding articles shall be sanctioned:

(a) Very serious infringements with a fine of between EUR 2,000,001 and EUR 5,000,000.

(b) Serious infringements with a fine of between EUR 200,001 and EUR 2,000,000.

c) Minor infractions, with a fine of up to 200,000 euros.

2. Without prejudice to the provisions of the preceding paragraph, the resolution terminating the sanctioning procedure may further determine, in addition, in the case of serious and very serious infringements, the revocation of the granting of storage, the closure of the storage site or suspension of the CO injection2.

3. These penalties shall be without prejudice to the obligation to comply with the preventive, avoidance and repair measures provided for in Articles 17, 19 and 20 of Law 26/2007 of 23 October of Environmental Liability and with the obligations relating to the delivery of the allowances in the event of leakage in accordance with Law 1/2005 of 9 March on the rules governing the trading of greenhouse gas emission allowances.

Article 36. Precautionary measures.

The organ of the sanctioning file will be empowered to adopt precautionary measures in the framework of the sanctioning procedure in those cases where the nature of the infringement so advises, being able to order the suspension of the injection on a temporary basis.

Article 37. Sanctioning procedure.

1. The procedure for imposing sanctions shall be in accordance with the provisions of Law No 30/1992 of 26 November 1992 on the Legal Regime of Public Administrations and the Common Administrative Procedure.

2. The maximum time limit for resolving and notifying the sanctioning files processed in accordance with the envisaged procedure shall be one year.

Article 38. Competence to impose sanctions.

1. The competence to deal with and resolve the sanctioning procedures provided for in this law shall be the responsibility of the competent autonomic bodies, except in the case of permits or concessions on sites whose management corresponds to the Administration of the State, in accordance with Article 5 and in the case referred to in Article 31 (1) (c).

2. Where the General Administration of the State is competent for the resolution of the sanctioning files, the opening and processing thereof shall be the responsibility of the Department entrusted with the tasks relating to the management of the of the place of storage at the time of the infringement. The resolution of such cases shall be the responsibility of the respective Ministers, in the case of minor and serious infringements, and the Council of Ministers, in the case of very serious infringements.

Additional disposition first. Storage and planning concessions.

1. The storage concessions for CO2 should be taken into account in the relevant spatial planning, urban planning or road infrastructure planning instruments as appropriate, specifying the possible facilities, properly qualifying the land and establishing the soil reserves necessary for the location of the new facilities and the protection of existing facilities.

2. In cases where the CO2 storage concessions have not been taken into account in the planning or planning instruments described in the previous paragraph, or when justified reasons of urgency or exceptional interest advise on the establishment of storage facilities, and provided that under other laws a territory or town planning instrument is required, depending on the type of soil affected, to be the provisions of the legislation on soil regime and land-use planning that result In particular, it applies to the provisions of the additional provision of the Royal Decree-Law of 20 June, the 10th Royal Decree of 20 June, approving the recast text of the Law on Soil.

3. The restrictions provided for in the planning or planning instruments described in the previous paragraph that affect the research activities and the use of underground structures for the storage of CO2 may be generic and shall be reasoned.

4. In the case of storage of CO2 in the marine subsoil, the third additional provision shall be made available.

Additional provision second. Obligations for combustion plants of more than 300 megawatts.

1. For the purpose of obtaining the relevant administrative authorisation resolution, the holders of combustion plants with a rated electric power equal to or greater than 300 megawatts shall assess whether they meet the following conditions:

a) That have adequate storage places.

b) That transport facilities are technically and economically viable.

c) That a later adaptation for CO capture2is technically and economically feasible.

2. The Ministry of Industry, Tourism and Trade shall determine whether the conditions referred to in the previous paragraph are met on the basis of the assessment of the holder and the information available to it, in particular the protection of the environment. environment and human health. Where the conditions set out in paragraph 1 are met, the operator shall reserve sufficient space at the site of the installation for the equipment necessary for the capture and compression of CO2.

3. The provisions of this provision will be developed, with the necessary amendments, to these effects, in Royal Decree 430/2004 of 12 March establishing new rules on the limitation of emissions to the the atmosphere of certain pollutants from large combustion plants, and certain conditions for the control of emissions to the atmosphere of oil refineries, and in Royal Decree 1955/2000 of 1 January 2000. December, for which the activities of transport, distribution, marketing, the supply and authorisation procedures of electrical energy installations.

4. The facilities referred to in this provision which have obtained administrative authorisation resolution between 25 June 2009 and the date of entry into force of this law, shall carry out the assessment provided for in paragraph 1. a period of six months. If the conditions laid down in paragraph 1 are met, the measures necessary to comply with paragraph 2 shall be taken in accordance with the provisions laid down in this respect by the Ministry of Industry, Tourism and Trade.

Additional provision third. Geological storage of CO2 in the marine subsoil.

1. For the storage of carbon dioxide in geological structures that are extended, in whole or in part, by the marine subsoil, this provision shall be provided for.

2. The storage of CO2 in geological structures in the marine subsoil shall not be permitted where such activity is not permitted by the International Marine Environment Protection Conventions that are applicable to the marine environment. geographical location of the injection site.

3. The occupation of the maritime-terrestrial public domain which is necessary to carry out the actions covered by the permits and concessions provided for in this law shall require the administrative titles enabling them to do so with Law 22/1988, of 28 July, of Costas.

4. The permits and concessions provided for in this law, when referring to storage of CO2 in the marine subsoil, shall respect the planning and limitations established for those areas in the environmental protection rules of the marine environment, and in particular the Marine Strategies to be developed in accordance with the provisions of Law 41/2010 of 29 December on the Protection of the Marine Environment.

5. The competencies attributed to the autonomous communities in this law will be exercised, in the case of storage of CO2 in the marine subsurface, by the Ministry of Industry, Tourism and Commerce. This shall, where appropriate, seek technical support from the Ministry of the Environment, and the Rural and Marine Environment.

In these cases, the guarantee referred to in Article 12 shall be one of those provided for in Royal Decree 161/1997 of 7 February 1997 approving the Regulation of the General Deposit Box.

Additional provision fourth. Projects considered in the EU Economic Recovery Plan.

In order to be able to deal in time and time with the CO2 , transport and storage projects provided for in Directive 2009 /29/EC, which amends Directive 2003 /87/EC on European emissions trading, (8) and considered in the Economic Recovery Plan of the European Union, the Administrations and, in particular, the General Administration of the State, through their substantive and competent bodies, shall ensure that to ensure the timely feasibility of the processing of projects carried out in the Kingdom of Spain.

First transient disposition. Titles granted under Law 22/1973, of 21 July, of Mines.

1. Authorizations for the recognition of underground structures for use as storage of CO2 processed in accordance with Law 22/1973 of 21 July of Mines prior to the entry into force of this law shall be be adapted to the provisions of this research permit, for which it shall have an effect of 18 months in order to submit to the competent body the documentation referred to in Article 7 of this Law.

The holders of these authorizations may apply for storage concessions under this law, with priority to be granted in the terms referred to in Article 11 of this law.

2. The holders of authorizations obtained for the storage of CO2 under Law 22/1973 of 21 July, of Mines prior to the entry into force of this law, will have a period of 2 years for the adaptation of the conditions of the authorisation to the provisions of this law. For these purposes, the Ministry of Industry, Tourism and Trade must present the documentation related to Article 11 of this Law together with the authorization obtained under Law 22/1973 of 21 July of Mines. In case they meet the requirements to obtain a concession under this law, they will be granted.

Second transient disposition. Reserve zones in favor of the State.

1. The registration of the Reserve Zones in favor of the State under Law 22/1973, of 21 July, of Mines, relating to underground structures susceptible to storing carbon dioxide, which at the entry into force of this law are not declared as provisional or final reservations will be cancelled.

2. Areas of State Reserves in favour of underground structures susceptible to the storage of carbon dioxide which have been declared to be subject to the entry into force of this law shall be subject to permits to investigation under this law.

In the event that the Provisional Reserve has been declared in favor of a public entity, the aforementioned research permit will be granted. In the event that the Provisional Reserve has been declared in favour of a consortium, the research permit shall be granted to the private company, prior to dissolution of the consortium.

In both cases, the holder shall have an 18-month period to submit to the competent body the documentation required by Article 9.

3. Areas of State Reserves in favour of underground structures liable to store carbon dioxide that would have been declared as Definitive Reserves at the time of entry into force of this law will be covered by concessions of storage under this law.

If declared in favour of a public entity, the holder of the concession shall be the holder. If declared in favour of a consortium, the private undertaking shall be the new holder of the storage concession, after dissolution of the consortium.

In both cases, the holder shall have an 18-month period to submit to the competent body the documentation requested in Article 11.

4. The non-submission of the required documentation for the recognition of permits or concessions in accordance with this provision shall entail the extinction of such permits or concessions.

Final disposition first. Amendment of Law 22/1973 of 21 July of Mines.

A new paragraph four is added to Article 1 of Law 22/1973, of 21 July, of Mines, with the following wording:

" 4. The investigation or exploitation of underground structures for use as geological storage of carbon dioxide shall be governed by its specific legislation. '

Final disposition second. Amendment of the recast text of the Law on Environmental Assessment of Projects, approved by Royal Legislative Decree 1/2008, of January 11.

The recast text of the Law on Environmental Assessment of Projects, approved by Royal Legislative Decree 1/2008, of January 11, is amended as follows:

One. Point (f) of Group 3 of Annex I is replaced by the following wording:

" (f) Tuberies with a diameter of more than 800 millimetres and a length exceeding 40 kilometres:

For the transportation of gas, oil, or chemicals and

for the transport of carbon dioxide flows for geological storage purposes, including associated pumping stations. "

Two. Point 7 of Group 9 (b) of Annex I is replaced by the following wording:

" 7. Pipes for the transport of chemicals and for the transport of gas and oil, with a diameter of more than 800 millimeters and a length greater than 10 kilometres and pipes for the transport of carbon dioxide flows for the purpose of geological storage, including associated pumping stations. "

Three. Two new letters are added to Group 9 of Annex I, with the following wording:

" f) Storage sites in accordance with Law 40/2010 of 29 December of geological storage of carbon dioxide.

g) Facilities for the capture of CO2 flows for geological storage purposes in accordance with Law 40/2010 of 29 December of geological storage of carbon dioxide from installations included in this Annex, or where the total annual CO2 capture is equal to or greater than 1.5 megatons. "

Four. A new point (g) is added to Group 3 of Annex II, with the following wording:

" g) Facilities for the capture of CO2 flows for geological storage purposes in accordance with Law 40/2010 of 29 December of geological storage of carbon dioxide from installations not included in Annex I. '

Five. Paragraph (d) of Group 4 of Annex II is worded as follows:

" (d) Oil and gas pipeline installations, except in urban land, having a length greater than 10 kilometres and pipes for the transport of CO2 flows for geological storage purposes (projects not included in Annex I). '

Final disposition third. Amendment of Law 26/2007 of 23 October on Environmental Liability.

A new paragraph 15 is added in Annex III of Law 26/2007 of 23 October on Environmental Liability, with the following wording:

" 15. The exploitation of carbon storage sites in accordance with Law 40/2010 of 29 December 2010 on the geological storage of carbon dioxide. "

Final disposition fourth. Amendment of Law 10/1998 of 21 April of Waste.

Article 2.1.a of Law 10/1998 of 21 April of Waste is worded as follows:

" (a) Emissions into the atmosphere covered by Law 34/2007 of 15 November of air quality and protection of the atmosphere, as well as carbon dioxide captured and transported for geological storage purposes; and effectively stored in geological formations in accordance with Law 40/2010 of 29 December 2010 for the geological storage of carbon dioxide or excluded from its scope by Article 2.2 of that Law. '

Final disposition fifth. Amendment of Law 16/2002, of July 1, of Integrated Pollution Prevention and Control.

A new paragraph 12 is added to Annex 1 of Law 16/2002, of July 1, of Integrated Pollution Prevention and Control, with the following wording:

" 12. CO capture installations2 for carbon dioxide storage purposes.

12.1 CO Capture Facilities2 from installations regulated by this law for the purposes of geological storage of carbon dioxide in accordance with Law 40/2010 of December 29, storage Carbon dioxide geological. "

Final disposition sixth. Amendment of Law 54/1997 of 27 November of the Electrical Sector.

The second subparagraph of Article 30 (5) of Law 54/1997 of 27 November of the Electrical Sector is worded as follows:

" 5. The Government may establish a specific economic regime for those installations for the production of electrical power of thermal origin of the ordinary system when, in addition to using the fuel for which they were authorised, they also use Biomass or industrial waste gases with energy recovery as secondary fuel. To this end, account shall be taken of the energy consumption and the cost overruns. The decision establishing the economic system shall also contain the conditions for the use of biomass or industrial waste gases with energy recovery. '

Final disposition seventh. Amendment of Law 29/1987 of 18 December of the Tax on Successions and Donations.

Article 34 (4) of Law 29/1987 of 18 December of the Tax on Successions and Donations is amended as follows:

" 4. In accordance with the provisions of the previous paragraph, the system of self-validation of the tax is established on a compulsory basis in the following autonomous communities:

Autonomous Community of Andalusia.

Autonomous Community of Aragon.

Autonomous Community of the Principality of Asturias.

Autonomous Community of the Balearic Islands.

Autonomous Community of the Canary Islands.

Castile and Leon Community.

Autonomous Community of Catalonia.

Autonomous Community of Galicia.

Autonomous Community of the Region of Murcia. "

Final disposition octave. Amendment of the recast text of the Law of the Land Registry, approved by Royal Legislative Decree 1/2004, of 5 March.

The recast text of the Real Estate Law is amended in the following terms:

One. New wording is given to Article 17, which is worded as follows:

" Article 17. Notification and effectiveness of acts in the procedures for incorporation by means of declaration, communication and application.

1. Acts dictated as a result of the procedures laid down in this Chapter may be notified to the persons concerned by electronic notification, by appearance or by personal and direct notification by means of electronic.

Where the same holder is required to be notified in proceedings of the same nature, those acts may be grouped together in one or more notifications where the reasons for their efficiency are appropriate and result technically possible.

2. Notifications shall be made by electronic means, or by electronic means, in the terms of the order of the Ministry of Economic Affairs and Finance, in the following cases:

a) Legal persons.

(b) Entities without legal personality that are guaranteed access and availability of the precise technological means.

(c) Collective of natural persons who, by reason of their economic or technical capacity, professional dedication or other accredited reasons, are guaranteed the access and availability of the precise technological means.

(d) General Administration of the State, Administrations of the Autonomous Communities, entities that comprise the Local Administration, public bodies, public universities, public law entities that independently functional or with a special autonomy recognised by law, have assigned functions of external regulation or control on a given sector or activity, entities governed by public law linked to one or more public administrations or dependent on it and administrative consortia.

In the cases of liability provided for in the preceding letters, no electronic notification shall be carried out or for the presence of the person in question in accordance with the following paragraph, nor shall the personal and direct notification by non-electronic means.

3. Interested parties not obliged to the electronic notification may be notified by means of the electronic address enabled, with the requirements and effects provided for in Law 11/2007, of June 22. In the same terms of voluntary service, the notification may be made by electronic or in-person appearance.

Consent for the use of electronic means may be collected and expressed electronically. The constancy in the computer system of the date and time at which the notification has been made available and the access to the notification shall demonstrate the practice of the notification and shall be incorporated into the file.

By means of communication without acknowledgement of receipt and prior to the notification, the person concerned shall be informed of the procedure which motivates the notification, the manner of making the appearance, whether electronic or in-person, the place and time to be held, which may not be less than one month from the day following the day on which the act to be notified was issued, and the agreed key for the purposes of electronic appearance.

For the appearance at the electronic headquarters of the Catastro the interested person will be identified by the concerted key provided by the General Directorate of the Catastro or electronic signature, in accordance with the law established in the Law 11/2007, June 22, and its development regulations. The interested party may appear using his own electronic means or through the ones provided free of charge in the Management and Subgerences of the Catastro, in the cadastral information points located in the Public Administrations and in the Municipality of the municipality where the buildings are located.

For the presence of the person concerned, the person concerned may be personified in the corresponding Management or Submanagement of the Catastro, as well as in the City Hall of the municipality in which the buildings are located.

4. Where the notification has not been carried out in accordance with the terms set out in the preceding paragraph, it shall be carried out in a personal and direct manner by means of non-electronic means, in accordance with the provisions of Law 58/2003 of 17 December 2003. Tax.

5. Where, as a result of the use of different electronic or non-electronic means, several notifications are made, all legal effects arising from the notification, including the initiation of the notification, shall be deemed to be produced. the time limit for the interposition of the resources that come from the first of the correctly applied notifications.

6. The acts referred to in this Article shall be effective on the day following that in which the facts, acts or businesses that originated the cadastral incorporation or modification occurred, regardless of the time they are notified.

7. For the performance of the actions referred to in this Article, the collaboration of local corporations or other public authorities and entities may be sought. "

Two. Article 18.2 is amended, which is worded as follows:

" 2. The General Directorate of the Catastro may automatically rectify the information contained in the cadastral database as soon as it is necessary to make surface corrections within the margin of technical tolerance that is defined in regulation, as well as to reflect changes in the postal identifiers or in the mapping, or when other operations of a general nature are carried out, legally intended, that aim to maintain the appropriate agreement between the Catastro and the real estate.

When the operation of a general character consists in the rectification of the description of the buildings to be carried out on the basis of adjustments to the official basic cartography or to the orthotphotographs inscribed in the Central Register Cartography will be announced in the official bulletin of the province the beginning of the procedure of rectification by cartographic adjustments in the affected municipalities and calendar of actions. After that notice, a period of public exposure shall be opened at the City Hall in which the buildings are located for a minimum of 15 days and the subsequent opening of the period of claims during the following month. Where, as a result of these actions, corrections are made in excess of the technical tolerance, the resolution approving the new cadastral characteristics, which shall be effective the day following that in which it was The notice shall be notified to the persons concerned in accordance with Article 29 of this recast text, without the notice provided for in paragraph 1 of that Article being required. '

Three. New wording is given to Article 29, which is worded as follows:

" Article 29. General and partial collective valuation procedures.

1. Collective valuation procedures of a general and partial nature shall be initiated with the approval of the corresponding value presentation.

The individualised cadastral values resulting from these procedures may be notified to the cadastral holders by electronic notification, by appearance or by personal and direct notification. non-electronic means. In the case of immovable property corresponding to the same cadastral holder, such individual securities may be grouped together in one or more notifications, where the reasons for efficiency advise and are technically possible.

The notification procedure will be initiated by the publication of an advertisement in the "Official State Gazette", in the autonomous community or in the province, according to the territorial area of competence of the organ dictated the act.

2. Notifications shall be made by electronic appearance at the electronic headquarters of the Catastro or by means of the electronic address enabled, in the terms of the order of the Ministry of Economy and Hacienda, in the following assumptions:

a) Legal persons.

(b) Entities without legal personality that are guaranteed access and availability of the precise technological means.

(c) Collective of natural persons who, by reason of their economic or technical capacity, professional dedication or other accredited reasons, are guaranteed the access and availability of the precise technological means.

(d) General Administration of the State, Administrations of the Autonomous Communities, entities that comprise the Local Administration, public bodies, public universities, public law entities that independently functional or with a special autonomy recognised by law have assigned functions of regulation or control of external character on a given sector or activity, entities of public law linked to one or several Public Administrations or dependent on it and administrative consortia.

In the cases of compulsory liability provided for in the preceding letters, no notification shall be made for electronic or face-to-face appearance in the following paragraph, nor shall the staff and the media not electronic.

When the mandatory electronic appearance has been established, the act to be notified shall be available at the electronic seat of the Catastro during the month of November of the year of approval of the corresponding setting of values. After ten calendar days from the end of the electronic appearance period without access to the content of the act, it is understood that the notification has been rejected in the terms provided for in Article 28.3 of Law 11/2007, June 22, citizens ' electronic access to Public Services.

3. In the case of castral holders not required by electronic notification, once the notice referred to in paragraph 1 of this Article has been published, the person concerned shall be informed by communication without acknowledgement of the procedure. which motivates the notification, the way to make the appearance, whether electronic or in-person, the place and time to perform it and the agreed key to appear electronically.

For the purpose of appearing in the electronic headquarters of the Catastro, the person concerned shall be identified by the agreed key provided by the General Directorate of the Catastro or electronic signature, in accordance with the provisions of the Law 11/2007, of 22 June, and its implementing legislation. The interested party may appear using his own electronic means or through the ones provided free of charge in the Management and Subgerences of the Catastro, in the cadastral information points located in the Public Administrations and in the Municipality of the municipality where the buildings are located.

In the event that the cadastral holder did not appear electronically, he will be able to do so in person in the corresponding Management or Submanagement of the Catastro, as well as in the municipality of the municipality in which the buildings are located.

4. Where the electronic or in-person appearance of the cadastral holders not required by electronic notification has not occurred, they shall be notified in a personal and direct manner in the following terms:

(a) The notification shall be carried out by any means which permits the receipt, as well as the date, the identity of the recipient and the content of the notified act, to be recorded on the file, accreditation of the notification made.

(b) Where it is not possible to make the notification to the person concerned or to his representative for reasons not attributable to the administration, and once attempted twice, or by a single person if it is known as unknown, it shall be stated in the file with the expression of the circumstances of the notification attempts. In these cases, it will be published in the "Official Gazette of the State", in that of the Autonomous Community or in the province, according to the territorial scope of the jurisdiction of the organ that dictated the act, in which the place and time of the exhibition will be indicated publishes the list of headlines with pending notifications.

This relationship, in which the procedure that motivates the notification, the body responsible for its processing and the place and time limit in which the addressee of that person must appear to be notified, will be displayed in the places for the purpose of the City Council and the Management of the Catastro corresponding to the municipality in which the buildings are located, without prejudice to its publication in the electronic headquarters of the General Directorate of the Catastro for its individual consultation. The appearance must take place within ten days from the date of publication of the notice in the Official Gazette.

(c) Where the period of 10 days referred to in the preceding subparagraph has not been compared, the notification shall be deemed to have been produced for all legal purposes from the day following that of the expiry of the period signaled to appear.

(d) The provisions on notifications under Law 58/2003 of 17 December, General Tax, will be applicable to the notification of cadastral values by non-electronic means provided for in this paragraph.

5. The agreements adopted shall be effective on 1 January of the year following that in which they are notified. However, for those immovable property which after the approval of the stock-giving is amended, the nature of its soil and the values of the values are the elements and criteria referred to in Article 25 (2). Agreements shall take effect on 1 January of the year following that in which the circumstances resulting from such amendment take place, irrespective of the time of notification of the act.

6. The acts subject to notification may be appealed on an economic and administrative basis without the application of the complaint suspending its enforceability.

The General Directorate of the Catastro will communicate to the Councils, as recipients of the Real Estate Tax and its active subjects, the presentation of the economic and administrative complaints that the Cadastral holders of real estate with special characteristics against the reporting of securities. In addition, the Councils will be able to request the General Directorate of the Catastro to communicate to them the presentation of other economic and administrative complaints regarding a specific area that the local entity will have to define expressly in each case.

7. With reference to the cases of notification of securities referred to in this Article, the time limit for the application of the economic and administrative reimposition or claim shall be one month from the date of the date of the notification. next:

(a) When the notification is made in accordance with the terms set out in paragraphs 2, 3 or 4 (a) of this Article.

b) When effectively appearing in the case provided for in paragraph 4.b) of this article.

c) At the end of the ten-day period referred to in paragraph 4.c) of this article.

In the event that, as a result of the use of different electronic or non-electronic means, several notifications will be made, all legal effects arising from the notification will be understood, including the beginning of the time limit for the interposition of the resources that come from the first of the properly implemented notifications.

8. For the performance of the actions referred to in this Article, the collaboration of local corporations or other public authorities and entities may be sought. "

Four. Article 30.3 is amended, which is worded as follows:

" 3. Acts dictated as a result of the procedures laid down in this Article shall be notified to the persons concerned in accordance with the provisions of Article 17 and shall be effective on 1 January of the year following that in which they are held. the modification of the planning of the cause, regardless of the time the procedure is initiated and the notification of its resolution. In any event, the maximum period for the notification of the express resolution shall be six months from the date of publication of the commencement agreement. Failure to comply with the maximum period of notification shall determine the expiry of the procedure in respect of the buildings affected by the non-compliance without this entailing the expiry of the procedure or the ineffectiveness of the proceedings in respect of those duly notified. "

Final disposition ninth. Amendment of Law 35/2006, of 28 November, of the Tax on the Income of the Physical Persons and of partial modification of the laws of the Taxes on Societies, on the Income of Non-Residents and on the Heritage.

For the purposes of the capital reductions and the distribution of the emission premium made from 23 September 2010, paragraphs 1 and 2 of Article 94 of Law 35/2006 of 28 November 2010 are amended. on the Income of the Physical Persons and the partial modification of the laws of the Taxes on Societies, on the Income of Non-Residents and on the Heritage, which are worded as follows:

" 1. Taxpayers who are members or members of the collective investment institutions regulated in Law 35/2003 of 4 November, of Collective Investment Institutions, shall, in accordance with the rules of this Law, charge the following rents:

(a) The property gains or losses obtained as a result of the transmission of the shares or units or the repayment of the shares or units. Where homogeneous values are present, those transmitted or reimbursed by the taxpayer shall be deemed to be those that they acquired in the first place.

When the amount obtained as a result of the repayment or transfer of units or shares in collective investment institutions is intended, in accordance with the procedure to be established, to the acquisition or subscription of other shares or units in collective investment institutions, shall not account for the gain or loss of assets, and the new shares or shares subscribed shall retain the value and date of acquisition of shares or shares/units transmitted or repaid, in the following cases:

1. º In the repayments of shares in collective investment institutions that have the consideration of investment funds.

2. In the transmissions of shares of collective investment institutions with a societarian form, provided that the following two conditions are met:

The number of members of the collective investment institution whose shares are transmitted is greater than 500.

That the taxpayer has not participated, at some point within 12 months prior to the date of the transfer, in more than 5 percent of the capital of the collective investment institution.

The deferral regime provided for in the second subparagraph of this paragraph (a) shall not apply where, by any means, the amount resulting from the reimbursement or transmission of the funds is made available to the taxpayer. shares or units of collective investment institutions. Nor shall the said system of deferral apply where the transmission or reimbursement or, where appropriate, the subscription or acquisition is intended to be representative of the assets of collective investment institutions to which this article refers to the consideration of investment funds listed or shares in companies of the same type as provided for in Article 49 of the Regulation of Law 35/2003 of 4 November of investment institutions collective, approved by Royal Decree 1309/2005 of 4 November.

b) Results distributed by collective investment institutions.

(c) In the case of a capital reduction of a variable capital investment company having the purpose of the return of contributions, the amount of the capital or the normal market value of the goods or rights received, which shall be qualified as the return on capital in accordance with the provisions of Article 25.1 (a) of this Law, with the limit of the largest of the following amounts:

The increase in the liquidative value of the shares from their acquisition or subscription up to the time of the reduction of social capital.

When the reduction of capital proceeds from undistributed profits, the amount of such profits. For these purposes, capital reductions, whatever their purpose, shall be deemed to affect, in the first place, the share of the share capital that comes from undistributed profits until their cancellation.

The excess over the above limit will limit the value of the acquisition of the affected shares, according to the rules of the first paragraph of Article 33.3 (a) of this Law, until its cancellation. In turn, the excess that could result will be integrated as return on equity from the equity participation of any type of entity, in the form foreseen for the distribution of the issue premium.

In no case will the exemption provided for in Article 7 (y) of this Law apply to the capital returns regulated in this letter.

(d) In the case of the distribution of the equity premium for shares of variable capital investment companies, the total amount obtained, without the minoration of the acquisition value of the shares, resulting from the actions provided for in Article 25 (1) (e) of this Law.

2. (a) The scheme provided for in paragraph 1 of this Article shall apply to the members or members of collective investment institutions governed by Directive 2009 /65/EC of the European Parliament and of the Council of 13 July 2009, the laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities, other than those provided for in Article 95 of this Law, are coordinated and established in a Member State Member of the European Union and registered in the special register of the National Market Commission of Securities, for the purposes of their marketing by entities resident in Spain.

For the application of the provisions of the second subparagraph of paragraph 1.a. the following requirements shall be required:

1. The acquisition, subscription, transmission and redemption of shares and units of collective investment institutions will be carried out through marketing entities registered with the National Market Commission Values.

2. In the case where the collective investment institution is structured in compartments or sub-funds, the number of partners and the maximum percentage of participation provided for in paragraph 1.a) .2. above shall be understood as referring to: each compartment or sub-fund marketed.

(b) The provisions of paragraph 1 (c) and (d) shall apply to collective investment undertakings equivalent to variable capital investment companies which are registered in another State, irrespective of any other a limitation on the acquisition, disposal or redemption of their shares in respect of restricted groups of investors; in any event it shall apply to companies covered by Directive 2009 /65/EC of the European Parliament and of the Council, of 13 July 2009 on the coordination of laws, regulations and administrative matters relating to undertakings for collective investment in transferable securities. '

Final disposition tenth. Amendment of the recast of the Law on Corporate Tax, approved by the Royal Legislative Decree 4/2004 of 5 March 2004.

For the purposes of the capital reductions and the distribution of the emission premium made as of 23 September 2010, irrespective of the tax period in which they are made, paragraph 4 of the Article shall be amended. 15 of the recast text of the Companies Tax Act, approved by Royal Decree-Law 4/2004 of 5 March, which is worded as follows:

" 4. In the reduction of capital with return of contributions, the excess of the normal market value of the items received on the accounting value of the holding shall be integrated into the taxable base of the partners.

The same rule applies in the case of distribution of the share or equity issue premium.

However, in the case of transactions carried out by variable capital investment companies governed by the Law on Collective Investment Institutions not subject to the general rate of charge, the total amount collected in the reduction of capital with the limit of the increase in the liquidative value of the shares from its acquisition or subscription up to the moment of the reduction of social capital, will be integrated in the tax base of the partner without any deduction in the full quota.

Whatever amount is collected as a distribution of the emission premium made by such variable capital investment companies, it shall be integrated into the taxable base of the non-deductible partner some in the full quota.

The above shall apply to collective investment undertakings equivalent to variable capital investment companies that are registered in another State, irrespective of any limitation they have. in respect of restricted groups of investors, in the acquisition, disposal or redemption of their shares; in any event it shall apply to companies covered by Directive 2009 /65/EC of the European Parliament and of the Council of 13 July 2009, coordinating the laws, regulations and administrative provisions relating to certain undertakings for collective investment in transferable securities. '

Final disposition eleventh. Competence title.

This law has a basic character under Article 149.1. 23. of the Spanish Constitution, which attributes to the State the competence to dictate the basic legislation on environmental protection with the following exceptions:

(a) Articles 10, 11, 13, 14, 15, 24 and 25 are dictated by the powers conferred on article 149.1.13. of the Spanish Constitution.

(b) Articles 3, 6, 7, 8, 9, 16, 17, 26 and 27 are given in accordance with the powers conferred on Article 149.1.25. of the Spanish Constitution.

Final disposition twelfth. Incorporation of Community law.

This law incorporates into Spanish law Directive 2009 /31/EC of the European Parliament and of the Council of 23 April 2009 on the geological storage of carbon dioxide and amending the Directive Council Directive 85 /337/EEC, Directives 2000 /60/EC, 2001 /80/EC, 2004 /35/EC, 2006 /12/EC, 2008 /1/EC and Regulation (EC) No 1013/2006.

Final disposition thirteenth. Regulatory development.

1. The Government is empowered to approve in the field of its powers any provisions necessary for the implementation, implementation and development of the provisions of this law.

2. The annexes to this law may be amended by royal decree, on a joint proposal of the Ministers of the Environment, and the Rural and Marine Environment and Industry, Tourism and Trade with the aim of adapting them to the modifications which, if necessary, introduce Community legislation.

Final disposition fourteenth. Extra age.

As long as the regulatory development of this law is not approved, the procedures for the authorization and granting of geological storage of carbon dioxide processed by the General Administration of the State will be applied to them. Royal Decree 2857/1978 of 25 August 1978 on the approval of the General Regulation of Mining, in so far as it does not contradict the provisions of this Regulation.

Final disposition fifteenth. Entry into force.

This law shall enter into force on the day following that of its publication in the "Official Gazette of the State".

Therefore,

I command all Spaniards, individuals and authorities, to keep and keep this law.

Madrid, 29 December 2010.

JOHN CARLOS R.

The President of the Government,

JOSE LUIS RODRIGUEZ ZAPATERO

ANNEX I

Criteria for the characterisation and assessment of the potential storage complex and the surrounding area referred to in Article 10 (2

The characterisation and assessment of the storage sites referred to in this law will be carried out in three stages, in accordance with best practice at the time of the assessment and the criteria set out below. continuation. Derogations from one or more of these criteria may be permitted provided that the operator has demonstrated that this does not affect the effectiveness of the characterisation and assessment for the determinations provided for in Article 10 (2

.

Stage 1: Data collection. -It is appropriate to gather sufficient data to establish a three-dimensional and volumetric three-dimensional model corresponding to the storage site and storage complex, including the seal rock, as to surrounding areas which include hydraulically connected. This data shall relate to at least the following characteristics:

a) Geology and geophysics;

b) hydrogeology (in particular the existence of aquifers intended for consumption);

c) engineering of the storage site or geological structure (e.g. volumetric calculations of the pore volume for the injection of CO2 and the final storage capacity);

d) geochemistry (dissolution rates, mineralization rates);

e) geomechanics (permeability, fracture pressure);

f) seismicity;

g) the presence and status of natural or artificial paths, including wells and perforations.

The following characteristics of the complex proximities must be documented:

a) Zones that surround the storage complex that might be affected by CO2 storage at the storage site;

b) distribution of the population in the region where the place of storage is located;

(c) the proximity of valuable natural resources (in particular, areas covered by the Natura 2000 network in accordance with Council Directive 79 /409/EEC of 2 April 1979 on the conservation of wild birds and the Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats and of wild fauna and flora, aquifers of drinking water and hydrocarbons);

d) activities around the storage complex and possible interactions with these activities (e.g. exploration, production and storage of hydrocarbons, geothermal exploitation of aquifers and use of freatic reserves);

e) proximity of the source or potential sources of CO2 (in particular, estimation of the total potential mass of CO2 economically available for storage) and appropriate transport networks.

Stage 2: Creation of the three-dimensional static geological model. From the data obtained in stage 1, a three-dimensional static geological model, or a set of such models, corresponding to the complex of proposed storage, including seal rock, and hydraulically connected zones and fluids, using computer simulators of the geological structure of the storage site. The earth's static geological models or models will characterize the complex in terms of:

a) Geological structure of the physical trap;

b) geomechanical, geochemical and fluid migration properties of the geological structure of the site of storage, coverage (seal rock, watertight formations, porous and permeable horizons) and surrounding formations;

c) characterization of the fracture system and the presence of any fluid migration pathway of human origin;

d) surface (extent) and height (thickness) of the storage complex;

e) pore space volume (including porosity distribution);

f) basic distribution of the fluid in the reference situation;

g) any other relevant feature.

The uncertainty associated with each of the parameters used to elaborate the model will be evaluated through a series of hypotheses for each parameter and calculating the appropriate confidence intervals. The uncertainties associated with the model itself will also be evaluated.

Stage 3: Characterization of dynamic storage behavior, sensitivity characterization, risk assessment. -Characterizations and security assessment will be based on dynamic modelling, which include CO2 injection simulations at various time intervals at the storage site, using the three-dimensional static geologic model in the storage complex simulator built in stage 2.

Stage 3.1: Characterization of the heap behavior. -At least the following factors should be taken into account:

a) Possible injection rates and CO flow properties2;

b) effectiveness of the modelling of coupled processes (i.e. how the various effects interact in the simulator);

c) reactive processes (i.e. how the in situ reactions of the CO2 injected with the minerals are incorporated into the model);

d) repository simulator used (multiple simulations may need to be used to validate certain conclusions);

e) short-and long-term simulations (to determine the fate and future behavior of CO2 over decades and millennia, as well as the dissolution rate of CO2 in water).

Dynamic modeling will provide the following information:

a) Pressure and temperature of the storage formation based on the injection rate and the amount of injections accumulated over time;

b) the extent and thickness of the CO2 diffusion zone as a function of time;

c) the nature of the CO2 flow in the geological structure of the storage site, including the behavior of the different phases;

d) CO2 containment mechanisms and indices (including overflow points and lateral and vertical watertight formations);

e) secondary confinement systems that account for the storage complex;

f) storage capacity and pressure gradients of the geological structure of the storage site;

g) risk of fracture of the formation or storage formations and of the seal rock;

h) risk of penetration of CO2 into the seal rock;

i) risk of leakage from the geological structure of the storage site (e.g. by abandoned or improperly sealed wells);

j) migration rate (in open repositories);

k) sealing/filling rates of fractures;

l) changes in the chemistry of fluids and subsequent reactions in formation or formations (e.g., pH modification, mineral formation), and inclusion of reactive modelling to assess effects;

m) displacement of fluids in formation;

n) increased seismicity and elevation to the surface level.

Stage 3.2: Characterization of Sensitivity. -Multiple simulations will be performed to determine the sensitivity of the assessment of the assumptions used in relation to some parameters. The simulations shall be based on the modification of the parameters of the model or static geological models of the earth and on the modification of the functions of the flow rate and the hypotheses of the dynamic modelling exercise. The risk assessment shall take into account any significant sensitivity.

Stage 3.3: Risk assessment. The risk assessment shall include, inter alia, the following:

3.3.1 Risk characterization. Risk characterization will be carried out by determining the risk of leakage from the storage complex, established through dynamic modelling and security characterization. above. The following aspects shall be taken into account:

a) The potential escape routes;

b) the characterization and quantification of leaks in the case of identified leakage pathways (flow rates);

c) the critical parameters of potential leaks (e.g. maximum pressure of the geological structure of the storage site, maximum injection rate, temperature, model sensitivity or static geological models in the case of the various scenarios);

d) the side effects of CO2 storage, in particular the displacement of the fluids contained in the formations and the new substances originating from the storage of CO2;

e) any other factors that may present a risk to human health or the environment (e.g., physical structures associated with the project).

Risk characterization will consider all the variety of possible operating conditions, to check the security of the storage complex.

3.3.2 Assessment of the exposure. -It will be based on the characteristics of the environment and on the distribution and activities of the population that is based on the storage complex, as well as on the behavior and the destination possible of the leakage of CO2 from the potential leakage pathways identified in stage 3.3.1.

3.3.3 Assessment of the effects. -It will be based on the sensitivity of particular species, communities or habitats in relation to potential leakage episodes identified in stage 3.3.1. Where appropriate, account shall be taken of the effects of exposure to elevated CO2 concentrations in the biosphere (in particular soils, marine sediments and benthic waters (asphyxi; hypercapnia) and pH reduction in these environments as consequence of the CO leak2). It shall also include an assessment of the effects of other substances that may be present in the CO2 leakage (impurities present in the injection stream or new substances originating from the storage of CO2). These effects will be analysed at different spatial and temporal scales and in relation to variable amplitude leaks.

3.3.4 Risk characterization. -Including an assessment of the safety and integrity of the storage site in the short and long term, and in particular an assessment of the risk of leakage under the intended conditions of use; and its possible impact on the environment and human health in the worst case scenario. Risk characterisation shall be supported in the assessment of risks, exposure and effects. It shall also include an assessment of the sources of uncertainty observed during the stages of characterisation and assessment of the storage site and, where possible, a description of the possibilities of reducing uncertainty.

ANNEX II

Criteria for the establishment and updating of the monitoring plan referred to in Article 19.2, as well as for post-closure monitoring

1. Setting up and updating the tracking plan

The monitoring plan referred to in Article 19 (2) shall be established in accordance with the risk assessment analysis carried out in Stage 3 of Annex I and shall be updated in order to meet the conditions set out in this Annex. in Article 19 (1), in accordance with the following criteria:

1.1 Preparation of the plan: The monitoring plan will detail the way in which the monitoring will be carried out in the main stages of the project and, in particular, the monitoring of the different phases (start, operation and after closure). The following aspects shall be specified in relation to each of the phases:

a) Controlled parameters;

b) tracking technology used and reasons for your choice;

c) location of controls and justification for spatial sampling;

d) frequency of application and justification of the temporary sampling.

The parameters that are subject to control will be chosen in a way that meets the objectives of the monitoring. However, in any case the plan shall include continuous or sporadic monitoring of the following elements:

a) Fugitive CO2 emissions at the injection facility;

b) volumetric flow of CO2 in the injection well heads;

c) CO pressure and temperature2 in the injection well heads (in order to determine mass flow);

d) chemical analysis of the injected materials;

e) repository temperature and pressure (to determine the behavior and status of the CO2phases).

The choice of monitoring techniques will be based on best practices available at the moment of conception. The following solutions shall be taken into account and, where applicable, applicable:

a) Technologies to detect the presence, location, and migration paths of CO2 in underground and surface formations;

b) technologies that provide information about the volume-pressure behavior and the vertical and surface distribution of the CO2 pen saturation, to perfect the numerical simulation in three dimensions Three-dimensional geological models of storage formation established in accordance with the provisions of Article 9 of this Law and in Annex I;

(c) technologies that can be applied in a wide space extension, in order to obtain information on potential escape routes not yet detected throughout the storage complex and in the surrounding area, in the case of significant or migration irregularities of CO2 outside the storage complex.

1.2 Plan Update: All data obtained from the monitoring will be gathered and interpreted. The observed results will be compared to the expected behaviour in the dynamic simulation-pressure and saturation in three dimensions undertaken in the context of the safety characterization in accordance with Article 10 (2). 2, and with Annex I, Stage 3.

In case of a significant deviation between the observed and predicted behavior, the three-dimensional model must be recalibrated to reflect the observed behavior. The new calibration shall be based on the data obtained from the monitoring plan, as well as on the additional data obtained where appropriate to improve the reliability of the recalibrate hypothesis.

Stages 2 and 3 of Annex I shall be repeated using the recalibrated three-dimensional model (s), in order to obtain new risk and flow rate scenarios and to review and update the risk assessment.

In case comparisons and recalibration of models reveal the existence of new CO2sources, pass-through paths and flow rates or observe significant deviations from the assessments The monitoring plan shall be updated accordingly.

2. Post-shutdown tracking

Post-closure monitoring shall be based on the information collected and modelled during the implementation of the monitoring plan referred to in Article 19 of this Law and in point 1.2 of this Annex. It shall serve in particular to provide the information necessary for the decision referred to in Article 24.