Class VI permit applicants must submit information to demonstrate financial responsibility for corrective action, injection well plugging, PISC and site closure, and emergency and remedial response [40 CFR 146.82(a)(14); 146.85(a)].
The purpose of the UIC Program’s review of financial responsibility information is to verify that the proposed instruments are sufficiently funded to cover all applicable activities, in consideration of specific information about the project. The UIC Program should also review the financial instruments to ensure they have appropriate wording and provisions as described at 40 CFR 146.85. The goal of this review is to ensure that, in the event that owners or operators experience financial difficulties, financial resources are available for a third party (i.e., one that is retained by the EPA) to carry out activities related to closing and, if needed, remediating GS sites to ensure that USDWs are not endangered, without the use of taxpayer monies.
Source: Environmental Protection Agency. (2018, January). Geologic Sequestration of Carbon Dioxide Underground Injection Control (UIC) Program Class VI Implementation Manual for UIC Program Directors. Page 75. Retrieved from https://www.epa.gov/sites/production/files/2018-01/documents/implementation_manual_508_010318.pdf