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26LSO-0178
2026
STATE OF WYOMING
26LSO-0178
Numbered
2.0
HOUSE BILL NO. HB0116
Destruction of water is not beneficial use.
Sponsored by: Select Water Committee
A BILL
for
AN ACT relating to water; specifying that destruction of water is not beneficial use; providing for the rejection of specified applications for water use; providing an exception; specifying applicability; and providing for an effective date.
Be It Enacted by the Legislature of the State of Wyoming:
Section 1.
W.S. 41
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101, 41
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104 by creating a new subsection (c), 41
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931, 41
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932 by creating a new subsection (f) and 41
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503 are amended to read:
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101.
Nature of water rights and beneficial use.
(a)
A water right is a right to use the water of the state, when such use has been acquired by the beneficial application of water under the laws of the state relating thereto, and in conformity with the rules and regulations dependent thereon. Beneficial use shall be the basis, the measure and limit of the right to use water at all times, not exceeding the statutory limit except as provided by W.S. 41
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317. In addition to any beneficial use specified by law or rule and regulation promulgated pursuant thereto, the use of water for the purpose of extracting heat therefrom is considered a beneficial use subject to prior rights. Water being always the property of the state, rights to its use shall attach to the land for irrigation, or to such other purposes or object for which acquired in accordance with the beneficial use made for which the right receives public recognition, under the law and the administration provided thereby. Water rights for the direct use of the natural unstored flow of any stream cannot be detached from the lands, place or purpose for which they are acquired, except as provided in W.S. 41
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102 and 41
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103, pertaining to a change to preferred use, and except as provided in W.S. 41
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514.
(b)
The destruction of water molecules by separating the hydrogen and oxygen atoms for the purposes of the industrial production of hydrogen shall not constitute a beneficial use of water. Nothing in this subsection shall be construed to prohibit any use of water that results in evaporation losses where the primary purpose is not the molecular destruction or chemical dissociation of water or any use of wastewater.
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104.
Procedure to change use or place of use.
(c)
If the water right's source of supply has been subject to priority regulation within the previous ten (10) years, or existing uses from the water right's source of supply have been regulated to comply with an interstate compact or United States Supreme Court decree within the previous ten (10) years, the board of control shall deny any petition that would result in the destruction of water molecules by separating the hydrogen and oxygen atoms for the purposes of the industrial production of hydrogen.
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931.
Application; when granted generally; denial subject to review; defects and corrections generally; cancellation.
(a)
An application for a permit for a well in any areas not designated as a critical area shall be granted as a matter of course, if the proposed use is beneficial and, if the state engineer finds that the proposed means of diversion and construction are adequate. If the state engineer finds that to grant the application as a matter of course, would not be in public's water interest, then he may deny the application subject to review at the next meeting of the state board of control. If the state engineer shall find that the proposed means of diversion or construction are inadequate, or if the application is otherwise defective, he may return the application for correction. If such correction is not made within ninety (90) days, the state engineer may cancel the application.
(b)
If the proposed source of supply has been subject to priority regulation within the previous ten (10) years, or existing uses from the proposed source of supply have been regulated to comply with an interstate compact or United States Supreme Court decree within the previous ten (10) years, the state engineer shall deny any application, petition to amend a permit or application for temporary transfer that would result in the destruction of water molecules by separating the hydrogen and oxygen atoms for the purposes of the industrial production of hydrogen. This subsection shall not apply to applications to appropriate by
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product water under W.S. 41
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904.
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932.
Public notice of application or petition; hearing before state engineer and control area advisory board; cost.
(f)
No petition or application under this section shall be granted if it would result in the destruction of water molecules by separating the hydrogen and oxygen atoms for the purposes of the industrial production of hydrogen. This subsection shall not apply to applications to appropriate by
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product water under W.S. 41
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904.
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503.
Recordation; approval or rejection generally.
(a)
All applications which shall comply with the provisions of this chapter, and with the regulations of the engineer's office, shall be recorded in a suitable book kept for that purpose; and it shall be the duty of the state engineer to approve all applications made in proper form, which contemplate the application of the water to a beneficial use and where the proposed use does not tend to impair the value of existing rights, or be otherwise detrimental to the public welfare. But where there is no unappropriated water in the proposed source of supply, or where the proposed use conflicts with existing rights, or threatens to prove detrimental to the public interest, it shall be the duty of the state engineer to reject such application and refuse to issue the permit asked for.
(b)
If the proposed source of supply has been subject to priority regulation within the previous ten (10) years, or existing uses from the proposed source of supply have been regulated to comply with an interstate compact or United States Supreme Court decree within the previous ten (10) years, the state engineer shall deny any application, petition to amend a permit or application for temporary transfer that would result in the destruction of water molecules by separating the hydrogen and oxygen atoms for the purposes of the industrial production of hydrogen. This subsection shall not apply to applications to appropriate by
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product water under W.S. 41
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904.
Section 2
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(a)
This act shall apply to all new water permit applications or applications for changes of water use filed on or after July 1, 2026.
(b)
No permit or water right issued before July 1, 2026 shall be construed to authorize the destruction of water molecules as provided in W.S. 41
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101(b) as created by section 1 of this act unless that use was explicitly permitted or approved under prior law.
Section 3
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This act is effective July 1, 2026.
(END)
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HB0116