Oil & Gas Operations

Colorado is well-known for its natural resources and history of oil and gas exploration. The city’s priorities regarding oil and gas development are to minimize impacts and maximize protections for the community. The city's land development code and participation in the state's local government designee program offer a layered approach to protect the interests of the community and the rights of private developers.

Interested in learning more about pipelines and spills in the community?
Visit: npms.phmsa.dot.gov
Download the National Pipeline Mapping System App: Apple
(The app is not compatible with Android or Blackberry devices)

Revised City Regulations

The city spent about two years working to update its comprehensive oil and gas regulations in the Land Development Code (LDC) to adopt regulations that are more reflective of current regulatory trends and industry best practices.

Ordinance 2266: Revised oil and gas regulations - adopted March 15, 2021

The revised regulations were drafted considering many factors, including feedback from the public and other stakeholders, recent changes in state law and regulatory agencies, scientific studies, legislative actions taken by other jurisdictions, and extensive oil and gas Best Management Practices (BMPs) focused on protecting health, safety, welfare, quality of life, and the environment.

Initially presented in fall 2019, code updates were refined with additional feedback from city council and stakeholders, including regulatory and government agencies, industry representatives, advocacy groups, and the city’s oil and gas focus group. The city held two public open houses(PDF, 14MB) about the draft regulations in Oct. 2019.

Regulating Oil and Gas

In Colorado, oil and gas development is regulated by the Colorado Energy and Carbon Management Commission (ECMC), a division of the Colorado Department of Natural Resources. ECMC manages all below-ground aspects of oil and gas drilling and conducts the state permitting process. Operators must obtain permits from both the ECMC and the city through separate processes before any new activity can begin. Learn more about the ECMC regulatory process

The city regulates surface-level oil and gas activities related to drilling within Commerce City limits. The Land Development Code (LDC) requires operators to obtain an oil and gas permit and execute an extraction agreement with the city for each individual well pad prior to operations beginning. The LDC also regulates plugging and abandonment of existing well sites in the city.