All of Mariner East 1 NGL Pipe Shut Down Indefinitely by PA PUC
MDN previously reported that last Sunday a new sinkhole appeared exposing a tiny section of the Mariner East 1 (ME1) NGL pipeline in Chester County, PA, prompting Sunoco Logistics Partners to close down ME1 in the Greater Philadelphia area (see New Mariner East 1 Sinkhole Appears, PA PUC Shuts Down Pipeline).
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Coincidentally on the topic of royalty lawsuits (see today’s companion story,
Since 2012, Pennsylvania has collected the equivalent of a severance tax from Marcellus Shale drillers via something called an impact fee. Same concept as a severance tax. You drill a well, gas comes out, you pay a tax. Except with an impact fee you pay whether or not anything comes out of the ground–a more reliable source of tax revenue than a severance tax!
Why do politicians never seem to grasp the obvious? Distressingly, we’re now reading that a West Virginia State Senator, Randy Smith (Republican, Tucker County), wants to add another 1% to the already-high 5% natural gas and oil severance tax, in order to use the money to fix back roads across the Mountain State.
Utility company Consolidated Edison recently announced it will slap a moratorium on hooking up new customers for natural gas in Westchester County (NYC suburb) beginning March 15 (see
Last year we reported on rumors that President Trump may issue an Executive Order to overrule states like New York, forcing recalcitrant states to allow new pipeline projects as a matter of national security (see
MARCELLUS/UTICA REGION: House Democrat Policy Committee hears testimony on oil & gas industry methane leakage; OTHER U.S. REGIONS: Colorado property owners claim forced pooling law unconstitutional; NATIONAL: What the Covington story tells us about fractivists; FBI bomb technician says shutdown prevented meeting on pipeline safety; Peak oil theory’s no good terrible very bad week; Shale stumbles: now OPEC can decide what price they want; Shale pioneer Hamm: output growth could fall by 50%; INTERNATIONAL: Electric cars are ALWAYS greener than petrol and diesel vehicles.