Regulation

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    FERC Gives Rover OK to Resume All HDD Work, Incl. Tuscarawas River

    We have been waiting for this day for a LONG time. Yesterday the Federal Energy Regulatory Commission (FERC) issued an order to Rover Pipeline allowing Rover to restart all outstanding underground horizontal directional drilling (HDD) projects, including the location at Tuscarawas River. All Rover HDD projects were stopped back in April following a string of “inadvertent returns” (i.e. leaks) of drilling mud, the most serious being a ~2 million gallon spill at the Tuscarawas River HDD location (see Rover Pipeline Accident Spills ~2M Gal. Drilling Mud in OH Swamp). Several months after stopping Rover HDD work, following investigations and corrective action, FERC slowly began to allow Rover to restart HDD work in some (not all) locations. There have been perhaps 4-5 tranches of “go ahead and restart HDD work at these couple of locations.” But until yesterday, Rover could not restart HDD at the location of the worst spill site, near the Tuscarawas River. With yesterday’s order, all sites are cleared. Craig “Captain Ahab” Butler, director of the Ohio EPA, blew a gasket. He’s still trying to harpoon the Rover “Moby Dick” Pipeline as it travels through Ohio. A few weeks ago Butler asked Rover (and FERC) to STOP all HDD work (see Ohio EPA Continues Vendetta Against Rover Pipe, Demands HDD Stop). A few days later Rover asked FERC for permission to restart the balance of their HDD work (see Rover Ignores Shrill Ohio EPA, Asks FERC to Continue HDD Drilling). On Monday, Rover sent a letter to Butler (and FERC) saying Ohio EPA “grossly mischaracterizes Rover’s activities.” Yesterday FERC very loudly and clearly ignored Butler and sided with Rover…
    Read More “FERC Gives Rover OK to Resume All HDD Work, Incl. Tuscarawas River”

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    DEP Will Use Fed Standards as Back Door to Control Methane Leaks

    We’re now learning more about how the Pennsylvania Dept. of Environmental Protection (DEP) plans to implement Gov. Tom Wolf’s onerous regulations that supposedly will cut down on fugitive methane from escaping from drill pads and pipelines. In December 2016, the DEP unveiled new methane regulations (see PA DEP Releases New Regs re Methane & Air Pollution at Drill Sites). According to the DEP, the proposed General Permit 5A (GP-5A) and the revised General Permit 5 (GP-5), will “establish updated Best Available Technology (BAT) requirements for the industry regarding air emission limits, source testing, leak detection and repair, recordkeeping, and reporting requirements for the applicable air pollution sources.” After some final tweaks, the DEP released draft versions of the new permits (i.e. regulations) in February (see PA DEP Seeks Public Comment on Regs for Methane, Compressor Stns). The Marcellus Shale Coalition, among others, strongly pushed back on these unnecessary and costly regulations (see MSC Tells PA DEP What it Thinks of Onerous New Methane Regs). Following the pushback, there was a lull in activity. The lull ended two weeks ago when the DEP issued reworked regs, yet again (see PA DEP Signals Onerous New GP-5 & 5A Methane Regs Coming 1Q18). At an advisory meeting yesterday the DEP outlined a subtle change in strategy. They now will adopt and use federal guidelines for cutting smog-causing pollutants (VOCs, or volatile organic compounds) that will, as a side benefit, supposedly reduce fugitive methane from existing well pads and pipelines. That is, the DEP intends to use the back door to try and control methane leaks coming from the shale industry. Here’s the thing: a recent Penn State study found very little methane actually leaks from shale operations–less than one-half of one percent (see Penn State Study Finds Very Little Methane Leaks from Shale Op). In typical government fashion, the DEP is trying to fix a problem that doesn’t exist!…
    Read More “DEP Will Use Fed Standards as Back Door to Control Methane Leaks”

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    FERC Rejects Antis’ Request to “Rehear” Atlantic Sunrise Decision

    In March of this year, a variety of anti-fossil fuel Big Green groups filed a rehearing request with the Federal Energy Regulatory Commission (FERC), asking the agency to reconsider its decision to approve the Atlantic Sunrise Pipeline project (see Antis Attempt to Stop Atlantic Sunrise Pipe by Attacking FERC Order). Atlantic Sunrise is a $3 billion, 198-mile natural gas pipeline project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County. Before Big Green groups can sue FERC in federal court to try and stop a project, they must first file a request for rehearing. If the antis can get FERC to agree to a re-hearing, it effectively slows, even stops, an active pipeline project. So in an effort to prevent important projects from being slowed or stopped, FERC developed something called a “tolling order” which grants FERC more time to consider whether or not a full rehearing is justified. During the time of the tolling order, work on a pipeline continues. Sometimes the work even gets completed! Which of course drives antis bonkers. By using a tolling order, FERC can drag out the process of deciding to deny a rehearing, avoiding the inevitable frivolous lawsuit that follows. That is, work on important projects actually gets done. Even though a tolling order was in place for the Atlantic Sunrise decision, antis still sued in federal court (several times, for a myriad of reasons), in an attempt to stop Atlantic Sunrise. It hasn’t worked. Construction is going strong. Last week FERC finally responded to the original request for a rehearing lodged back in March. FERC denied the request. When you read through FERC’s response, you’ll find many of the people and groups who requested a rehearing didn’t follow the rules and were simply dismissed as not having standing in the case. For those who do/did have standing, FERC methodically, meticulously, patiently explained why they are full of it…
    Read More “FERC Rejects Antis’ Request to “Rehear” Atlantic Sunrise Decision”

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    PA Landowners: Don’t Cash that Surprise Royalty Check Just Yet

    Pennsylvania landowners may think Christmas came early this year. Perhaps you’re a landowner and just received a surprise royalty check in the mail for a long-dormant well on your property. That well hasn’t produced in what seems like forever. Last time you got a royalty check was what…maybe 10 years ago? And look at this! Santa just visited! After all that time the driller decided to pump some more from that old well. But before you run to the bank and cash the check, thinking you can pay for more Christmas presents, better think twice. Or three times. You may about to be taken for ride. In July the Pennsylvania Senate passed an awful budget bill that includes a variety of new taxes, including a new severance tax on the Marcellus industry. The Senate also slipped in Section 1610 into the budget bill, which changes established lease law with respect to oil and gas wells that no longer produce anything (see PA Senate Slips Anti-Landowner Measure into State Budget Bill). Under then-existing law, when an oil or gas well stops producing–and the landowner quits getting royalty checks–the lease is considered terminated. Done. Finished. Under new Section 1610, drillers can resurrect those dead leases under a couple of conditions. If the landowner doesn’t officially declare “your lease is now dead since you’re not producing anything” a driller can quick-like-a-bunny restart production at the well and send the landowner a piddly royalty check, re-starting (or continuing) the existing lease with its existing terms. Or if the driller sends a notice to the landowner stating its intention to drill a new well on the property, and if the landowner doesn’t object within a 3-month time limit, the driller is free to begin drilling a NEW well, under the OLD lease terms. Section 1610 really stinks. Landowners are shafted out the opportunity to sign new leases with new bonuses and better royalty rates. Fortunately the severance tax didn’t make the final cut in the budget bill. Unfortunately Section 1610 did make it–and is now PA law. If you get a royalty check “out of the blue” for a long-dormant well, head for a lawyer, quick, BEFORE you cash that check…
    Read More “PA Landowners: Don’t Cash that Surprise Royalty Check Just Yet”

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    E Goshen Twp Asks PA to Step in and Authorize Anarchy re Pipelines

    A township supervisor in East Goshen (Chester County), PA doesn’t like a pipeline coming through a portion of his township. So he’s asking PA Gov. Tom Wolf and state legislators to overturn 200+ years of law in the United States to empower him to either prohibit the pipeline from coming through his town, or drastically alter its course (making it unfeasible). Apparently Supervisor Marty Shane missed an important civics lesson in his elementary school social studies class. (Maybe he was taught in a Philadelphia school–that would explain it.) Mr. Shane wants municipal ordinances to supersede state and national regulations when it comes to pipelines. That is, he wants to reverse the way the law has worked for over 200 years–which is federal on top, then state, then local. Apparently Mr. Shane wants to grant his local fiefdom the same powers as (in this case) the state government. What Shane advocates, perhaps without realizing it, is a path to anarchy–where mobs of people determine what happens. The ultimate end of that is Lord of the Flies (read it sometime). Our founders, who (ironically) met in Philadelphia, crafted a system that created the single greatest country on earth. We the people elect representatives to represent us (called a republic, NOT a straight up democracy). Mobs do not make good decisions and our founders knew it. Under the U.S. Constitution, the federal government reigns over all. Then the state. And finally, local governments. The federal government reserves the right, under laws and statutes, to regulate interstate pipelines–precisely to prevent small-minded people from blocking them. After the feds come the states, who regulate oil and gas activity, and any pipelines not regulated by the feds (which covers the pipeline going through East Goshen). Local governments can and do pass ordinances on land use–but not ordinances that supersede the power of the state or the feds to site and regulate pipelines. Shane wants to reverse the order…
    Read More “E Goshen Twp Asks PA to Step in and Authorize Anarchy re Pipelines”

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    Enviros Tell DRBC Not Enough Freak Shows Scheduled on Frack Ban

    In September, MDN told you that the obsequious members of the Delaware River Basin Commission (DRBC) had slavishly obeyed their radical environmental masters by voting to move forward with a permanent ban on fracking in the Delaware River Basin (see DRBC Votes Tomorrow on Permanent Frack Ban Resolution). The final ban language/regulation was dropped like a bomb by DRBC staff on Nov. 30 (see DRBC Drops Permanent Frack Ban Bomb – Public Hearings in January). In dropping their bomb, the DRBC said (with no proof) that fracking “poses significant, immediate and long-term risks” to the waters in the basin. Then they declared, by fiat, that “High volume hydraulic fracturing in hydrocarbon bearing rock formations is prohibited within the Delaware River Basin.” However, they also said (in the fine print) that water from the Delaware River Basin can be used by frackers in other locations–which sent antis like THE Delaware Riverkeeper into apoplectic shock. The DRBC is allowing public comment, via written communication, through Feb. 28. They will also hold four public hearings (i.e. freak shows) to allow antis to parade before the microphones and make jerks of themselves. We know what we’re speaking about–we’ve been to a number of similar hearings and can attest, first-hand, to how they behave during these hearings. Even though the public has a full 90 days to provide written comment, and four hearings in which to sound off–that’s still not enough for the nutters. They want the deadline for public comment extended and more freak shows to be added to the lineup…
    Read More “Enviros Tell DRBC Not Enough Freak Shows Scheduled on Frack Ban”

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    Antis Take Over Westmoreland County, VA, Aim to Ban Fracking

    Invasion of the body snatchers has become reality in Westmoreland County, Virginia. The Westmoreland Board of Supervisors passed amendments Monday night “to strictly limit gas and oil drilling.” However, that’s just a stopgap measure. The real aim is a full-out, flat-out ban on any kind of oil and gas drilling. Right after taking the vote, the illustrious body-snatched supervisors asked the county attorney to begin researching a moratorium they can enact without landing them in jail. Good luck with that. Virginia doesn’t have the Marcellus/Utica under it–at least not very much. But Virginia does have another shale layer–the Taylorsville. We commented back in 2014 that the state is inching closer to allowing fracking in the Taylorsville and other potential basins (see Virginia Inches Closer to Shale Drilling in Taylorsville Basin). They’re still inching–and it’s not going very fast. Anti-drilling radicals have risen up to oppose anything to do with shale in the state. Westmoreland isn’t the first location to be snatched. The first county in Virginia to become lawless in this regard was King George County, last summer (see King George County, VA Commits Fracking Suicide with Vote to Ban). In the spring, Augusta County followed suit (see Augusta County, VA Votes to Illegally Ban Fracking). And now the body snatchers are invading Westmoreland County. It’s always breathtaking, and disturbing, when a small group of individuals decide to take away the Constitutional property rights of their fellow citizens…
    Read More “Antis Take Over Westmoreland County, VA, Aim to Ban Fracking”

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    Atlantic Coast Pipeline Delayed in Virginia by Water Board Vote

    Last week Virginia’s Water Control Board issued a water permit/certification for the Mountain Valley Pipeline project–a $3.5 billion, 301-mile pipeline that will run from Wetzel County, WV to the Transco Pipeline in Pittsylvania County, VA (see Virginia Water Board Approves Mountain Valley Pipe – Antis Erupt). Antis erupted with threats and bullying following that decision. Perhaps that was on the minds of Board members when they voted yesterday to “approve” Dominion’s $5 billion Atlantic Coast Pipeline (ACP) project–a $5 billion project from West Virginia through Virginia and into North Carolina. Water Control Board members voted 4-3 to approve issuing the same water permit/certification for the project, except there are very long strings attached. The Water Board’s approval is conditional, the condition being approval “is dependent on a final review of several environmental studies.” Those studies won’t be done until March or April of next year. ACP planned to begin construction, now, this year. So the Water Board wimped out–caved to pressure from bullying extremists (people who behaved like bullies at the hearing). The Board appeared to approve the project without actually approving it–have your cake and eat it too. There’s no way to sugarcoat that the Board’s non-approval approval yesterday is a (temporary) setback for ACP–and a (temporary) win for enviro Nazis…
    Read More “Atlantic Coast Pipeline Delayed in Virginia by Water Board Vote”

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    Plum, PA Passes Ordinance to Allow Fracking – Antis Livid

    In October, local officials in Plum, PA (Allegheny County) approved a plan by Huntley & Huntley (H&H) to drill a series of Marcellus wells on a single well pad in their municipality (see Plum, PA Gives Huntley & Huntley Green Light for Shale Drilling). Plum’s leaders got blowback from some residents (antis) over their decision to conditionally approve H&H’s request. In Plum, fracking is allowed in any zone if a conditional use is granted. That’s what happened in October–the Plum Council issued a conditional use exception for H&H to drill on 92 acres near Coxcomb Hill Road in Plum. To avoid dealing with more such conditional cases, Plum Council cooked up proposed changes to zoning ordinances (ordinances which haven’t been updated since 1993) that will only allow fracking in rural residential and industrial zones (see Plum, PA Officials Hold Hearing on New Restrictions for Fracking). At the time, H&H said the changes would be too restrictive. However, they appear to have adopted the “half a loaf is better than no loaf” philosophy, opting to support the new rules. Yesterday Plum Council moved ahead and adopted the new rules. Antis blew a gasket. They think the new rules are still too lenient because it allows drilling in rural residential areas. One mouthy anti planted herself in front of the microphone yesterday and refused to move, threatening to sue everyone and everything related to the vote “if my family, my property, myself is damaged in any way.” Whatever. Here’s what went down yesterday in Plum…
    Read More “Plum, PA Passes Ordinance to Allow Fracking – Antis Livid”

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    Ohio Approves 2nd Oregon Utica-Fired Elec Plant (Near Toledo)

    In August, Ohio Gov. John Kasich officiated at a ceremony to launch a new Utica gas-fired electric generating plant in Oregon (Lucas County), near Toledo (see New 870 MW Gas-Fired Electric Plant in NW Ohio Begins Operation). CME Energy’s Oregon Clean Energy Center plant generates 870 megawatts of electricity. The plant cost $900 million to build. What we haven’t focused on, until now, is CME’s proposal to build a second Utica gas-fired electric plant next to the first one. The first plant is called Oregon Clean Energy Center. The second plant project is named Clean Energy Future – Oregon. The second plant is bigger than the first, targeted to generate 955 megawatts of power. Clean Energy Future – Oregon is currently in the permitting process. If all goes well, CME plans to begin commercial operation in 2020. Fluor Corporation is constructing this second project, as they did the first. Construction is scheduled to begin early next year. The reason the project appeared on our radar screen is because yesterday the Ohio Power Siting Board (OPSB) gave Clean Energy Future – Oregon a big, fat, sloppy kiss of approval…
    Read More “Ohio Approves 2nd Oregon Utica-Fired Elec Plant (Near Toledo)”

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    Virginia Water Board Approves Mountain Valley Pipe – Antis Erupt

    Mountain Valley Pipeline (MVP)–a $3.5 billion, 301-mile pipeline that will run from Wetzel County, WV to the Transco Pipeline in Pittsylvania County, VA–scored an important approval yesterday. Virginia’s Water Control Board issued a water permit/certification for the project. MVP, when built, will run through six Virginia counties. Prior to voting to approve the permit yesterday, the Water Control Board held a public hearing on Wednesday, largely so antis could spout off and feel better about themselves. Following yesterday’s vote, antis did what they always do–behaved like petulant, spoiled rotten children. At least one anti “screamed profanities at the board members and vowed to visit them where they live.” Yeah, bullying. Threats of violence. That’s the anti crowd for you. In early November the West Virginia Dept. of Environmental Protection (WVDEP) waived their right to issue a permit for MVP, instead deferring to the just-as-strict version of the permit issued by the US Army Corps of Engineers (see WVDEP Reverses, Waives Water Permit for Mountain Valley Pipeline). Here’s what happened yesterday in nutty Virginia…
    Read More “Virginia Water Board Approves Mountain Valley Pipe – Antis Erupt”

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    Atlantic Coast Pipe Gets Key WV Approval; VA Approval Next Week?

    On Wednesday the West Virginia Department of Environmental Protection (WVDEP) “waived” the state’s authority under the federal Clean Water Act to determine if Atlantic Coast Pipeline (ACP) will harm rivers and streams, instead deferring to the US Army Corps of Engineers’ (USACE) Nationwide permit. The USACE Nationwide permit has the same exact standards as found in the WV version–so there’s no need to duplicate the paperwork. This is not the first time WVDEP has deferred to the USACE’s permit. They did the same exact thing with a water crossing permit for the Mountain Valley Pipeline project in November (see WV DEP Secretary Issues Letter Explaining MV Pipeline Decision). It’s pretty easy for antis to demagogue the issue, saying WV has “given up it’s right to regulate the project.” That is manifestly untrue. As WVDEP pointed out in November with Mountain Valley, and again on Wednesday with Atlantic Coast, “Waiving the 401 individual certification does not indicate that there will be fewer environmental requirements to which the ACP must adhere. The special West Virginia conditions that exist in the US Army Corps of Engineers (USACE) Nationwide permit are designed to mirror what would be in a 401 individual certification issued by West Virginia. Under the Nationwide permit, enforcement would be left to federal agencies and would be limited to stream crossings.” WV’s approval of ACP is a major milestone, but not the only one required…
    Read More “Atlantic Coast Pipe Gets Key WV Approval; VA Approval Next Week?”

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    Kevin McIntyre Sworn in as 5th FERC Commissioner, New Chairman

    Kevin McIntyre

    This is how it works in the swamp. President Trump first mentioned Kevin McIntyre, the co-head of the energy practice at the largest law firm in the country (Jones Day), back in March (see Breaking: Kevin McIntyre, Neil Chatterjee are Trump Picks for FERC). Due to whatever political machinations go on in Congress, Trump didn’t (couldn’t?) officially nominate McIntyre until July (see Pres. Trump Finally Nominates Kevin McIntyre to FERC, as Chairman). From the beginning McIntyre has been Trump’s pick to run FERC as its chairman. However, Neil Chatterjee as done a stellar job as Acting Chairman (see FERC’s Chatterjee to Actor James Cromwell: ‘Come at me bro!’). Yesterday, exactly nine months later, McIntyre was FINALLY sworn in–the fourth and final person appointed by Trump to the Commission. Perhaps the most contentious issue McIntyre will face initially is a request by Dept. of Energy Secretary Rick Perry to create a new regulation that allows coal and nuclear power generators to make more money than the free market allows for the electricity they produce–in a misguided attempt to save those industries. The so-called notice of proposed rulemaking (NOPR) for the Grid Resiliency Pricing Rule is supposed to be voted on by FERC commissioners next Monday. The first thing McIntyre did after putting a picture of his lovely wife on his desk was to send a letter to Perry asking for a 30-day extension, citing the fact that two new commissioners were added in the last two weeks. The newbies haven’t had the opportunity to debate the plans merits (or lack thereof) with their fellow FERC commissioners…
    Read More “Kevin McIntyre Sworn in as 5th FERC Commissioner, New Chairman”

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    PA DEP Issues Air Permit for Gas-fired Elec Plant Next to Pot Farm

    In early October MDN told you about a second Marcellus gas-fired electric generating plant being planned for Greene County, PA (see 2nd Marcellus-Fired Electric Plant Proposed for Greene County, PA). Hill Top Energy Center, based in Huntington Bay, N.Y., is planning to build a 620 megawatt plant (original story had it wrong, saying 536 MW) on 41 acres of land off Thomas Road in Cumberland Township. The PA Dept. of Environmental Protection (DEP) held a public hearing in early November about the project. Only 20 people turned up and nobody objected. Last Friday the DEP issued an air quality permit for the project–the last major hurdle before the project can begin. In press coverage of the permit and the project advancing, we discovered one piece of new information: The plant will be built next door to a “medical marijuana operation”–i.e., a pot growing farm. Well now that’s interesting! Workers at the new electric plant can slip out the back door on break and roll a joint for later…
    Read More “PA DEP Issues Air Permit for Gas-fired Elec Plant Next to Pot Farm”

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    FERC’s Chatterjee to Actor James Cromwell: ‘Come at me bro!’

    We continue to be really impressed with the current Acting Chairman of the Federal Energy Regulatory Commission (FERC), Neil Chatterjee, and his willingness to take the fight right back to radical antis. Chatterjee is not unlike President Trump, who appointed him to the post. Frankly, it’s a surprise for us, since Chatterjee has worked for years for Senate Majority Leader Mitch McConnell (a swamp dweller). We figured Chatterjee was a swamp dweller too–but perhaps we misjudged him. Chatterjee recently turned up the heat with Facebook posts aimed at nutty Hollywood actor James Cromwell (he of Babe and Star Trek: First Contact fame). Cromwell recently attended a FERC meeting chaired by Chaterjee and proceed to make a king-sized @$$ of himself in the meeting room, requiring security to escort him from the room (see Old Hippie/Actor James Cromwell “Escorted Out” of FERC Meeting). Chatterjee fired off some choice words at Cromwell, including a comment that invites Cromwell to “Come at me bro!” What’s obvious when you read Chatterjee’s comments is that it’s done in a lighthearted way–not mean or nasty. He’s tweaking Cromwell and other antis, using humor to do it. And they are a humorless bunch. Chatterjee’s lighthearted humor in tweaking Cromwell went right over the heads of mainstream media and the inside-the-Beltway swamp dwellers, who are all aghast, criticizing Chatterjee as not acting like a regulator should act. We wish more government officials acted like Chatterjee–and Trump…
    Read More “FERC’s Chatterjee to Actor James Cromwell: ‘Come at me bro!’”

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    Eagle’s Nest Latest Wrinkle in Building 7.8 Mile Pipe to NY Power Plant

    A bald eagle’s nest built in a pine tree near where a tiny 7.8 mile pipeline is supposed to pass in Orange County, NY is the latest wrinkle that threatens to stop the pipeline in the ongoing soap opera that is corrupt New York State. The pipeline is a short spur, an offshoot, from the nearby Millennium Pipeline. It will feed the Competitive Power Ventures (CPV) gas-fired electric generation plant currently under construction in Wawayanda. The CPV plant is due to be completed early next year. According to Millennium, if they don’t start construction (tree clearing) TODAY, Dec. 6, there is no way to get the pipeline done in time to feed the plant–and that may well drive CPV’s project into bankruptcy. The eagle’s nest is being used as an excuse by New York (and rabid antis) to try and block the pipeline from getting built. Here’s the latest episode in this ongoing soap opera…
    Read More “Eagle’s Nest Latest Wrinkle in Building 7.8 Mile Pipe to NY Power Plant”