Regulation

  • | | | | |

    PA State Senator Floats Bill to Make Criminal Protesters Pay

    PA residents in Lancaster County have a keeper in freshman Senator Scott Martin. Back in May MDN reported that Martin was cooking up legislation to send the cleanup bill for illegal protests–to the protesters (see PA State Senator Introducing Law to Send Protesters Cleanup Bill). The bill is now here–Senate Bill (SB) 754 (full copy below). Sen. Martin has refined his ideas. Law and order folks (those of us who are sane, rational people) are tired of the lawless actions by a few who oppose pipelines, drilling, Trump…whatever. Sen. Martin and those in the drilling/pipeline industry fully support free speech the right of antis to make fools of themselves. It provides entertainment! What Sen. Martin and those in the industry don’t support, however, is when paid protesting thugs break the law by destroying property and blocking access to legal businesses attempting to do legal work. We saw how so-called environmentalists (who were actually anarchists) “protested” in South Dakota–leaving behind an environmental disaster that cost millions to clean up–far worse than any pipeline spill would have been. Police and first responders were deployed–at a cost of millions of dollars. South Dakota bore most of the cost. That is, taxpayers paid for it. Under Sen. Martin’s bill, if protesters break the law while protesting in PA, incidents that require police and other first responders to handle the situation, those law-breaking protesters will pay the cost of said police and first responders. WE LOVE IT! It’s about time people were actually held accountable for their illegal actions…
    Read More “PA State Senator Floats Bill to Make Criminal Protesters Pay”

  • | | | | | | | | |

    KM Plans to Convert Tennessee Gas Pipeline to Flow M-U NGLs South

    TGP – section of pipeline to reverse & convert to NGLs (click for larger version)

    Here’s a story that wasn’t actively on our radar. It’s an old story, but is now in the news again with the recent quorum reestablished at the Federal Energy Regulatory Commission (FERC). In August 2013, exactly four years ago, midstream giant Kinder Morgan and competitor midstream company MarkWest Energy (now part of Marathon Petroleum) signed a joint venture agreement to repurpose a significant portion of Kinder’s Tennessee Gas Pipeline (964 miles of it) running from the Louisiana Gulf Coast to Ohio. That 964-mile portion of TGP currently flows natural gas from the Gulf northward. Kinder and MarkWest want to reverse the flow and instead flow natural gas liquids (NGL) through the pipeline from the Utica and Marcellus region south to the Gulf Coast. The project would also build a new 200-mile pipeline from TGP in Louisiana to Texas. In order to make the project happen, the first step is to ask FERC for permission to “abandon” (stop using) the 964-mile segment, called Pipeline No. 1, from Louisiana to Ohio. Which TGP did in Feb. 2015. The project progressed. Last November FERC issued a favorable environmental assessment for the project (full copy below). And then FERC lost a quorum of voting members in February of this year, stalling further progress. With a quorum now restored, antis in Kentucky, a state that seems to be allergic to any kind of pipeline for any purpose, have begun bellyaching about it. Which is what caught our attention. We’ve gathered together information we can find on this project–a potentially very important project–to move Marcellus/Utica NGLs to the Gulf Coast…
    Read More “KM Plans to Convert Tennessee Gas Pipeline to Flow M-U NGLs South”

  • | | | | | | | |

    Using FOIA, Antis Discover 2 Minor Infractions by Rover in WV

    Anti-fossil fuel activists attempting to stop the unstoppable Rover Pipeline are doing their best to smear and prejudice people against the project. Rover has had its share of problems. We’ve chronicled those problems–like leaking 2 million gallons of drilling mud in Ohio when performing underground horizontal directional drilling (see Rover Pipeline Accident Spills ~2M Gal. Drilling Mud in OH Swamp). The company also had problems with water filling up trenches dug for the pipeline when severe rain hit (see OEPA & Rover at Odds Over Storm Water Runoff, “Fine” Now $714K). Rover also had problems in West Virginia. The WV Dept. of Environmental Protection to stop work in two of four counties after storm water runoff/erosion issues there (see WV DEP Orders Rover to Stop Pipe Construction in 2 of 4 Counties). The stop work order was lifted after a few weeks. Antis, using the Freedom of Information Act, have “discovered” that Rover was cited for similar issues in two other counties. However, WVDEP and Rover worked it out and resolved those issues…
    Read More “Using FOIA, Antis Discover 2 Minor Infractions by Rover in WV”

  • | | | | |

    Antis Pressure Virginia DEQ to Delay or Deny Permits for 2 Pipelines

    Anti-fossil fuelers, aided and abetted by liberal local media, continues the drumbeat to pressure the Virginia Dept. of Environmental Quality to either block, or greatly slow down, approvals needed to build both the $5 billion, 594-mile Dominion Atlantic Coast Pipeline (ACP) project and the $3.5 billion, 301-mile Mountain Valley Pipeline (MVP). Both pipelines start in West Virginia. ACP crosses through Virginia and stretches into North Caroline. MVP terminates in southern Virginia. Some oppose the projects due to an insane hatred of fossil fuels (the same fossil fuels that make their existence and protest possible). Others don’t want a pipeline cutting across their favorite horse pasture. Ruins the look, ya know. There have been a blizzard of lawsuits and legal actions to try and stop both projects (see Corrosive Use of Legal System Attempts to Stop M-U Pipelines). However, antis have learned if they can pressure, coerce or otherwise threaten environmental agencies, that can be the most effective strategy of all. It has certainly worked in New York, where our Dept. of Environmental Conservation, bowing to political pressure, has (so far) blocked three urgent/critical pipeline projects. Virginia antis are hoping for a repeat there. If they can only pressure the DEQ into blocking or delaying ACP and MVP, it would give new meaning to their pathetic lives…
    Read More “Antis Pressure Virginia DEQ to Delay or Deny Permits for 2 Pipelines”

  • | | | |

    Faux “Conservative” Group Campaigns Against Fixing PA’s Broken DEP

    A national group of antis calling themselves “conservative” are attempting to meddle in the affairs of Pennsylvania. If you’ve been reading MDN for any time, you know about the current huge, stinking mess of a budget in Pennsylvania. Republicans, which control both the House and Senate, passed an unbalanced budget of $32 billion. Problem is, there’s only $30 billion of projected revenue. So after passing the spending part of the budget, they now have to “come up with” $2 billion to cover the difference. The pressure has been intense to punish the successful Marcellus industry by stealing even more of their money (PA already takes an overly generous portion of their profits). Senate Republicans caved to the pressure and floated a spending plan that includes a severance tax (see Traitorous PA Senate Republicans Pass Severance Tax Bill). The House, so far, has resisted the siren song that wants to lure them onto the rocks of killing the Marcellus industry. So far. The Marcellus industry has, for years, complained about the sloooooooow response times in approving drilling permits by the Dept. of Environmental Protection (DEP). As an olive branch to the industry, Senate Republicans also included (in the budget bill) fixes to the slow DEP, to speed things up (see PA Senate’s “Olive Branch” of “Relaxed Regulations” for Drillers). Now we hear from some national group, calling themselves Conservatives for Responsible Stewardship, that the PA Senate plan to fix the DEP will create an environmental holocaust. Let us assure you, there is nothing “conservative” about Conservatives for Responsible Stewardship. They are Big Green liberals pretending to be conservative. They’re now spending big money (from their Big Green friends) to advertise, in a bid to pressure the legislature to dump the “fix the DEP” plan…
    Read More “Faux “Conservative” Group Campaigns Against Fixing PA’s Broken DEP”

  • | | | | | | |

    Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?

    In a disappointing, but perhaps not all that unexpected decision (full copy below), the U.S. Court of Appeals for the Second Circuit on Friday ruled against the Constitution Pipeline and their lawsuit against the Cuomo-corrupted New York Dept. of Environmental Conservation (DEC). The DEC dithered, for years, on a decision about whether or not to grant stream-crossing permits (Section 401 permits, a federal Clean Water Act thing) to the Constitution Pipeline, a $683 million, 124-mile pipeline from Susquehanna County, PA to Schoharie County, NY carrying Marcellus gas. The Federal Energy Regulatory Commission (FERC) authorized the project in 2014. Since that time the DEC delayed, and eventually denied permits for the project (see NY Gov. Cuomo Refuses to Grant Permits for Constitution Pipeline). So the Constitution (being built by Williams) sued the DEC in federal court (see Constitution Pipeline Case Goes to Court in 2 Weeks, Briefs Filed). We had hoped that the court would grant Constitution the right to commence building. But they didn’t. So now what? There are three options left for Constitution: (1) appeal the decision to the U.S. Supreme Court, (2) file a new case with the D.C. Circuit Court of Appeals (a different court), or (3) request FERC take matters into its own hands by deciding the DEC took too long (which would probably be challenged at the D.C. Circuit). The D.C. Circuit Court of Appeals is a different court than the Second Circuit that just ruled. Our best guess? Williams will take option #3 and ask FERC to overrule NY DEC and grant the permit themselves…
    Read More “Court Rejects Constitution Pipe’s Case Against NY DEC; Now What?”

  • | | | | | |

    Rover Pipe Ready to Flow! Seeks FERC Permission for Aug 31 Start

    Click for larger version of Rover map

    While the Rover Pipeline remains in regulatory limbo with some of its construction, the vast majority of the pipeline as it snakes across Ohio is already done, or will be within the next few days. On Friday, Rover made an official request with the Federal Energy Regulatory Commission (FERC) to begin flowing natural gas through Phase 1A of the pipeline by August 31st. Phase 1A is three primary areas in Ohio: (1) the Cadiz Lateral, which is 3.5 miles of 30-inch diameter natural gas pipeline in Harrison County; (2) Supply Connector Line A, which is 18.6 miles of single, 42-inch diameter natural gas pipeline from the Cadiz tie-in in Harrison County extending north to Mainline Compressor Station 1 and the interconnection with Mainline A in Carroll County; and (3) Mainline A, which is the bulk of the new pipeline through OH–190.9 miles of single, 42-inch diameter natural gas pipeline originating at the Mainline Compressor Station 1 in Carroll County and terminating at the Defiance Compressor Station in Defiance County. In addition, Rover asked that the Panhandle-Rover Interconnect be turned on a few days ahead of the 31st so the gas will be ready to flow through the new Rover pipeline. This is (a) great news, and (b) something of a miracle, given the stiff headwinds Rover has faced with the Ohio EPA and FERC over several construction problems in recent months…
    Read More “Rover Pipe Ready to Flow! Seeks FERC Permission for Aug 31 Start”

  • | | | |

    WV Legislature Panel on NatGas Dev Meets Tuesday, Forced Pooling?

    The West Virginia Legislature has appointed a new Joint Committee on Natural Gas Development, composed of Senators and Delegates, to put their collective heads together to see how they can encourage more oil and gas development in the Mountain State. The committee will meet tomorrow for the first time. The effort is being supported by the West Virginia Oil and Natural Gas Association (WVONGA). In general, it certainly seems like a good idea–WV needs more drilling. However, WVONGA plans to use the committee as a platform to push its “modernized mineral efficiency laws”–i.e. forced pooling lite. As we reported last week, WVONGA is making an all-out push for new forced pooling laws in 2018 (see WVONGA Makes Plans to Push Forced Pooling Lite in 2018). There are two components to WVONG’s agenda: (1) Co-tenancy. The concept of co-tenancy means if a majority of mineral rights owners of a property (75%) want to lease the property for drilling, they can–even if a small 25% minority doesn’t want to lease. This helps overcome an urgent problem in WV where sometimes not all mineral rights owners can be found–or where someone with a sliver of the rights wants to blackmail (our word) the other rights owners for a larger share of the profits. (2) Joint development. This is the one we have a problem with. Currently there are a number of existing old leases, signed before shale drilling began, that prevents drillers from drilling a horizontal well across an individual property boundary line–until a new lease is signed. Joint development says if the driller already owns the leases on all adjoining properties that they want to combine into a drilling unit, they can do so without signing a new lease. WVONGA says it corrects a loophole that prevents more drilling from happening. Rights owners say joint development legislation lets drillers have a freebie–instead of signing a new lease (for more money), the driller gets something never envisioned when the original lease was signed. Although the topics of co-tenancy and joint development are sure to be raised tomorrow, the committee will look at more than just those issues. They will also consider how to attract more downstream (petrochemical) investment in the state…
    Read More “WV Legislature Panel on NatGas Dev Meets Tuesday, Forced Pooling?”

  • | | | | | | |

    PA Gov. Wolf’s Non-Response Response on Atlantic Sunrise Delays

    Over the past year or more MDN editor Jim Willis has signed numerous petitions supporting the Atlantic Sunrise Pipeline project–but it wasn’t until he signed one at a recent Williams event that the got a response from Pennsylvania Gov. Tom Wolf. Atlantic Sunrise is a $3 billion, 198-mile natural gas pipeline project, most of which will get built in northeast Pennsylvania. The project is ready to begin construction, NOW, but still needs a few permits from the state Dept. of Environmental Protection (DEP). In an attempt to get the DEP (and Gov. Wolf) moving, Williams co-hosted an event in July to pressure the DEP and Wolf into granting final permits (see Atlantic Sunrise Pipe Rally: ‘Time to Kick Politicians in the Ass’). As guests entered the event, held at the Shadowbrook Golf Course in Wyoming County, PA, they were asked to sign a petition supporting the project. The petitions were delivered to Gov. Wolf and the DEP. Perhaps signing a paper petition, instead of an online/electronic petition, did the trick. MDN received a form letter email response from Gov. Wolf (below). In his response, Gov. Wolf says he supports pipeline development, but that he also supports “strong regulations” to protect people’s health, water, air, blah-biddy blah blah. It is a masterful example of saying nothing at all, while trying to appear you’re saying something. Here’s what we “heard” in Wolf’s response: Screw you–the project will get approved when it gets approved and I don’t care when that is”…
    Read More “PA Gov. Wolf’s Non-Response Response on Atlantic Sunrise Delays”

  • | | |

    The Legal Dance Between States and FERC in Pipeline Approvals

    MDN has enthusiastically covered the story of Millennium Pipeline’s challenge of the New York Dept. of Environmental Conservation’s (DEC) refusal to (so far) grant a federal Clean Water Act stream crossing permit for a short, 7.8-mile pipeline from Millennium to natgas-fired electric plant currently under construction in Orange County, NY. States are given a year to respond to a request for such a permit, and the DEC was long past that date. So Millennium took the DEC to court–the U.S. Court of Appeals for the District of Columbia Circuit. In June the court dismissed the lawsuit by Millennium, which at first blush may seem like a blow. But it was the reasoning and opinion of the judges in dismissing the case that will change everything in New York. The judges said there is no case because if, as Millennium says, the DEC is denying the water permits, the Federal Energy Regulatory Commission (FERC) itself has the power to jump back in and simply override NY DEC and issue the permits (see DC Court Tells Millennium FERC Can Override NY DEC Pipeline Delay). Millennium took the judge’s advice and filed a request with FERC to do just that (see Showdown: Millennium Asks FERC for Permission to Ignore NY DEC). We’re now waiting the outcome of that request. Actually, the DEC said it has until the end of this month, August, to deliver the permit–so perhaps they will do it to avoid losing their power. How does these matters get resolved between states and FERC? Why do the Appeals Courts get involved when there is a dispute? Does the state have more than just a rubber-stamp approval role when it comes to issuing stream crossing permits? A well-written article from an energy attorney explains the process (something we found very helpful in our own understanding of how these things work)…
    Read More “The Legal Dance Between States and FERC in Pipeline Approvals”

  • | |

    Trump Signs Exec Order to Speed Up Pipelines, Infrastructure Work

    Pipeline companies face enormous governmental roadblocks when it comes to building new pipelines. “Red tape” doesn’t begin to describe the hassles they face in going from government agency to government agency in order to build an interstate pipeline. Yesterday, with the stroke of a pen, President Trump helped correct that situation. Trump signed a new executive order that will speed up approvals of permits for highways, bridges, pipelines and other major building efforts by shortening the time for environmental reviews. Trump’s executive order (full copy below) revokes an idiotic Obama executive order aimed at reducing exposure to flooding, sea level rise and other consequences of mythical climate change. Obama intentionally screwed things up and created long delays. Trump is fixing it. The American Petroleum Institute and business groups applauded the new EO and said it will directly translate into more jobs…
    Read More “Trump Signs Exec Order to Speed Up Pipelines, Infrastructure Work”

  • | | | |

    PA Rep. Ortitay Intros Watered-Down Minimum Royalty Bill

    Pennsylvania Rep. Jason Ortitay, Republican from South Fayette (Washington & Allegheny Counties), PA who replaced Jesse White in January 2015 (see Pro-Driller Ortitay Replaces Anti-Driller White in PA House) has introduced a new bill in the PA House to bridge the gap between landowners who want a guaranteed minimum royalty of 12.5% regardless of post-production costs, and drillers who adamantly oppose a guaranteed minimum royalty. Rep. Garth Everett, Republican from Lycoming County, has been the champion of landowners and their quest to stop what they see as an abuse of the contracts they signed by implementing a state-mandated 12.5% minimum royalty–even if post-production costs eat into it (see PA Rep. Garth Everett Reintroduces Minimum Royalty Bill, 3rd Time). Landowners and groups representing them, like the National Association of Royalty Owners (NARO), point to abuses by companies like Chesapeake Energy and claim some drillers cook up deals with pipeline/processing companies to overcharge, deducting it from royalty checks, and then getting the money back from those pipeline companies via investments. Kind of a kick-back scheme. Drillers maintain you can’t upend legal contracts in response to one or two rotten apples in the barrel. Ortitay believes he can navigate the middle ground, proposing a bill that will require drillers to itemize the deductions made from royalty checks, and prevent drillers from sending landowners a bill, which is beyond-words offensive. Can you imagine any landowner signing a lease that requires the landowner to pay the driller when prices go low? It’s ludicrous, and Ortitay’s bill, House Bill (HB) 1708 aims to fix it…
    Read More “PA Rep. Ortitay Intros Watered-Down Minimum Royalty Bill”

  • | | | |

    WVONGA Makes Plans to Push Forced Pooling Lite in 2018

    The West Virginia Oil & Natural Gas Association (WVONGA) plans to push, once again, for what MDN calls forced pooling lite in the next session of the legislature scheduled for early 2018. Forced pooling legislation in West Virginia has been put forward five times in the past seven years–and each time it has failed to win enough votes in the WV legislature. This year, WVONGA changed tactics and renamed forced pooling as co-tenancy and joint development (see WV Won’t Push Forced Pooling, Will Push Joint Dev. & Co-Tenancy). Co-tenancy says a majority of rights owners can vote to accept a lease for drilling. It corrects a situation in which multiple rights owners are listed for a property–and sometimes (often?) it’s difficult to track them all down and get them to sign on the dotted line. Joint development is a bit more nuanced. Currently there are a number of existing old leases, signed before shale drilling began, that prevents drillers from drilling a horizontal well across an individual property boundary line, until a new lease is signed. Joint development says if the driller already owns the leases on all adjoining properties they want to combine into a drilling unit, they can do so without signing a new lease. WVONGA says it corrects a loophole that prevents more drilling from happening. Rights owners say joint development legislation lets drillers have a freebie–instead of signing a new lease (for more money), the driller gets something never envisioned when the original lease was signed. WVONGA came close this year to getting co-tenancy and joint development passed–Senate Bill 576 (see WVONGA Delivers ~1,000 at Rally to Support Co-Tenancy, Joint Dev.). However, like other forced pooling bills before it, SB 576 didn’t get passed. So WVONGA has signaled it will push once again next year, this time renaming (euphemizing) forced pooling lite as “mineral efficiency”…
    Read More “WVONGA Makes Plans to Push Forced Pooling Lite in 2018”

  • | | | | | | | |

    Big Green Groups Stage Walkout at PA DEP Atlantic Sunrise Hearing

    Last night the Pennsylvania Dept. of Environmental Protection (DEP) held one final public hearing for the Williams Atlantic Sunrise Pipeline project–in Lancaster. As we previously reported, anti-fossil fuel nutters planned to gather prior to the meeting so they could choreograph a “walkout” of the meeting, as a form of protest (see PA DEP to Hold Final Atlantic Sunrise Hearing, Antis Plan Walkout). Indeed that is just what happened. A group of petulant babies got up during the meeting, theatrically put on surgical masks, and walked out. They then held their own meeting outside, to regurgitate the same lies and smears they’ve been spreading for months. Meanwhile, inside the meeting, the adults who remained spoke up about legitimate concerns with the project, which is why the meeting was held in the first place…
    Read More “Big Green Groups Stage Walkout at PA DEP Atlantic Sunrise Hearing”

  • | | | | | |

    Michigan County Tells FERC NEXUS Won’t Clean Up After Itself

    The Washtenaw County (Michigan) Road Commission has written a letter to the Federal Energy Regulatory Commission (FERC), requesting FERC deny a certificate to build the NEXUS Pipeline because (they claim) NEXUS has bullied them. It seems the Road Commission has been working with NEXUS over the past year to prepare for the pipeline. The Road Commission wants NEXUS to jump through all sorts of hoops, do handstands, backflips, and in general, dance to the Road Commission’s tune. And because NEXUS isn’t willing to bend all the over backwards, the Road Commission is miffed. The Road Commission is the lord of their domain, and no outsider is going to do anything without their permission. So the Road Commission has run to mommy (FERC) and started bawling that NEXUS are meanies and they won’t pick up after themselves and they’re just BULLIES. So FERC should just go ahead and shut the whole $2 billion, 255-mile interstate pipeline project down (that will run from Ohio through Michigan)–because of one whiny Road Commission in one county…
    Read More “Michigan County Tells FERC NEXUS Won’t Clean Up After Itself”

  • | | | | | | |

    PennEast Pipeline Asks FERC for Expedited Final Approval

    Jeff Tittel, the head of the New Jersey Sierra Club, last week called President Trump a “fossil fool in the White House” and panned Trump for doing his Constitutional duty in appointing new members to the Federal Energy Regulatory Commission (FERC). Tittel’s latest titillation came in response to PennEast Pipeline sending a letter to FERC last Thursday requesting the agency move forward posthaste with granting the project a final certificate to proceed to construction–something that terrifies Tittel and his sidekick, THE Delaware Riverkeeper, Maya van Rossum. Tittel and van Rossum have staked their reputations and the reputations of their anti-fossil fuel groups on stopping PennEast. So once the bulldozers fire up and begin digging trenches, it’s all over for them. They might actually have to find real jobs. Below is PennEast’s request to FERC along with the instantaneous (and paranoid) reaction from several Big Green radical groups….
    Read More “PennEast Pipeline Asks FERC for Expedited Final Approval”