Regulation

Anti-Drilling/Fossil Fuel | Cuyahoga County | Industrywide Issues | Litigation | Ohio | Regulation

The Mad Moms of Broadview Heights Remain Mad over Tossed Lawsuit
July 6, 2015July 6, 2015

The Mad Moms of Broadview Heights, OH (a suburb of Cleveland) say they’re “not going away” when it comes to opposing fossil fuels in their neighborhood. MADION (Mothers Against Drilling in Our Neighborhood) are appealing a tossed-out lawsuit filed by the group following a defeat handed to them by the Ohio Supreme Court. In March, the Ohio Supreme Court ruled a 2012 so-called Community Bill of Rights law adopted by Broadview Heights that prohibits drilling is unconstitutional (see OH Antis Handed Crushing Defeat in Broadview Hghts Home Rule Case). That didn’t sit well with the (stark raving) Mad Moms (see Broadview Heights, OH Moms: Don’t Frack With Us). The Mad Moms filed a new lawsuit to stop the drilling. Last week Cuyahoga County Common Pleas Judge Timothy McCormick tossed the new lawsuit citing the Supreme Court decision. The Mad Moms plan to appeal Judge McCormick’s decision…
Read More “The Mad Moms of Broadview Heights Remain Mad over Tossed Lawsuit”
Anti-Drilling/Fossil Fuel | Athens County | Industrywide Issues | Ohio | Regulation | Statewide OH | Wastewater

Athens County Asks Gov Kasich & ODNR to Stop New Injection Wells
July 2, 2015July 2, 2015

Athens County, OH Commissioners have just passed a resolution calling for a ban on new injection wells in the county. The resolution has zero force and no weight of law–it’s not a legal document and if it were, it would be illegal. Only the Ohio Dept. of Natural Resources (ODNR) can decide whether or not to issue permits for Class II injection wells in Ohio. Local municipalities have no say in the matter. But that doesn’t stop the nutters in Athens County from mouthing off (the thing they do best). Here’s their latest haughty communication requesting the Governor and the ODNR immediately and indefinitely refrain from issuing any more injection well permits not only in the People’s Socialist Paradise of Athens County, OH, but throughout the entire state of Ohio as well…
Read More “Athens County Asks Gov Kasich & ODNR to Stop New Injection Wells”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

With Frack Ban Mission Accomplished, Joe Martens Leaves NY DEC
July 1, 2015July 1, 2015

A day after issuing the final nail in the coffin of fracking in NY (see It’s Official: Cuomo Bans Economic Opportunity & Prosperity in NY), the guy doing the nailing is leaving. Dept. of Environmental Conservation (DEC) Commissioner Joe Martens is leaving the DEC to go back to the anti-drilling Open Spaces Institute–the organization where he was employed before coming to the DEC. It certainly appears like the main purpose in hiring Martens was to slow down, and then stop the momentum to allow fracking in NY. Now that Martens’ mission has been accomplished, he’s ready to make more money again, working for an organization dedicated to stopping any kind of development on land–including and particularly oil and gas development. MDN has been around long enough to have seen Martens come, and now go. We’re proud to say from his very first day on the job we questioned his appointment and commitment to seeing that fracking happens in the Empire State (see our article from February 2011: Gov. Cuomo’s Nomination to Head the NY DEC: Will the Real Joe Martens Please Stand Up?). We’ve always suspected, and shared with you our suspicions, that Martens is anti-drilling. We were right–not that being right feels any better because Martens has royally screwed every landowner in our beloved home state…
Read More “With Frack Ban Mission Accomplished, Joe Martens Leaves NY DEC”
Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Regulation | Tennessee Gas Pipeline

Kinder Morgan Scores Important Victory in NH to Build NED Pipeline
July 1, 2015July 1, 2015

The first domino has fallen. Kinder Morgan won an important victory in New Hampshire with respect to building the Northeast Energy Direct (NED) pipeline project–an extension of the Tennessee Gas Pipeline from New York through Massachusetts into New Hampshire and back into Massachusetts. On Friday the staff of the NH Public Utilities Commission (PUC) signed off on a request by the state’s largest utility company, Liberty Utilities, to buy capacity from the new NED pipeline as it passes through the state. Because Liberty’s action will potentially affect ratepayers (some of the cost may be passed to utility customers), the PUC must approve it. Full approval for Liberty to contract for capacity on NED will happen later in July–but full approval is almost certainly a foregone conclusion because of this initial approval…
Read More “Kinder Morgan Scores Important Victory in NH to Build NED Pipeline”
Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

NY Landowners, Drilling Industry React to Cuomo’s Frack Ban
July 1, 2015July 1, 2015

Yesterday MDN brought you the news that the Dept. of Environmental Conservation (DEC) had finally issued a “Findings Statement” that provides the official rational, twisted as it is, for why New York is temporarily banning high volume fracking in the Empire State (see It’s Official: Cuomo Bans Economic Opportunity & Prosperity in NY). Organziations for both landowners (the Joint Landowners Coalition of New York) and the oil and gas industry (American Petroleum Institute New York) provided their reaction to this profoundly sad news…
Read More “NY Landowners, Drilling Industry React to Cuomo’s Frack Ban”
Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

It’s Official: Cuomo Bans Economic Opportunity & Prosperity in NY
June 30, 2015June 30, 2015

Let the lawsuits begin! Yesterday the anti-drilling, anti-fossil fuel head of the New York Dept. of Environmental Conservation (DEC), Joe Martens, did his master’s bidding (his master being Lord Andrew Cuomo, Earl of the Hamptons) by imposing an official, TEMPORARY (not permanent) ban on hydraulic fracturing in the Empire State. The document issued yesterday by Martens is called a Findings Statement (full copy below) and it provides the DEC’s official rationale for the action they are taking in not granting permits for high volume fracking in the state. News coverage is blaring the trumpets that New York has “banned” fracking. Well, yes, in a sense that’s true. But the implication is that it’s a permanent ban–which is not true. Far from it. Martens uses profoundly weak arguments in the Findings Statement to justify his political action. One of his central arguments is what fracking “may” do to water supplies. A few weeks ago the federal EPA, after four years of intense study, found fracking is perfectly safe for water supplies (see EPA Draft Report Says Fracking Doesn’t Pollute Groundwater Supplies). We’d be embarrassed to try and peddle this horse manure if we were Martens–but he’s shameless. One thing is for sure: landowners and their lawyers, who have had their property rights illegally stripped away by Cuomo and Martens, are reading the Findings Statement and preparing lawsuits even now…
Read More “It’s Official: Cuomo Bans Economic Opportunity & Prosperity in NY”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Last Minute Change in PA Budget Stops DEP’s New Drilling Rules
June 30, 2015June 30, 2015

How can we put this gingerly? Pennsylvania Democrats (and Democrats in general) like to do the screwing, but they don’t like to get screwed. That about sums up what’s happening with the Pennsylvania budget and some last minute legislation slipped into a budget-related bill that will tie the PA Dept. of Environmental Protection’s hands on proposed new drilling rules. The 2012 Act 13 law required the Pennsylvania Dept. of Environmental Protection (DEP) to update sections of the older 1984 PA Oil & Gas Act (see Rewrite of 1984 PA Oil and Gas Act Underway). That process was pretty much done and dusted under PA Gov. Tom Corbett. But then Tom Wolf won the governor’s race and installed John Quigley to head up the DEP. Quigley re-opened a closed process to change drilling rules for both conventional and unconventional (shale) drillers (see PA DEP Sec Quigley Pulls a Fast One, Changes Drilling Rules). That is, Quigley did some screwing of the drilling industry. Over the weekend the PA House introduced and passed an amendment that would require the DEP to go back and start over with respect the rules they plan to adopt. That is, Quigley has now gotten screwed. And he doesn’t like it…
Read More “Last Minute Change in PA Budget Stops DEP’s New Drilling Rules”
Air Quality | Industrywide Issues | Litigation | Regulation

US Supreme Court Knocks Down Draconian EPA Emissions Rule
June 30, 2015June 30, 2015

Too little, too late is what sums up yesterday’s U.S. Supreme Court decision that slaps the federal Environmental Protection Agency (EPA) for not considering cost when implementing draconian new rules limiting certain emissions from coal-fired electric power plants. Many coal plants have already shut down and many more are in the process of shuttering–driven out of business by the EPA’s draconian (unlegislated) laws. The small victory is that it pushes back against an out-of-control Obama EPA–perhaps slowing them down just a bit. One analyst said the Supreme Court decision translates into a “big win” for natural gas. How? Because the draconian new rules won’t go into effect right away, that means natural gas will continue to pick up momentum as the best alternative to coal, shutting out solar and wind power as alternatives. Nothing against solar and wind (we love them both), but they’re WAY more expensive than natural gas–and last time we checked, we still live in sort-of free country that sort-of uses capitalism and sort-of has free choice when it comes to power. Which is sort-of good news for natural gas…
Read More “US Supreme Court Knocks Down Draconian EPA Emissions Rule”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Quigley Not Just Creating New Registry, He’s Dumping FracFocus
June 30, 2015June 30, 2015

Two weeks ago MDN told you that the PA PennFuture Sec. of the Dept. of Environmental Protection, John Quigley, has decided he wants to start his own version of FracFocus in Pennsylvania (see PA DEP Sec Quigley Creating His Own FracFocus; SRBC in Crosshairs). What we didn’t know or understand at the time is that Sec. Quigley, who continues to be antagonistic toward the shale industry, isn’t just creating a PA version of FracFocus–he now arrogantly intends to dump PA’s participation in FracFocus…
Read More “Quigley Not Just Creating New Registry, He’s Dumping FracFocus”
CNG/LNG | Commodity Price | Crude Oil | Decline/Depletion Rates | Economic Impact | Education | Ethane | Exporting | Industrywide Issues | M&A | NGLs | Pipelines | Processing Plants | Regulation | Research | Reserves (Proved and Unproved)

Join MDN at RBN Energy’s “Summer in the City” Event July 23 – NYC
June 30, 2015July 9, 2015

MDN invites you to join us in attending RBN Energy’s “State of the Energy Markets” one-day event in New York City on July 23. Before you hurry to say “yes,” a few caveats. It costs money (a lot of it). It’s aimed at executives working in the industry, as well as traders and investors. If that describes you (and we know that many of you read MDN), you may be interested in attending. We guarantee it will be a great event. Rusty Braziel & company will provide an overview of the key issues facing natural gas, NGLs and the crude oil market. They will explain how the markets for those three commodities interact and affect each other. They will also take a look at prices, where they may be heading, and how infrastructure affects price. If you are really “into energy” as we are, this is a must attend event. Details are below, along with a link to register…
Read More “Join MDN at RBN Energy’s “Summer in the City” Event July 23 – NYC”
Accidents | Allegheny County | Energy Services | Industrywide Issues | Pennsylvania | Regulation | Sunoco Logistics | Washington County

PA DEP Fines Sunoco $95K for Mud Spills During Pipeline Drilling
June 26, 2015June 26, 2015

Although there’s been no publicly published notice, the Pennsylvania Dept. of Environmental Protection (DEP) has fined Sunoco Logistics for spilling non-toxic drilling mud (bentonite) at several locations when they were drilling for the Mariner East I pipeline. One of those instances was last September when Precision Pipeline, hired by Sunoco, was drilling under the Little Mingo Creek (see Mariner East Pipeline Drilling Spills Mud in Local Creek). Bentonite is non-toxic and used in products from shampoo to deodorant and toothpaste. It’s also used to lubricate the drill bit and carry drill cuttings out of the ground. While non-toxic, a whole lot of bentonite in the water can, of course, suffocate fish and cause problems for wildlife that happen to drink it. In March of this year, we noted that the DEP was telegraphing that they were about to assess a “significant” fine for the mud spills at Mingo Creek and a few other locations (see PA DEP: Sunoco Facing “Significant” Fine for Non-Toxic Mud Spills). The fine has been levied. The “significant” fine ended up being $95,000. Clipping Sunoco $95K, compared to the $8.9 million fine the DEP recently slapped on Range Resources for methane leaks, seems somewhat trivial and rather insignificant. Which is perhaps why the DEP hasn’t published, as they usually do, an official notice on their website about the fine…
Read More “PA DEP Fines Sunoco $95K for Mud Spills During Pipeline Drilling”
Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Medina County | NEXUS Pipeline | Ohio | Pipelines | Regulation

Medina County, OH Antis Trot Out Home Rule Ballot Measure
June 26, 2015June 26, 2015

In February the Ohio Supreme Court, once and for all, struck down so-called “home rule” legislation passed by local municipalities where anti-drillers are able to convince enough citizens to vote for it (see OH Supreme Court Strikes Down Home Rule in Gas Drilling Case). When it comes to creating local laws and zoning ordinances that prohibit or otherwise try to control oil and gas drilling, Ohio state law stipulates only the State regulates it–not towns and villages and cities. That’s the law, and that’s the law the Supreme Court upheld. So along comes Sustainable Medina County, a group of virulent anti-fossil fuelers, with a new petition to put yet another so-called home rule “bill of rights” measure on the ballot in November, this time in an attempt to stop the NEXUS pipeline. What would you call this new initiative in light of the Supreme Court’s decision? We’d call it stark, raving mad…
Read More “Medina County, OH Antis Trot Out Home Rule Ballot Measure”
Industrywide Issues | Lease & Royalty Payments | Pennsylvania | Regulation | Statewide PA

New Bill HB 1391 Will Guarantee PA Landowners 12.5% Royalties
June 25, 2015June 25, 2015

Last week MDN told you that a new royalty bill would be introduced in the Pennsylvania legislature to guarantee landowners get a minimum 12.5% royalty (see New Bill Pushes 12.5% Guaranteed Minimum Royalty for PA Landowners). The new bill, House Bill (HB) 1391 is, according to the bill’s main sponsor State Rep. Garth Everett, more narrowly focused than the previous bill introduced in 2013 (HB 1684). Gareth and a group of supporters from the PA chapter of the National Association of Royalty Owners gathered in the Capitol Rotunda in Harrisburg on Tuesday in a bill launch rally. We don’t (yet) have the language of the new bill, but we do have Everett’s description of what’s in the bill, a brief video interview of Everett from Tuesday’s launch rally, and a newspaper write-up from the event…
Read More “New Bill HB 1391 Will Guarantee PA Landowners 12.5% Royalties”
Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Kinder Morgan | Pipelines | Regulation | Transco

Mass. DPU Rejects Anti Group’s Request to Join Pipeline Hearing
June 24, 2015June 24, 2015

ENOUGH of these anti-pipeline, anti-drilling, dump-all-fossil fuels protesters and their strategies to stop pipelines in New England. That’s essentially what the Massachusetts Department of Public Utilities (DPU) said in refusing to allow the anti-pipeline group Pipeline Awareness Network for the Northeast (PLAN-NE) “full intervenor status” at a series of hearings the DPU will hold today, tomorrow and Friday to consider whether the contracts sought by the local gas distribution companies (local gas utilities) who want to get cheap, abundant and clean-burning Marcellus natural gas from Kinder Morgan’s proposed Northeast Energy Direct pipeline, are in the public interest. The DPU wants to concentrate on the real issues at hand and not be distracted and derailed by the antics of anti-pipeliners, so the DPU turned down PLAN-NE’s request…
Read More “Mass. DPU Rejects Anti Group’s Request to Join Pipeline Hearing”
Economic Impact | Industrywide Issues | Jobs | Regulation | Research

API Study Shows Energy Regulations are Killing Jobs & Economy
June 24, 2015June 24, 2015

The American Petroleum Institute (API) released a new study yesterday authored by Wood Mackenzie, a global research firm, which compares government policies that promote the growth of the energy industry with government policies that stifle energy growth. The study, titled “A Comparison of US Oil and Natural Gas Policies: Pro-development Policies vs. Proposed Regulatory Constraints” (full copy embedded below) finds that the study found that unnecessarily restrictive energy and environmental regulations proposed by the Obama administration will lead to 830,000 lost jobs and a decrease of $133 billion per year in the U.S. economy. In other words, Obama is ruining this country with his energy/environmental policies…
Read More “API Study Shows Energy Regulations are Killing Jobs & Economy”
Air Quality | Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Regulation | Shell | Statewide PA

Shell Receives Air Quality Permit from PA DEP for Cracker Plant
June 23, 2015June 23, 2015

Finally, after months and months of waiting, the Pennsylvania Dept. of Environmental Protection (DEP) has granted an air quality permit that allows Shell to operate a proposed ethane cracker plant in Monaca (Beaver County), PA. MDN told you the DEP signaled they would approve the air quality permit back in March (see PA DEP Signals Approval for Shell Ethane Cracker Air Quality Plan). Three months later the DEP finally issued the permit–no small miracle given the agency is now run by PennFuture DEP Sec. John Quigley. Shell had stated getting the permit would be a “critical” step in the process to moving forward. Now that they have the permit, what kinds of encouraging words do we have from Shell? The permit “does not mean we have made a final decision to build the project.” Which is the same standard line they’ve delivered since 2011 when this whole process began (see Shell Commits to Building a Billion Dollar Chemical Plant in the Marcellus Region of U.S.). Four years of being teased with this project has led us to think we’ve contracted post traumatic cracker disorder (PTCD)…
Read More “Shell Receives Air Quality Permit from PA DEP for Cracker Plant”