PA Gov Wolf Packs Pipeline Task Force with His Own Minions
In May Pennsylvania “in over his head” Gov. Tom Wolf announced the formation of the Pipeline Infrastructure Task Force (PITF)–an effort to “promote unprecedented collaboration of stakeholders to facilitate the development of a world-class pipeline infrastructure system” (see Disaster on the Horizon: PA Gov Wolf Creates Pipeline Task Force). Translation: We need to slow down the rapid construction of all of these gathering pipelines and since there’s no regulations in PA state law to do it, we’ll create a “task force” to slow it down for us. Last week Wolf announced the 48 people who belong to his hand-picked task force. Not surprisingly, 14 of the 48 members (almost one-third) work for Wolf–in state government, drawing their paychecks from the state and working at the pleasure of Wolf who will fire them if they don’t do what he wants. Another nine work for either county, state or federal governments. That’s 23 of 48 (half) who work for the government. How many are from the oil and gas industry? Only 12 representatives from the O&G industry–and of that, only 6 of them are from pipeline companies, the very entities that will get regulated by this unofficial regulating body…
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Another new un-legislated law, euphemistically called a “rule”, is on the way from the federal Pipeline and Hazardous Materials Safety Administration (PHMSA). Last week the PHMSA released details of a new rule that would, among other things, require operators of interstate pipelines (pipelines that cross state borders) that flow natural gas or natural gas liquids or oil or condensate or… you get the idea–those pipelines must report a leak within 60 minutes (but “at the earliest practicable moment” meaning 60 seconds or less if you can manage it) to the feds from when the company becomes aware of such a leak. The new “rule” will also punish big pipeline projects costing more than $2.5 billion by hiking fees on the pipeline to cover PHMSA expenses in putting such a project through a PHMSA anal exam/review. Want to reverse the flow of the already-built pipeline? Tell the PHMSA first. Want to provide a tap on a pipeline for farms? Tell the PHMSA first. Had an accident/spill? Every employee from the janitor on up who may have had something to do with the operation of that pipeline will now get subjected to a PHMSA drug AND alcohol test. Welcome back to the USSR PHMSA…
A day after issuing the final nail in the coffin of fracking in NY (see 
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 
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…