Regulation

Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

MDN Calls for the Criminalization of the NY Green Party
August 12, 2013August 12, 2013

Does that headline sound a bit unhinged? Over the top? Sorta stupid? It’s no more stupid than the New York Green Party calling (as it has done yet again) for the “complete criminalization” of fracking in the Empire State. We thought we would illustrate absurdity with absurdity and call for criminalizing the stupidity that’s rampant in the Green Party. The unhinged and wacko Greens want to turn a safe, legitimate and needed industrial activity–fracking–into a criminal act. They point out that, Hey man, even the pot smokers in Woodstock, NY have voted to criminalize fracking (our words).

We propose that the Greens’ stupidity is itself a criminal act. Here’s the latest lunacy from the anti-drilling left in the People’s Republic of New York, otherwise known as the Green Party:
Read More “MDN Calls for the Criminalization of the NY Green Party”
Anti-Drilling/Fossil Fuel | Broome County | Chemung County | Economic Impact | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY | Steuben County | Tioga County (NY)

Cuomo & DiNapoli: Asleep at Sales Tax Switch in NY Southern Tier
August 12, 2013August 12, 2013

MDN has long chronicled the sad situation for landowners in New York State with a moratorium that is, as of today, 5 years and 20 days old. It has had catastrophic economic consequences for New York, especially for those who live in the Southern Tier of the state–that area along the mid-state “southern” border with Pennsylvania (Broome, Tioga, Chemung, Steuben counties). Gov. Andrew Cuomo is spineless on the fracking issue–that much is clear. He won’t stand up to the shrill and unreasonable voices in his own party. No one will take him seriously on the national stage. Cuomo’s rising star has become a shooting star–straight down.

Thomas DiNapoli, NY State Comptroller, is clearly an avowed anti-driller. We’ve brought you a number of stories that illustrate his disdain for drilling (see MDN stories about DiNapoli here). We find it particularly offensive and hypocritical (although not surprising) that DiNapoli has just issued a report that shows sales tax revenue is up in most of the state’s counties, but down in Southern Tier counties–down a lot. DiNapoli bemoans the fact that the Southern Tier continues to take it in the neck–yet he makes no mention of how shale drilling could instantly reverse the economic misery of Southern Tier residents. Typical politician–identify the problem but offer no solutions…
Read More “Cuomo & DiNapoli: Asleep at Sales Tax Switch in NY Southern Tier”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

SRBC to Get New Executive Director in Sept: Andrew Dehoff
August 12, 2013August 12, 2013

The Susquehanna River Basin Commission (SRBC), one of two governmental agencies created to oversee rivers and tributaries in the northeast, has just named a new executive director effective Sept. 19. Andrew Dehoff will become the third person to hold that position in the SRBC’s 42-year history.

The SRBC is important to the shale drilling industry in Pennsylvania because it regulates how much–and when/if–water can be taken from rivers and streams for use in fracking. The SRBC announcement:
Read More “SRBC to Get New Executive Director in Sept: Andrew Dehoff”
Air Quality | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Tough New Air Standards for PA Marcellus Drillers Start Next Week
August 9, 2013August 9, 2013

Starting next week, Marcellus Shale drillers in PA will face strict new rules on air emissions at drill sites. The new rules (i.e. “technical guidance”) won’t officially be released until Saturday, August 10 when published in the Pennsylvania Bulletin. The rules will limit noxious emissions, including nitrogen oxides, volatile organic compounds and hazardous air pollutants. The rules also include an almost-total ban on flaring of wells–only short-term or emergency flaring allowed.

Drillers will be given one of two choices for compliance under the new rules: either get an air quality plan pre-approved by the PA Dept. of Environmental Protection (DEP) for each well drilled–adding a lot of time to the drilling process, or comply with new DEP standards that are even more strict than federal standards issued in April 2012–in essence have your drilling operation certified as complying with super-strict DEP standards. Which option will drillers chose? The Marcellus Shale Coalition says drillers are mulling it over now…
Read More “Tough New Air Standards for PA Marcellus Drillers Start Next Week”
Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

New Twist in PA Act 13 Case: Motion to Re-Hear Oral Arguments
August 8, 2013August 8, 2013

A new twist in the ongoing court battle over Pennsylvania’s still relatively new Act 13 Marcellus Shale drilling law. A court case has been before the PA Supreme Court since last year challenging provisions in the new law to replace local zoning of oil and gas drilling with a uniform, statewide standard. As MDN told you a few weeks ago, it appears the newly sworn-in seventh justice on the PA Supreme Court will not participate in the decision, leaving a split 3-3 decision a likely outcome (see PA Problem: Act 13 Zoning Case to be Decided by 6 Supremes, Not 7). Split decisions are not good for anyone, and a split decision in this case would leave the lower court rulings stand, gutting part of the Act 13 law.

The new twist: On Tuesday, the PA state Public Utility Commission (PUC) and the Dept. of Environmental Protection (DEP) filed a joint request that the entire seven-member court re-hear oral arguments in the case so the entire court can make a decision and finally lay this thing to rest, one way or the other. The towns that brought the lawsuit in the first place are objecting because they think they have a better chance at winning with a six-justice panel–a split decision means they win. Are the towns trying to cheat justice?…
Read More “New Twist in PA Act 13 Case: Motion to Re-Hear Oral Arguments”
Anti-Drilling/Fossil Fuel | Guest Post | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

What if PA Dems Win the Next Election and Ban Drilling Statewide?
August 8, 2013August 8, 2013

MDN reader, friend and contributor Chris Acker provides the insightful commentary below in response to (and building on) our article of a few days ago, titled: 18 PA House Democrats Dissent from Party’s Vote for Frack Moratorium.

Chris delves into the economic apocalypse that would happen should PA Democrats gain power again in the next election and fulfill their promise of enacting a statewide moratorium/ban on drilling. It is, as Chris points out, a true nightmare scenario:
Read More “What if PA Dems Win the Next Election and Ban Drilling Statewide?”
Broome County | Chesapeake Energy | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation | Statewide NY | Tioga County (NY)

Chesapeake Energy Throws in the Towel on NY Shale Drilling
August 7, 2013August 7, 2013

A good news/bad news story. The good news is that Chesapeake Energy is giving up the legal fight with landowners in New York to extend their leases beyond the original lease term. MDN has long chronicled the fight on the part of landowners to stop Chesapeake from claiming force majeure to extend leases signed for (in some cases) just a few dollars per acre–leases signed long before horizontal drilling and fracking were contemplated (see More on the NY Force Majeure Ruling Against Chesapeake). After two years of legal wrangling, Chesapeake is throwing in the towel. Landowners will now be able to sign with another company, if drilling ever comes to NY.

The bad news is, Chesapeake is throwing in the towel–as in they are giving up on NY–tired of the ongoing five-year moratorium in shale drilling. Wake up Cuomo! Your actions have caused this! You are causing direct economic harm to your residents every day the moratorium stays in place…
Read More “Chesapeake Energy Throws in the Towel on NY Shale Drilling”
Indiana County | Industrywide Issues | Pennsylvania | Regulation | Wastewater

PA Frack Wastewater Plant Closes, Loses Permit to Operate
August 7, 2013August 7, 2013

Although companies like GreenHunter Water can’t get enough fracking wastewater facilities online fast enough to meet demand from Marcellus and Utica drillers, it appears not everyone has the same level of success when it comes to operating such facilities. The PA Dept. of Environmental Protection (DEP) has pulled the operating permit for a frack wastewater treatment facility in Indiana County, PA. Seems the facility operated “sporadically” in July and August of last year before stopping operation in September. The owner, Aquatic Synthesis, ran into financial difficulties (i.e. bankruptcy).

Problem is, there’s still a million gallons of wastewater at the plant that need to be disposed of. Who will pay for that?…
Read More “PA Frack Wastewater Plant Closes, Loses Permit to Operate”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

18 PA House Democrats Dissent from Party’s Vote for Frack Moratorium
August 6, 2013

Well well, what do you know? There are 18 brave Democrats in Pennsylvania after all. MDN was (we think) the first and one of the only sources to tell you of the insanity of the PA Democrat Party who, at their most recent statewide meeting, voted to adopt an official plank in their party platform supporting an immediate and ongoing moratorium–essentially a ban–of all Marcellus Shale drilling in the state (see PA Democrat Party Votes to End Marcellus Shale Drilling Statewide). The state and national media ignored the story, knowing how toxic such a stupid move will be for Democrats at the next election (got to protect the Dem hegemony ya know).

But, we’ve just learned that 18 brave elected Democrats from the PA House of Representatives, including House Minority leader Frank Dermody, wrote a letter on July 15 to the state committee telling them the frack moratorium vote in June is not kosher with them. To which we say, three cheers! Finally, some people with ~~balls~~ intestinal fortitude inside the PA Democrat Party…
Read More “18 PA House Democrats Dissent from Party’s Vote for Frack Moratorium”
Hydraulic Fracturing | Industrywide Issues | Regulation

Hammer Falls: New EPA Edict on Storage Tanks Used in Drilling
August 6, 2013August 6, 2013

Day by day, a little more of the thing that once made America great–freedom and liberty–dies. Hey, no big deal. It’s all done in the name of health and safety. The latest example: The federal Environmental Protection Agency (EPA) has just issued more rules that trample individual states’ rights to regulate oil and gas drilling. It’s the EPA’s ongoing back-door method of one day fully regulating oil and gas drilling throughout the U.S.

The latest EPA rules have to do with oil and gas storage tanks and the emissions that come from them. Drillers and those operating such storage tanks have until either April 15, 2014 or April 15, 2015 (depending on when the tank went into service) to comply with new rules reducing volatile organic compound (VOC) emissions by 95%. The EPA’s latest edict:
Read More “Hammer Falls: New EPA Edict on Storage Tanks Used in Drilling”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Statewide WV | West Virginia

Marcellus Hiring Practices “Under a Microscope” by DOL
August 5, 2013August 5, 2013

Are you a driller, oilfield services or other supply chain company whose primary activity revolves around the PA or WV Marcellus Shale? If so, there’s a good chance you’re going to get audited by the U.S. Labor Department (DOL). Best to get your records (and hiring practices) in order now.

The biggest violation found by the DOL’s so-called Marcellus Shale Initiative: improperly classifying workers as independent contractors instead of salaried or hourly employees. Hiring workers as independent contractors is coming back to bite a number of companies, large and small. If the DOL finds a violation, they helpfully pass it on to the IRS, so after the DOL is done fining you, the IRS typically shows up on your doorstep for a second pound of flesh. Sweet…
Read More “Marcellus Hiring Practices “Under a Microscope” by DOL”
Hydraulic Fracturing | Industrywide Issues | Regulation

U.S. Senate Bill Would Prevent Feds from Regulating Fracking
August 5, 2013August 5, 2013

A ray of hope that the federal government might actually do the right thing and let the individual states (as provided for in the U.S. Constitution) regulate fracking in their own states? Stranger things have happened!

A new bill just introduced by two U.S. senators from shale states–John Hoeven from North Dakota (Republican) and Mary Landrieu from Louisiana (Democrat)–would prevent the federal government from interfering with states’ rights to regulate fracking and drilling within their own borders. Three cheers! However, don’t hold your breath that this bill will go anywhere with BHO sitting in The White House…
Read More “U.S. Senate Bill Would Prevent Feds from Regulating Fracking”
Chesapeake Energy | Energy Companies | Energy Services | Industrywide Issues | Ohio | Pipelines | Regulation | Spectra Energy | Statewide OH

Spectra’s OH Pipeline Project Advances, Sept 20 Deadline w/FERC
August 2, 2013August 2, 2013

More than 1 1/2 years ago MDN told you about a planned new 70-mile pipeline and compressor station to connect Utica and Marcellus wells in eastern Ohio to Spectra Energy’s Texas Eastern pipeline system (see Chesapeake Investing in New 70-Mile Ohio Pipeline). Called the Ohio Pipeline Energy Network (OPEN), the project is a $500 million joint venture between Chesapeake Energy, American Electric Power and Spectra Energy. Not since December 2011 have we heard any news about the project–until now.

Even though there’s been no media coverage, Spectra has been hard at work planning and holding public meetings for feedback on eight different proposed pipeline routes. The Federal Energy Regulatory Commission (FERC) has given Spectra until Sept. 20 to tell them which alternative is their preferred route. FERC will then make a decision and (presumably) issue a permit that will allow Spectra to begin construction. An update on the OPEN project…
Read More “Spectra’s OH Pipeline Project Advances, Sept 20 Deadline w/FERC”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Acting Sec of DEP Making his Agency a “Problem-Solver”
August 2, 2013August 2, 2013

We noted our sadness in March when then-PA Sec. of the Dept. of Environmental Protection, Michael Krancer, announced he was resigning (see Developing… PA DEP Sec. Krancer Resigns). Krancer was tough but fair–someone with a sharp wit (and sometimes a sharp tongue). He knew how to dish it back to anti-drillers–and they hated it. At the time of Krancer’s resignation, Gov. Tom Corbett named his deputy chief of staff, E. Christopher Abruzzo, as Acting Secretary for the DEP. Abruzzo’s appointment was panned by Democrat John Hanger, who wants to run against Corbett in the next election, calling the appointment “bizarre and irresponsible” (see Former PA DEP Sec. Hanger Blasts Interim Replacement for Krancer).

We haven’t read much in the media about Abruzzo since his appointment six months ago, however, yesterday Abruzzo addressed the Washington County, PA Chamber of Commerce’s annual energy symposium. Contrary to what political opponents would have you believe, he sounded and acted quite responsible and un-bizzare…
Read More “PA Acting Sec of DEP Making his Agency a “Problem-Solver””
Hydraulic Fracturing | Industrywide Issues | Muskingum County | Ohio | Regulation | Utica Shale

Not So Fast: Blue Rock State Forest Fracking on Hold
August 1, 2013August 1, 2013

A few days ago MDN told you that the federal Bureau of Land Management (BLM) had plans to auction off shale drilling rights for Blue Rock State Forest in eastern Ohio (see Surprise! Blue Rock State Forest in Eastern OH to be Fracked). As we pointed out, most federal land auctioned for drilling is located in the western U.S.–this is the first such instance of BLM land being auctioned in the Marcellus/Utica region that we are aware of. The federal government owns the mineral rights in Blue Rock, and the state of Ohio owns the surface rights.

Ohio state officials complained they were not consulted by the BLM about the mineral rights auction or the possibility that the forest will be fracked. So the BLM has (for now) halted their planned auction for later this year…
Read More “Not So Fast: Blue Rock State Forest Fracking on Hold”
Harrison County | Industrialization | Industrywide Issues | Ohio | Regulation | Roads | Trucking

Harrison County Ticked Off at Road Damage from Drilling Trucks
July 31, 2013July 31, 2013

Trucks going to and from Utica Shale drilling sites in Harrison County, OH are damaging the roads, and County Commissioner Dale Norris says “the honeymoon is over” with respect to shale drilling in the county.

Norris says commissioners will consider adopting new regulations in the next few weeks to assess a permit fee for trucks using local roads, so they have money to fix the damage caused by the drilling industry…
Read More “Harrison County Ticked Off at Road Damage from Drilling Trucks”