Regulation

Anti-Drilling/Fossil Fuel | Exporting | Hydraulic Fracturing | Industrywide Issues | Regulation

Democrat Left Eating Their Own, Attempt to Destroy Ernest Moniz
April 1, 2013April 1, 2013

Every now and again (doesn’t happen often), the Democrat left in our country will “eat one of their own.” It’s happening right now with Dr. Ernest “Hair” Moniz, President Obama’s choice to head up the Dept. of Energy after the resignation of Dr. Steven Chu. Dr. Moniz is a very smart guy–like Albert Einstein smart. He’s a nuclear physicist and director of the MIT Energy Initiative. Moniz believes in global warming flummery and he’s a Democrat, so you’d think the left would love him. Thing is, he also believes the best way to get to the alternative energy nirvana that the left pines for is to use clean-burning natural gas and fracking to get there. That position crosses the line for many in the whacko-eco movement.

And so, day after day we see a steady stream of articles that give Moniz the equivalent of an economic anal exam (he’s very wealthy), questioning every consulting gig and job he’s ever held, trying to tie him to “industry” so they can destroy his reputation and his chances of ascending to the top spot at Energy. Here’s just one example from (not surprisingly) Bloomberg:
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Anti-Drilling/Fossil Fuel | Health Impacts | Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

NY Anti-Drillers Send Letter to Cuomo: Stop the Health Review Now
March 28, 2013March 28, 2013

In yet another public relations stunt, Walter Hang from the Ithaca-based Toxics Targeting group, along with several of his anti-drilling, eco-nut buddies (like failed Binghamton Mayor Matt Ryan), sent Gov. Andrew “Ditherer” Cuomo a rambling 4-page letter on Tuesday requesting that he instruct NY State Health Commissioner Nirav Shah to abandon his current review of fracking rules with an eye on health impacts. Why? Because the current review is “fatally flawed” and “an exercise in futility.”

Instead of the current review, Hang & Co. “request” the Dept. of Health perform a full, years-long public health impact study…

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Hydraulic Fracturing | Industrywide Issues | New York | Pennsylvania | Regulation | Statewide NY | Statewide PA

Former PA Gov. Rendell to Gov. Cuomo: Get Fracking
March 27, 2013March 27, 2013

$frack baby frack$ Interesting. Former PA Gov. Ed Rendell (“Fast Eddie” as he’s know around here) has penned a huge editorial printed in today’s New York Daily News, a left-leaning newspaper, aimed at one person: NY Gov. Andrew Cuomo. Eddie’s words of advice to his fellow Democrat? Frack Andy Frack!

Here’s Rendell’s op-ed:

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Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Bill Would Require Utilities to Extend NatGas Service
March 27, 2013March 27, 2013

Two PA Republican state senators have introduced legislation that would grant the state Public Utility Commission (PUC) the power to require utility companies to provide natural gas service to areas that currently lack it:

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Industrywide Issues | Regulation | Statewide WV | Taxation | West Virginia

WV Legislators Fast Track Fix of Severance Tax Exemption Loophole
March 27, 2013March 27, 2013

WV Senate Bill 638, introduced on Monday, appears to be on a fast track through the state Senate. The bill would repeal severance tax exemptions for some natural gas wells. In 2000, legislators enacted severance tax exemptions to encourage older natural gas wells that were not producing to re-open. Many of the operators of those wells are mom and pop, small-time operators—so legislators passed a law that said in essence, “If a well has been dormant more than five years, re-open it and we’ll suspend severance taxes on its production for the next 10 years.”

Legislators are now concerned that huge energy companies drilling for shale gas may decide to shut-in a well for five years to let prices rise and then re-open it and get 10 years of tax-free production. Hence Senate Bill 638, to repeal the older legislation and fix the loophole. The balancing act is to not throw the baby out (production from small-time vertical wells) with the bathwater (big-time horizontal shale wells)…

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Industrywide Issues | Lycoming County | Pennsylvania | Regulation | Taxation

PA Gov. Corbett Visits Airport Being Renovated with Impact Fee $
March 27, 2013March 27, 2013

Yesterday, PA Gov. Tom Corbett took a quick trip to tour and host a meet & greet at the Lycoming County Airport (Williamsport, PA). The purpose of the trip was to crow a bit about passing the new Act 13 shale oil and gas drilling law last year, which has resulted in $204 million in new revenue to the state from impact fees. Some of the impact fee money is being used to help fund a $13.6 million renovation project at the Lycoming County Airport.

The governor’s office issued the following press release about the event:

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Hydraulic Fracturing | Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

PA Supreme Court Resignation Affects Act 13 Zoning Decision
March 26, 2013March 26, 2013

Landowners and drillers have been waiting since last year for the results of a case before the Pennsylvania Supreme Court. Early last year the PA legislature passed the most sweeping new oil and gas drilling regulations in decades, called Act 13. Part of Act 13 replaces a crazy quilt patchwork of local zoning regulations with a set of uniform state zoning regulations. Towns didn’t like being told they can no longer fiddle with where a well can and can’t be drilled in their borders, so just over one year ago they sued (see Lawsuit Filed: PA Towns Sue State over Marcellus Act 13 Law).

Lower courts ruled in favor of the towns, striking down the zoning provisions of Act 13. The state appealed (and expedited) the rulings all the way to the state Supreme Court. The Supremes heard arguments in October (see PA Supreme Court Hears Testimony on Act 13 Zoning). Since then? We’ve waited for their decision on this vitally important case. Now we have a new wrinkle. One of the Supreme Court justices, Joan Orie Melvin, is being removed from office following conviction for a minor offense (she used state staffers and office space to assist her campaign for the high court). That leaves six justices, and a 3-3 decision is no good, and a real possibility…

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Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation | Statewide NY

JLCNY Begins Fundraising for Lawsuit Against NY for “Takings”
March 26, 2013March 26, 2013

The 77,000 member Joint Landowners Coalition of New York (JLCNY) is kicking their lawsuit against the state into high gear and asking for donations to help fund litigation. You may recall MDN interviewed Scott Kurkoski, lead attorney for the JLCNY, about their plans to sue New York for “takings” back in February (see video and transcript here: 77K NY Landowners Prepare Lawsuit Against DEC). Since that time, the JLCNY has finalized their plans, all the while hoping New York would change course at the last minute. They finally, reluctantly decided the clock has run out (see JLCNY Loses Faith in Cuomo, Initiates Lawsuit over Fracking Rules).

The lawsuit groundwork is ready. What’s needed now are several good plaintiffs—and money. Hence the fundraising appeal issued yesterday:

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Hydraulic Fracturing | Industrywide Issues | Regulation | Research

EPA Appoints Panel of Experts to Review Fracking Study Due 2014
March 26, 2013March 26, 2013

The federal Environmental Protection Agency (EPA) is in the midst of a multi-year “research study” of hydraulic fracturing. The aim of the study is to find a way for the EPA to horn in on regulating oil and gas drilling—at the federal level—by using the federal Clean Water Act and Clean Air Act. The feds really really want to find a way to grab away the power to regulate oil and gas drilling from the individual states. The Constitution grants that right to the states alone.

Apparently the EPA study is progressing—to the point they announced yesterday an “independent” panel of experts to “peer review” the EPA’s final report, due in 2014. In advance of looking over the final report, the panel of 31 experts will “provide scientific feedback on EPA’s research in an open and transparent manner.” Yes, let’s hope it is open and transparent.

The EPA announcement from yesterday, including the names of those on the “independent” panel:

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Anti-Drilling/Fossil Fuel | Energy Services | GreenHunter Resources | Hydraulic Fracturing | Industrywide Issues | Marshall County | Regulation | Wastewater | West Virginia

Wheeling Councilwoman Vows to Prevent Frack Water Treatment Plant
March 26, 2013March 26, 2013

Less than two weeks ago, GreenHunter Water announced they had purchased a 10.8 acre barge terminal site in Wheeling, WV that sits along the Ohio River. GreenHunter has plans to convert the former gasoline storage facility into a shale wastewater handling and storage facility that will recycle wastewater so drillers can reuse it, or ship it by barge to other locations for disposal (see GreenHunter Buys Barge Terminal in Wheeling for Frack Wastewater).

GreenHunter made a mistake. They didn’t first approach Wheeling City Council to ask, “Mother, May I?” If they had, in all likelihood the outcome would have not been any different. At least one council member is strongly anti-drilling—Gloria Delbrugge (Democrat). She’s upset GreenHunter didn’t ask for permission first, and she’s pledging to stop the project altogether:

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Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Former PA DEP Sec. Hanger Blasts Interim Replacement for Krancer
March 25, 2013March 25, 2013

Last Friday Gov. Tom Corbett announced the disappointing resignation of PA PA Dept. of Environmental Protection (DEP) Sec. Michael Krancer (see Developing… PA DEP Sec. Krancer Resigns). In comments clearly tainted by his own run for governor against Corbett, former DEP Sec. John Hanger (who served under Gov. “Fast Eddie” Ed Rendell) blasted the temporary appointment of Corbett’s deputy chief of staff, E. Christopher Abruzzo, to serve as acting secretary while a new person is found to fill the position.

Hanger called Abruzzo’s appointment “bizarre and irresponsible”…

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Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Newspaper Wants New CSSD Drilling Standards Adopted as Law
March 25, 2013March 25, 2013

Right on cue and easily predicted, a left-leaning (mostly anti-drilling) mainstream newspaper, the Scranton Times-Tribune, has published an editorial not only endorsing the new Center for Sustainable Shale Development (see Important: Drillers & Enviros Form New Group, Launch Cert Program), they’ve breathlessly posited the “brilliant” idea that the standards proposed by the CSSD should be adopted as regulatory law throughout Pennsylvania. Which of course was the endgame all along…

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Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH

Ohio Enviros Not Happy with Sustainable Shale Center
March 25, 2013March 25, 2013

Last week MDN pointed out some of the initial reaction against the pronouncements of the newly formed and self-appointed Center for Sustainable Shale Development, or “CSSD” (see More Groups Weigh In For/Against New Sustainable Shale Center).

You can add the Ohio Environmental Council (OEC) to the list of those groups not in love with the CSSD, even though they haven’t bothered to read the CSSD’s standards yet. Why are they down on the CSSD? Because (pout, whine) they didn’t have a seat at the table. Then again, the OEC is calling for a moratorium on all drilling—an extremist and unreasonable position. Perhaps that’s why they weren’t invited…

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Anti-Drilling/Fossil Fuel | Hydraulic Fracturing | Industrywide Issues | New York | Orange County | Regulation | Sullivan County | Ulster County

List of Mid-Hudson Valley Towns & Companies Supporting Frack Ban
March 25, 2013March 25, 2013

In a recent article from a Middletown, NY newspaper we find a handy list of not only towns who have voted to ban fracking in the mid-Hudson Valley area, but also some of the businesses who have signed on as “friends of the court” to support the fracking bans of Dryden and Middlefield (see Town Frack Ban Cases Heard in NY Supreme Court Appellate Division). These are businesses you may want to consider avoiding in future business dealings—we know we would choose to not do business with them if we lived in Sullivan, Ulster or Orange counties…

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Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation | Statewide NY

Town Frack Ban Cases Heard in NY Supreme Court Appellate Division
March 22, 2013March 22, 2013

Yesterday, what happened in an Albany, NY courtroom was very important for all New York landowners. Four judges from the New York State Court Appellate Division heard the appeal of one driller and one landowner against two New York towns—Dryden and Middlefield—that have voted to permanently ban fracking within their borders, exercising what they call “home rule” (see Important Developments in NY Fracking Ban Court Cases for background on the two cases). According to a 1981 state law, towns are specifically prohibited from regulating oil and gas activities. The two cases hinge on whether or not “to ban” is “to regulate.”

Lawyers for the towns argued that precedent allows them to determine land use in their borders—they’re not trying to say how drilling should be done, they’re saying whether it should be done, so that’s not regulating. Lawyers for Norse Energy (suing Dryden) and dairy farmer Jennifer Huntington (suing Middlefield) argued the ban violates state law and the land use case cited as precedent by the town’s lawyers (allowing towns to prohibit gravel mining) is vastly different from mining natural gas and oil.

How did it go? Whose arguments seemed to prevail? Depends on whom you ask…

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Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Developing… PA DEP Sec. Krancer Resigns
March 22, 2013March 22, 2013

Big, late-breaking news as we go to press: Pennsylvania Dept. of Environmental Protection Secretary, Michael Krancer, is resigning his post effective April 15. The press release announcing his resignation states Krancer will return to private law practice and offers no further explanation. This is a surprising (to us) development…

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