Regulation 410 - Marcellus Drilling News

Ohio Passes New Drilling Law, Gov. Kasich Will Sign

May 25, 2012May 25, 2012

Ohio’s new shale oil and gas drilling legislation (SB 315) has now passed both the House (73-19) and the Senate (21-8) and is on the way to Gov. John Kasich’s desk for his signature, which it will receive. The bill as passed is 220 pages long and wide-ranging in its scope, covering not only shale oil and gas extraction, but renewable energy, water conservation, and wastewater treatment. The bill reportedly contains some of the strictest rules in the nation for hydraulic fracturing.

So what’s in the bill? MDN doubts you want to read through 220 pages to find out. Embedded below is the 70-page summary overview version. However, here’s a few brief highlights of what’s in it:

Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH

Anti-Driller Groups in Ohio Don’t Like Being Legally Neutered

May 24, 2012May 24, 2012

scalpel Ohio legislators have been working to craft new shale oil and gas drilling rules that will do more to protect the environment, and at the same time, help protect the fledgling shale drilling industry in the state. New legislation passed in committee yesterday that will now go to the full House includes a provision to help prevent frivolous lawsuits brought by deep-pocketed anti-drilling groups, like the Ohio Environmental Council and the Sierra Club. These groups, who are opposed to expanded use of fossil fuels, use the legal system to tie up shale drillers in court and force them to spend huge sums of money as a tactic to reduce fossil fuel mining and use.

When the Ohio House added a protection against such shenanigans, predictably the anti-drillers objected.

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

NY DEC Chief Martens Says Fracking Can be Done Safely

May 24, 2012May 24, 2012

Finally, one thing that Joe Martens has said publicly that MDN fully agrees with. Martens, for those new to the drilling debate in New York, is the Commissioner of the Department of Environmental Conservation—the organization that is tasked with regulating oil and gas drilling in the state. Martens is also the former long-time president of the Open Spaces Institute, an organization dedicated to stopping development of land. Strange choice by Andy Cuomo to run the organization tasked with developing the state’s land. But whatever.

Here’s what Martens said at a conference yesterday in New York City:

Hydraulic Fracturing | Industrywide Issues | Regulation

Sierra Club Hindering Change from Coal to Natural Gas

May 23, 2012May 23, 2012

In what can only be described as idiotic, the Sierra Club is actively preventing utility companies from converting electrical generating plants from coal to natural gas—because they don’t like fracking. This kind of stuff has to stop.

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

NY Towns Pass Resolution They WON’T Ban Fracking

May 21, 2012May 21, 2012

Tired of New York municipalities passing ill-advised bans on fracking, and hoping to increase the chances that landowners will be “first in line” for permits when they are finally issued, a group of landowners in New York have launched a campaign to get municipalities to pass a non-binding resolution that they will not enact a ban on fracking—and it’s working.

Hydraulic Fracturing | Industrywide Issues | Regulation

Vermont Becomes First State to Ban Fracking

May 17, 2012May 17, 2012

In a purely symbolic gesture, Vermont has become the first (and likely only) state in union to ban hydraulic fracturing. Gov. Peter Shumlin signed the law yesterday with a crowd of grade school students from Twinfield Union School who have been brainwashed by their teachers into thinking fossil fuels are evil. The ban is symbolic because there is no oil or gas underneath Vermont to drill for.

Chemung County | Hydraulic Fracturing | Industrywide Issues | New York | Regulation

Another New York Town Considers Fracking Ban

May 11, 2012May 11, 2012

Yet another New York town, this one squarely in the Marcellus Shale “hot zone” of the Southern Tier area (Chemung County), is considering a ban on fracking if the state moves forward with allowing it.

Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Taxation

PA PUC Adopts Guidelines for Impact Fee Collection/Disbursement

May 11, 2012May 11, 2012

The Pennsylvania Public Utility Commission (PUC) yesterday finalized provisions of Act 13 of 2012 related to the collection and disbursement of the impact fee for unconventional natural gas well drilling. Known as Chapter 23 of Act 13, the PUC voted 5-0 to finalize the procedures they would use to implement, collect and distribute the impact fee. A copy of the “Chapter 23 Final Implementation Order” as adopted is embedded below.

Because of an active lawsuit by seven townships and others against zoning provisions in Act 13 (known as Chapter 33 of Act 13), the PUC delayed action on that section of the new law.

Industrywide Issues | Litigation | Pennsylvania | Regulation | Statewide PA

PA Act 13 Zoning Lawsuit Goes to Trial in June

May 10, 2012May 10, 2012

An update on the Act 13 lawsuit filed by seven Pennsylvania municipalities and the Delaware Riverkeeper Network at the end of March (see this MDN story). Act 13 is a set of new drilling rules and regulations adopted by the PA legislature and signed by Gov. Tom Corbett in February of this year. Part of the new regs included a statute that says state rules on zoning for oil and gas drilling supersede or override local zoning laws. The seven towns and Riverkeeper sued to stop that portion of the new law and Commonwealth Court Judge Keith Quigley granted a temporary, 120 day injunction (see this MDN story).

The case will now be heard by the full nine-member Commonwealth Court between June 4-8. That’s big news. But there’s even bigger news:

Hydraulic Fracturing | Industrywide Issues | Regulation

Vermont will Become First State to Ban Fracking

May 9, 2012May 9, 2012

Not that it matters beyond PR value, but Vermont will become the first state to ban the practice of hydraulic fracturing, either later this week or next:

Industrywide Issues | Ohio | Regulation | Statewide OH | Utica Shale

Ohio DNR Hires 70 New Field Inspectors for Utica Shale

May 9, 2012May 9, 2012

In yet another sign that Utica Shale drilling for oil and gas is rapidly expanding in Ohio, the Ohio Department of Natural Resources (ODNR) has hired and is training 70 new field inspectors to help with the well permitting and reviews.

Hydraulic Fracturing | Industrywide Issues | Ohio | Regulation | Statewide OH

OH Legislators Vote to Approve New Drilling Rules

May 8, 2012May 7, 2012

The Ohio Joint Committee on Agency Rule Review, a committee made up of five Ohio State Representatives and five Ohio State Senators, has approved new rules for constructing oil and gas wells in the state. They also approved new guidelines for Utica and Marcellus Shale drilling permits.

Hydraulic Fracturing | Industrywide Issues | Regulation

BLM Issues Proposed New Rule for Fracking Federal Lands

May 7, 2012May 7, 2012

On Friday, the Department of Interior’s Bureau of Land Management (BLM) released the long anticipated new rule for hydraulic fracturing on federally-owned and Indian-owned land (see a copy of the proposed new rule embedded below). The question for MDN readers is, does this have any impact on drilling in the Marcellus and Utica Shale? The answer to that question is…

Broome County | Hydraulic Fracturing | Industrywide Issues | New York | Regulation

NY Town Votes NOT to Ban Drilling (!)

May 7, 2012May 7, 2012

In a somewhat unique turnabout, some townships in New York State are voting to not adopt a gas drilling ban, preferring to let the state complete it’s now four-year-long review process before making any decisions about drilling. One of those towns is Colesville:

Unproductive PA Wells Still Liable for Partial Impact Fee

May 7, 2012May 7, 2012

The price for drilling a Marcellus Shale gas well in Pennsylvania that “misses” and is not economically viable may have just gotten a lot steeper. It looks like the state Public Utility Commission (PUC), charged with collecting and distributing the new impact fee under Act 13, is going to levy the fee on exploratory wells that end up not being productive and plugged.

Hydraulic Fracturing | Industrywide Issues | Regulation

EPA Issues Draft Rule on Using Diesel Fuel in Fracking Fluid

May 7, 2012May 7, 2012

Friday was document-dump day at the federal government. In addition to the Bureau of Land Management’s new hydraulic fracturing on federal land proposed rule (see this MDN story), the Environmental Protection Agency issued a new policy, or “Guidance” as they call it, for granting drilling permits to drillers who want to use diesel fuel as a component in their fracking fluid mix (a copy of the new Guidance is embedded below).