New PA Bill Gives Shale Landowners Same Tax Breaks as Investors

Pennsylvania mineral rights owners (i.e., landowners) are about to get a well-deserved tax break. Thanks to a bill recently passed by the PA legislature, Senate Bill (SB) 654, individual landowners will receive the same tax benefits afforded to investors. If a company buys mineral rights and the right to receive royalty payments from oil and gas well production, the company, under IRS rules, gets to claim a simple percentage depletion allowance. Essentially, the company only pays income tax on 85% of the royalties it receives. Under SB 654, that same allowance will now apply to landowners in PA.
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Last fall, MDN shared the sad news that Pennsylvania State Rep. Charity Grimm Krupa (Republican In Name Only from Fayette County) had turned against the Marcellus industry (see
The Republican platform is a breath of fresh air with respect to where our country needs to go with its energy policies. You may or may not agree with some of the non-energy planks in the platform, but if you support oil and gas, you will LOVE what this document says about energy. In fact, of the 5,000 or so words in the Republican platform, 400 of them (8%) deal in some way with energy. Below, we have a copy of the full platform and a review of those sections that deal with energy. You’re gonna love it!
A MAJOR victory for Pennsylvania Republicans that is not getting the attention it should. For years, PA State Sen. Gene Yaw and others have lobbied for review by qualified third parties to speed up the turnaround time to approve relatively simple permits issued by the Dept. of Environmental Protection (DEP), including earth disturbance/erosion permits, known as Chapter 102 permits, and water obstruction and encroachment permits, known as Chapter 105 permits (see 
A civil war in the Pennsylvania environmental movement is not getting any attention from mainstream media. Why are we not surprised? We told you about the civil war earlier this week (see
Permitting in Pennsylvania overseen by the Dept. of Environmental Protection (DEP) has been a hot mess for years. A Chapter 102 Erosion and Sedimentation permit sometimes takes two, three, or even six to eight months for approval — instead of the law-mandated 14 days. It got so bad that in the fall of 2019, PA State Sen. Gene Yaw introduced a bill to allow third-party reviews of these permits to speed up approvals (see
EPA Administrator Michael Regan used a considerable amount of fossil energy and emitted tons of carbon dioxide to jet over to Dubai last December to participate in the COP28 confab, where he released a final rule that was “two years in the making” to force the U.S. oil and gas industry to cut methane emissions by using budget-busting new technologies and onerous (frequent) inspections (see
In April, the Ohio Oil and Gas Commission upheld a regulatory order from the Ohio Dept. of Natural Resources (ODNR) suspending operations of three wastewater injection wells located in Torch (Athens County), OH, owned by K&H Partners, a subsidiary of Tallgrass Energy (see
Pennsylvania Democrat leftists face a conundrum. Do they listen to one set of environmentalist wackos, including the Pennsylvania Environmental Council, Environmental Defense Fund, Nature Conservancy, and Clean Air Task Force? Or do they listen to a different set (on the same ideological side of the aisle), including Better Path Coalition, 350 Pittsburgh, 412 Justice, the Center for Coalfield Justice, and the Clean Air Council? Two weeks ago, the first set of wackos threw their support behind PA Senate Bill (SB) 831, the Carbon Capture & Sequestration (CCS) Act (see
Williams’ Regional Energy Access Expansion (REAE) project involves expanding the mighty Transco pipeline in Pennsylvania and New Jersey to deliver an extra 829 MMcf/d of Marcellus gas to PA, NJ, and Maryland. Part of the project was completed and went online last year (see
As we mentioned in a companion post today, the Williams Transco Regional Energy Access Expansion (REAE) project recently received permission from the Federal Energy Regulatory Commission (FERC) to begin operations for another segment of the REAE project, flowing an extra 130 MMcf/d of natural gas to Pennsylvania, New Jersey, and Maryland (see FERC OKs Request to Place More of Regional Energy Access Online). However, yesterday, Williams suffered a minor legal setback related to the REAE project.
Nearly one year ago, in August 2023, MDN brought you an update on the KeyState Natural Gas Synthesis project in Clinton County, PA (see
Yesterday, MDN brought you the news the U.S. Supreme Court rendered a decision that overturned a 40-year-old case establishing the leftist utopian administrative state, colloquially called the Chevron deference case (see