NARUC Creates Group to Spread NatGas Use Far and Wide
The National Association of Regulatory Utility Commissioners has just established a new Presidential Natural Gas Access and Expansion Task Force. Its purpose? To figure out how to get cheap, abundant, clean-burning natural gas to people that don’t have it now–those in poor and rural communities. According to NARUC, many rural communities (which comprise residential, industrial and commercial customers) lack access to low-cost natural gas because of infrastructure issues. They don’t have local distribution pipelines. Those communities rely on bottled propane, heating oil and other more expensive fuels. Why not give them cheap natural gas? That’s the aim–figure out how to get it done. The cool thing is that NARUC is headed up by Pennsylvania Public Utilities Commission member Rob Powelson–the same guy under consideration to become a new FERC Commissioner. Go Rob! Figure out how to spread cheap Marcellus/Utica natgas to as many people as possible…
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As MDN reported last week, the battle lines have been drawn and both sides have come out swinging in a battle over whether ratepayers should bail out economically failing nuclear power plants (see 
“You never let a serious crisis go to waste.” That sentiment was famously mouthed by Rahm Emaneul, first chief of staff during Barack Hussein Obama’s reign of terror, later (and still) the highly unpopular mayor of Chicago. That philosophy also applies to other leftists, like anti-driller Ray Kemble, who lives in Dimock Township, PA. Kemble has been trying to shake down Cabot Oil & Gas for big bucks for years. Kemble, whose property has multiple junk cars on it, claims after Cabot began drilling (in 2008) his water well began producing black water. He blamed Cabot–even though junkyards are notorious for leaking nasty chemicals. Years ago Kemble, who has been seen at just about every anti-fracking rally from here to Timbuktu carrying a little brown jug of supposedly tainted well water, settled with Cabot. But a couple of Kemble’s neighbors did not settle. They sued and, in a sham trial, won a jury award of $4.2 million (see 
It seems the controversy in Pennsylvania over the Snyder Brothers’ strippers isn’t going to end any time soon. No, not those kinds of strippers, silly! We’re talking about stripper wells, which are defined in PA as wells that produce less than 90 thousand cubic feet (Mcf) for a one month period. Stripper wells are vertical wells that don’t produce nearly as much gas as horizontal shale wells. In 2012 PA passed the Act 13 law that includes a fee on wells targeting shale layers, including the Marcellus. And here’s where it gets a little complicated. Snyder Brothers drills mostly conventional (vertical only) wells. In 2011-2012 they drilled 45 vertical-only wells, but targeting the Marcellus (all of them fracked). Initially those wells produced more than 90 Mcf/month, but by December of the year they were drilled, they produced less than 90 Mcf. The way the 2012 Act 13 law is written, if a well produces less than 90 Mcf/month for “any” month it is considered a stripper well and exempt from paying the impact fee. The state’s Public Utility Commission (PUC) assessed the fee anyway because for 11 months the wells produced more than 90 Mcf. The argument back and forth is whether the intent was “any single month” or not as the trigger to exempt a well from paying the fee. Snyder Brothers went to court and in March, they won, exempting those wells from impact fees (see 
We’ve previously reported on the story of two Pennsylvania towns that were either hoodwinked, or perhaps willing led astray, by the radical Community Environmental Legal Defense Fund (CELDF) into passing (now overturned) bans on fracking and injection wells in their towns–Highland Twp (Elk County) and Grant Twp (Indiana County). The two townships thought they would do an end-run around the state’s authority to issue permits for two injection wells–one in each township, by re-incorporating under so-called home rule charters. The towns essentially declared themselves independent of the state for a variety of matters, including oil and gas permits–which the PA state constitution clearly says is a function of ONLY the state Dept. of Environmental Protection. In March, the DEP issued final permits to each town, and at the same time sued each town to get those portions of their home rule charters, dealing with oil and gas, overturned (see 
Last December the Pennsylvania Dept. of Environmental Protection (DEP) said it would go on a “listening tour” in early 2017, to focus on so-called environmental justice–whatever that is (see 
MDN spotted an announcement issue by the Pennsylvania Dept. of Environmental Protection (DEP) stating they’ve assessed a $185,000 fine on the Constellation Pipeline and its builder EM Energy (i.e. EdgeMarc) for a series of violations when building the pipeline in 2014-2015. That sent us digging. We don’t recall a Constellation Pipeline (and we’ve been writing MDN since 2009). What is the pipeline? Where, in PA, is it located? What is its purpose? We think we found most of the answers…
For months MDN has encouraged its readers to get behind and support Williams’ Atlantic Sunrise Pipeline project–a $3 billion, 198-mile pipeline project running through 10 Pennsylvania counties to connect Marcellus Shale natural gas from northeastern PA with the Williams’ Transco pipeline in southern Lancaster County. In February the Federal Energy Regulatory Commission (FERC) gave its final seal of approval for the project (see 
As MDN pointed out in a post on Monday, the uncompetitive nuclear power generating industry is trying to protect its business by asking for special protections and a “bailout” from ratepayers in state after state (see 
The Pittsburgh, PA region has been truly blessed by the Marcellus Shale industry. Largely because of the Marcellus, last year (2016) saw the biggest year ever for capital investment in the 10-county Pittsburgh region–a mind-blowing $10.2 billion of investment! It is the highest capital investment in a single year ever. Now mind you, not all of that money actually got invested last year. Some of it will come in dribs and drabs over the next several years. But all of that $10.2 billion was committed to in 2016. Last week the Pittsburgh Regional Alliance (PRA) issued its annual Business Investment Scorecard. The report (read it below) finds that more than half of last year’s capital investments pledged to Pittsburgh region came from a single project–the $6 billion Shell ethane cracker. The report also found another $3.11 billion worth of investment related to shale gas (processing plants, gas-fired power plants, etc.). Add it all together, and over $9 billion of the $10.2 billion committed last year is due to the Marcellus industry. To which we say, Pittsburgh should bow down and kiss some shale rock…
Each year the Ben Franklin Shale Gas Innovation and Commercialization Center (SGICC) conducts a contest to locate companies with the best shale energy-oriented innovations, new product ideas, or service concepts that are either in the development stage or recently launched. The Shale Gas Innovation Contest awards a $20,000 prize to three companies–$60,000 purse. Ten finalists have been chosen for this year’s contest. Exciting! We have the announcement, along with a description of each company and their truly innovative products and services, below. If you’re anywhere near the orbit of Pittsburgh, there will be a ceremony for the winners with a free reception on May 9th at the Hilton Garden Inn in Southpointe…
Two weeks ago MDN brought you the news that not only has the Pennsylvania Dept. of Environmental Protection (DEP) issued final permits for two new injection wells in the state, they also sued the two townships where those permits were granted because the towns had adopted home rule laws that are illegal, in contravention to state law that give power to permit and control injection wells to the DEP only–not to local municipalities (see 
An MDN reader and friend recently forwarded along an email newsletter from the ALLARM Shale Gas Program. ALLARM stands for Alliance for Aquatic Resource Monitoring. With the rapid growth of the Marcellus industry in Pennsylvania shale drilling in neighboring states, “concerned citizens” wanted ways to collect data on water quality impacts from shale gas activities. As a response to requests from communities, ALLARM developed a volunteer-friendly protocol in 2010 to assess small streams for the early detection and reporting of surface water contamination by shale gas extraction activities. Volunteers (i.e. anti-drillers) monitor water quality throughout the year, including conductivity, barium, strontium, and total dissolved solids–and physical parameters, including stream stage and visual observations prior to, during, and after shale gas well development. Monitors also participate in a quality assurance, quality control program which includes in-person trainings, routine meter calibration, and sample testing via split-sample analysis two times a year. Since they began monitoring local streams, nearly 5,000 observations have been logged. And what have we learned from all of this monitoring? That shale gas drilling is safe for local streams…
On Friday the Federal Energy Regulatory Commission (FERC) finally, after delaying a decision three times adding an extra eight months, issued a final Environmental Impact Statement (EIS) for the PennEast Pipeline project. We should add, it was a favorable EIS. While FERC found (as they always do) that there would be “some adverse environmental impacts” from the project, those impacts “would be reduced to less than significant levels” with PennEast’s proposed construction plans. This is a major milestone and all but assures the project will now go forward and will be built and go into service sometime in 2018. What potential roadblocks remain? For one, PennEast will need water crossing permits from New Jersey, which they filed for last week (see 
The Baker Hughes rig count in the U.S. continued to rocket skyward in March. In January the average number of U.S. rigs was 683. In February, the count zoomed to 744, up 61 rigs in just a month. And in March, the U.S. rig count zoomed to 789, up another 45 rigs in a month. Each active rig translates into hundreds of jobs, both directly working at the rig and indirectly in services delivered to the rig and its workers. It also means more landowners will soon have royalty payments heading in their direction. When rigs are active, life is good. What about rig counts in the Marcellus/Utica? Disappointingly our region’s rig count lost a rig in March. PA lost two rigs, OH gained a rig, and WV stayed even. What does it all mean? It means that this zooming up in rig counts is happening in other locations–primarily in the Permian Basin in Texas. That is, oil rigs rushing to take advantage of an increase crude prices to a sustained $50+/barrel. While we’re happy the rig count is up, we’re not happy more it is not happening in the northeast. But honestly, without pipelines to take away an increase in production, can you blame our drillers? Once there is more takeaway capacity, you’ll see rig counts begin to climb again in our neck of the woods…