Pennsylvania

Industrywide Issues | Lackawanna County | Luzerne County | Pennsylvania | Susquehanna County | Taxation | Wayne County | Wyoming County (PA)

How Much Revenue will NE PA Counties Get from Impact Fee?
February 13, 2012February 13, 2012

Pennsylvania’s northeastern counties stand to bring in millions of new revenue this year under the impact fee that Gov. Corbett is soon due to sign. Once the legislation is signed, county governments will have 60 days to decide whether or not to adopt an ordinance adopting the new fee structure, along with the restrictions it imposes on a county’s ability to regulate drilling via zoning (see this MDN story). Each county is allowed to keep 60 percent of the total impact fee collected. The other 40 percent? That goes to the state. The 40 percent is the “spread the wealth around” compromise lawmakers needed to strike in order to pass the legislation.

Here’s a rundown on how much in new revenue northeastern PA counties stand to collect in direct fees, the 60 percent portion:

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Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Taxation

PA’s New Tax on Drilling (er Sorry, Impact Fee)
February 13, 2012February 13, 2012

The new Marcellus drilling legislation passed by the Pennsylvania House and Senate (both controlled by Republicans), and due to be signed by Gov. Tom Corbett (also a Republican) is a great milestone. It places new restrictions on drilling and makes regulation of drilling across the state more even-handed. There are many things to like about the new legislation.

But it’s also a disappointment. The so-called impact fee is really just a tax trying to fly under the radar as a fee. Why a tax? Because the fee as originally proposed would stay in the areas where drilling happens, where drilling is having an “impact.” If a municipality has to repair roads, or spend more on emergency services and policing, or hire extra workers in government offices—that extra expense should be reimbursed. That’s what an impact fee is supposed to do.

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Accidents | Bradford County | Chesapeake Energy | Energy Companies | Industrywide Issues | Pennsylvania | Potter County

PA DEP Fines Chesapeake Energy $565K for Three Violations
February 10, 2012February 10, 2012

The Pennsylvania Department of Environmental Protection (DEP) yesterday fined Chesapeake Energy a total of $565,000 for major violations at three Marcellus Shale wells in Potter and Bradford counties in 2010 and 2011.

From the DEP press release:

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Allegheny County | Hydraulic Fracturing | Industrywide Issues | Pennsylvania

DOE Sec. Chu Goes to Pittsburgh, Promotes Shale Gas Drilling
February 10, 2012February 10, 2012

Secretary of the U.S. Department of Energy (DOE), Steven Chu, visited Pittsburgh on Wednesday. Part of his visit was to (sort of) promote shale gas drilling. Among other things, Mr. Chu said hydraulic fracturing can be done “in an environmentally responsible way.”

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Centre County | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Statewide PA

Pro & Anti Drilling Increasingly Divides Along Party Lines
February 10, 2012February 10, 2012

With the new Pennsylvania law to regulate Marcellus drilling about to be signed by Gov. Tom Corbett, counties are already gearing up to vote on whether or not to accept the new impact fee provided for in the legislation. Although support or lack of support for Marcellus and Utica drilling cuts across political party lines, increasingly it tends to be Republicans in favor of drilling, and Democrats against. Take Centre County (State College area, smack in the very middle of PA) as an example, where commissioners are already planning a vote.

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Hydraulic Fracturing | Industrywide Issues | Lackawanna County | Pennsylvania | Regulation

NE PA Town Votes to Prohibit Drilling, Approve Wind Farms
February 10, 2012February 10, 2012

Officials in Spring Brook Township (Lackawanna County), PA voted last night to prohibit shale gas drilling in half of the township while at the same time they approved designated areas for commercial wind farms. Those same officials acknowledged their vote to ban gas drilling may be meaningless under the newly passed Marcellus drilling state law about to be signed by Gov. Corbett, but they went ahead and voted anyway, having worked a year-and-a-half on the new zoning changes.

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Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Statewide PA

Former PA DEP Head Says Fracking Doesn’t Contaminate Aquifers
February 9, 2012February 9, 2012

Former PA Department of Environmental Protection Secretary John Hanger has been known to be a sharp critic of the drilling industry. He minces no words. If he believes drillers have caused a problem, he calls them out. Equally, he doesn’t shy away from defending hydraulic fracturing as the best, and safest, way of mining natural gas. He states outright that Marcellus fracking has never, not once, contaminated a water aquifer with chemicals.

Hanger is quoted extensively in an article on fracking hysteria in today’s New York Post:

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

Key Dates/Events for New PA Impact Fee
February 9, 2012February 9, 2012

With the passage of the new Marcellus drilling law in Pennsylvania that establishes an impact fee, what happens next? The StateImpact website has a helpful timeline, which includes:

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

New Marcellus Drilling Law Passes PA House, Awaits Gov’s Sig
February 9, 2012February 9, 2012

New Marcellus drilling legislation passed the Pennsylvania House yesterday by a vote of 101-90. The same measure passed the PA Senate earlier this week by a vote of 31-19. The only thing left before it becomes law is a signature by Gov. Tom Corbett, who said he looks forward to signing it. The new law will establish, for the first time in PA, a per-well-drilled impact fee. The fee is assessed on a sliding scale from $40,000 to $60,000 for the first year, decreasing each year for a 15-year period after that. The new law also tightens environmental regulations.

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

PennEnvironment Says Ban PA Drilling Based on Violations Data
February 9, 2012February 9, 2012

PennEnvironment released a study yesterday of what they call “environmental violations” by Marcellus Shale drillers in Pennsylvania for the past four years (a copy of the study is embedded below). It is a skewed analysis of citations issued by the state Department of Environmental Protection (DEP) from 2008 to 2011. By PennEnvironment’s own admission, about one-third of the 3,355 DEP violations over the past four years are paperwork-related.

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

Green Groups Split on Support for New PA Drilling Law
February 8, 2012February 8, 2012

New drilling legislation, including an impact fee, has passed the Pennsylvania Senate and debate began last night in the PA House. Debate will continue today. Passage is expected this week, perhaps as early as today. As MDN pointed out yesterday, the mostly anti-drilling organization Pennsylvania Environmental Council (PEC) gave the new legislation a lukewarm, half-hearted endorsement as “the best thing we can get right now” (see this MDN story).

However, the mostly anti-drilling Chesapeake Bay Foundation (CBF), which works closely with the PEC, gave the legislation a more positive endorsement, calling it “a tremendous step forward.” From the CBF press release:

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Landowner Coalition News | Pennsylvania | Somerset County

Southwest PA Landowner Group Forms with 11,300 Acres
February 8, 2012February 8, 2012

A group of landowners in Somerset County, PA (southwestern part of the state) has formed and is looking to lease a block of 11,300 acres of land for shale oil and gas drilling. The group is called the Casselman Valley Landowner Group and is conducting meetings to recruit new members.

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

PEC’s Lukewarm Statement of Support for New PA Drilling Law
February 7, 2012February 7, 2012

The mostly anti-drilling organization Pennsylvania Environmental Council (PEC) issued an interesting statement yesterday, commenting on new Marcellus drilling legislation that will likely be passed and signed into law this week in PA. Here is the entire press release:

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Industrywide Issues | Pennsylvania | Statewide PA | Taxation

New Deal on Marcellus Shale Well Impact Fee in PA
February 6, 2012February 6, 2012

Pennsylvania legislators in both the PA House and Senate have debated for months on passage of new Marcellus drilling legislation. The main sticking point has been a local impact fee. Last week, Gov. Tom Corbett, a Republican now in his second year in office, sent the Republican-controlled legislature a “hurry up and get it done” letter. Legislators were busy finalizing details over the weekend and a plan has now emerged. Likely to be voted on this week, the plan calls for the amount of the fee to vary depending on the rate of inflation and the commodity price of natural gas.

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Industrywide Issues | Lackawanna County | Landfills | Pennsylvania

Scranton Landfill Applies for Permit to Mill Marcellus Cuttings
February 6, 2012February 6, 2012

For years, the Keystone Sanitary Landfill, a privately owned and operated municipal solid waste landfill located in Dunmore, PA (a Scranton suburb) has accepted already-processed cuttings, or rock waste, from Marcellus Shale drillers. The landfill filed a permit application in December with the state Department of Environmental Protection (DEP) that would allow it to accept unprocessed cuttings—cuttings in a non-solid form—and mix it with a lime-based material to solidify it. The process of mixing it is called milling.

The landfill uses milled cuttings as a soil replacement to cover the landfill at the end of each day.

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Energy Companies | Industrywide Issues | Ohio | Pennsylvania | Processing Plants | Shell | Statewide OH | Statewide PA | Statewide WV | West Virginia

Waiting Game: Cracker Plants Talk to Property Owners
February 3, 2012February 3, 2012

West Virginia, Pennsylvania and Ohio are all in the hunt to land an ethane cracker plant in their respective states (see the long list of MDN stories on a potential cracker plant in the Marcellus/Utica Shale region). According to WV Commerce Secretary Keith Burdette, Shell and another unnamed company are now in talks with private property owners. That is, the deals are now being negotiated, and it’s a waiting game to see the outcome.

All three states have offered huge tax incentives to land the plant. Shell originally set January for an announcement, but changed it a few weeks ago to be February.

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