Statewide PA

Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Litigation | Pennsylvania | Pipelines | Regulation | Statewide PA | Williams

PA AG Josh Shapiro Bashes Marcellus with Anti-Pipe Lawsuit Support
January 23, 2020January 23, 2020

PA Attorney General Josh Shapiro

Pennsylvania Attorney General Josh Shapiro is no friend of the Marcellus industry, and frankly, he’s no friend to PA landowners either. At every turn, Shapiro investigates and attempts to block the Marcellus industry in the state. The latest evidence: Shapiro has used the full weight of the entire state in signing on to an amicus (friend of the court) brief in a federal court case that challenges the approval of Atlantic Sunrise Pipeline–a Williams PA pipeline that’s been in the ground and operating since 2018.
Read More “PA AG Josh Shapiro Bashes Marcellus with Anti-Pipe Lawsuit Support”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA Enviro Quality Board Approves Massive Hike in Shale Permit Fee
January 22, 2020January 22, 2020

In Ohio, it costs drillers $5,500 to file for and receive a permit to drill a new shale well. In West Virginia, the cost is $10,150. In Pennsylvania, it has (until now) cost drillers $5,000 for a new shale well permit. Following a vote yesterday by the state Environmental Quality Board (EQB), that number is zooming to the top of the M-U list: $12,500 (2 1/2 times the previous fee). With current low gas prices, it’s pretty easy to predict new drilling permits in PA are going to crash and burn in 2020. The received wisdom is true: You always get less of what you tax more.
Read More “PA Enviro Quality Board Approves Massive Hike in Shale Permit Fee”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Big Green Launches Effort to Defeat PA Petchem Investment Bill
January 22, 2020January 22, 2020

In a coordinated attack on Pennsylvania House Bill (HB) 1100, aimed at attracting NEW petrochemical investment to the state, Big Green has launched a letter-writing campaign to newspapers to try and shame PA Senate Republicans into voting against the state’s future economic and jobs bonanza. Fat chance Big Green!
Read More “Big Green Launches Effort to Defeat PA Petchem Investment Bill”
Anti-Drilling/Fossil Fuel | Energy Services | Industrywide Issues | Litigation | Pennsylvania | Pipelines | Regulation | Statewide PA | Williams

PA Big Green Supports Lawsuit to Gut FERC re Pipe Approvals
January 22, 2020January 22, 2020

The sleaziest of Pennsylvania’s Big Green groups–THE Delaware Riverkeeper and PennFuture–have filed a “friend of the court” (amicus) brief in a federal lawsuit hoping they can help gut the Federal Energy Regulatory Commission by denying FERC the only way the agency has of combating these sleazy groups–something called a tolling order.
Read More “PA Big Green Supports Lawsuit to Gut FERC re Pipe Approvals”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Statewide PA

Another Marcellus Driller Converts to Electric Fracking
January 21, 2020February 3, 2020

Electric fracking (or e-fracking) continues to displace traditional fracking in the Marcellus/Utica. What’s the difference between the two? Traditional fracking uses diesel-fueled engines to produce electricity to power pressure pumps for hydraulic fracturing operations. Electric fracking uses natural gas from the well pad to power turbines to create electricity. Electric fracking fleets are roughly half the size of traditional diesel fleets–and a whole lot quieter.
Read More “Another Marcellus Driller Converts to Electric Fracking”
Electrical Generation | Industrywide Issues | Pennsylvania | Regulation | Statewide PA | Taxation

PA Rep. Metcalfe Calls Wolf “Rogue Governor” – Can’t Force RGGI
January 17, 2020January 17, 2020

The gloves are off in Harrisburg. We previously told you about Gov. Wolf’s plan to have PA join with northeastern states in the so-called Regional Greenhouse Gas Initiative (RGGI), a regional alliance to slap a carbon tax on natural gas-fired electric plants (see Gov. Wolf Goes Bonkers: EO Destroying Gas-Fired Elec, Carbon Tax). PA Rep. Daryl Metcalfe (Republican from Butler County, PA), Majority Chair of the House Environmental Resources and Energy Committee, sent a letter yesterday to the RGGI Executive Committee saying PA has a “rogue Governor” (his exact words) who lacks the authority to force PA to participate in RGGI without legislative approval.
Read More “PA Rep. Metcalfe Calls Wolf “Rogue Governor” – Can’t Force RGGI”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA House Introducing Bills to Terminate DRBC, SRBC Compacts
January 17, 2020January 17, 2020

PA Rep. Cris Dush, a Republican from Jefferson County, is about to introduce two bills that would either dissolve both the Delaware River Basin Commission (DRBC) and Susquehanna River Basin Commission (SRBC) or withdraw PA from both compacts.
Read More “PA House Introducing Bills to Terminate DRBC, SRBC Compacts”
Aqua America | Energy Services | Industrywide Issues | LDCs | M&A | Pennsylvania | Statewide PA

PA PUC Approves Aqua America Purchase of Peoples Gas for $4.3B
January 17, 2020January 17, 2020

Aqua America, the nation’s second-largest water/wastewater utility company headquartered near Philadelphia, announced in October 2018 it would buy Peoples Gas, the nation’s fifth-largest natural gas utility company headquartered in Pittsburgh, for $4.275 billion (see Aqua America Buys Peoples Gas for $4.3B – Old Pipes, Similar Nature). It took a while, but the last hurdle was cleared yesterday when the Pennsylvania Public Utility Commission gave its blessing on the deal.
Read More “PA PUC Approves Aqua America Purchase of Peoples Gas for $4.3B”
Energy Services | Energy Transfer Partners | Industrywide Issues | NGLs | Pennsylvania | Pipelines | Statewide PA

Mariner East Pipe Flips PA from Propane Shortage to Surplus
January 16, 2020January 16, 2020

Credit: Energy Transfer

The 2014 Polar Vortex event, when most of the U.S. was plunged into record low temps for an extended period, created a propane shortage for many. One of the states most affected by lack of propane during that event was…Pennsylvania! Should such an event hit again, PA is now in the clear, thanks to the Mariner East pipelines.
Read More “Mariner East Pipe Flips PA from Propane Shortage to Surplus”
Anti-Drilling/Fossil Fuel | CNG/LNG | Industrywide Issues | Maryland | New York | Pennsylvania | Statewide MD | Statewide NY | Statewide PA

16 Democrat State AGs Oppose Trump Plan to Ship LNG via Rail
January 15, 2020January 16, 2020

Last April President Trump issued an Executive Order directing the Secretary of Transportation to write a new rule allowing specially constructed tanker cars for railroads (DOT-113 tank cars) to ship LNG, i.e., liquefied natural gas (see Here Come the “Bomb Trains” – Trump to Allow LNG by Rail). The U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA), in coordination with the Federal Railroad Administration (FRA), issued a “Notice of Proposed Rulemaking” (draft regulations) to move the process forward in October (see US DOT Gets Serious About LNG by Rail – Publishes Proposed Rules). Monday was the final day for comments on the proposed rules. Unsurprisingly 16 uber-partisan Democrat state attorneys general filed a joint letter opposing the new regs.
Read More “16 Democrat State AGs Oppose Trump Plan to Ship LNG via Rail”
Industrywide Issues | Lease & Royalty Payments | Pennsylvania | Research | Statewide PA

New IFO Report: PA Shale Drillers Paid $1.5B in Royalties in 2017
January 14, 2020January 14, 2020

Just coming to light for us now is a report issued by the Pennsylvania Independent Fiscal Office (IFO) that estimates the amount of gas production royalties paid by drillers to landowners for calendar year 2017 (the most recent year available). It’s a fascinating report that breaks down royalty payments by the eight top gas-producing counties in the state. You may be surprised to learn the county producing the most natural gas in the state (Susquehanna County) does NOT, in fact, pay out the most in landowner royalties.
Read More “New IFO Report: PA Shale Drillers Paid $1.5B in Royalties in 2017”
Energy Services | Energy Transfer Partners | Industrywide Issues | Litigation | Pennsylvania | Pipelines | Regulation | Statewide PA

3rd Lawsuit Filed Against Energy Transfer re Mariner Corruption
January 14, 2020January 14, 2020

MDN previously told you about unconfirmed rumors that the FBI is investigating the PA Gov. Tom Wolf administration over how permits came to be issued for the Mariner East 2 pipeline project (see FBI Investigates Wolf Admin for Corruption re ME Pipe Permits). The allegation/rumor is that Wolf and/or members of his staff pressured the Dept. of Environmental Protection (DEP) to approve permits for the pipeline project in return for something (money or something else). Two different law firms seized on the rumor as reason enough to launch speculative class action lawsuits for shareholders, accusing Energy Transfer (the builder) of corruption (see 2nd Class Action Lawsuit Against ET/Sunoco re Mariner East Pipe). A third such lawsuit was filed last week–this one by a public employee retirement fund.
Read More “3rd Lawsuit Filed Against Energy Transfer re Mariner Corruption”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA

Bill Separating PA Conventional from Shale Regs Advances in Senate
January 14, 2020January 14, 2020

For years Pennsylvania’s small, independent conventional oil and gas drillers have objected to the one-size-fits-all regulations concocted by the Gov. Tom Wolf Administration that applies the same regulations to them as to big shale drillers. The two types of drilling are apples and oranges. To make small drillers jump through the same hoops as big shale drillers will bankrupt many of the smaller drillers. So in 2016, PA’s conventional drillers filed a lawsuit to block Wolf’s new regs from going into effect (see PA Conventional Drillers File Lawsuit to Stop New DEP Regulations).
Read More “Bill Separating PA Conventional from Shale Regs Advances in Senate”
Industrywide Issues | Pennsylvania | Statewide PA | Taxation

IFO Projects 2019 PA Impact Fee Revenue Fell by $53.6M (21%)
January 10, 2020January 10, 2020

In 2019 Pennsylvania raised a record high of $247 million from its version of a severance tax, called an impact fee, based on drilling activity from 2018 (see PA IFO Report Says Record High Impact Tax for 2018 – $247M). The state’s Independent Fiscal Office (IFO) is out with projections for how much revenue will be raised this year (based on drilling in 2019). Given we hit a downturn last year, you won’t be surprised to learn the impact fee will drop by $53.6 million (21%), to a projected $198.2 million.
Read More “IFO Projects 2019 PA Impact Fee Revenue Fell by $53.6M (21%)”
Bradford County | Industrywide Issues | Leatherstocking Gas | M&A | Pennsylvania | Pipelines | Statewide PA | Susquehanna County

Corning Gas Buys Out JV Partner in PA Leatherstocking Gas & Pipe
January 10, 2020January 10, 2020

Corning Natural Gas (based in Corning, NY) has a 50% joint venture partnership in Leatherstocking Gas Company and Leatherstocking Pipeline Company with another Upstate NY-based company, Mirabito. Leatherstocking runs gas mains to residents and businesses in small, mainly rural communities–like Montrose, PA (see PA Rural Residents Burn Marcellus Gas, Save Big Bucks on Heating). Corning announced yesterday they are buying out Mirabito’s 50% interest on the PA side of the border.
Read More “Corning Gas Buys Out JV Partner in PA Leatherstocking Gas & Pipe”
Industrywide Issues | Pennsylvania | Regulation | Statewide PA

PA DEP to Finalize 250% Hike in Shale Permit Fee on Jan 21
January 8, 2020January 8, 2020

Pennsylvania Gov. Tom Wolf’s Dept. of Environmental Protection (DEP), the agency charged with overseeing oil and gas drilling in the state, “blindsided” the shale industry in February 2018 with a proposal to hike the fee required when submitting an application to drill a new shale well by 2 1/2 times, or 250% (see PA DEP Plans to Raise Marcellus Well Permit Fee by 250%). The industry reacted, negatively. It’s taken nearly two years, but on Jan. 21 the DEP’s Environmental Quality Board will meet to finalize and activate the new insanely high fee schedule.
Read More “PA DEP to Finalize 250% Hike in Shale Permit Fee on Jan 21”