Posts Tagged ‘Energy In Depth’

Casey slips ‘fracking’ rules into energy bill

BY BORYS KRAWCZENIUK (STAFF WRITER)
Published: July 29, 2010

A provision to require disclosure of all chemicals used in fracturing Marcellus Shale to extract natural gas could wind up as part of the scaled-down national energy bill the U.S. Senate might consider soon.

Sen. Bob Casey said he convinced Senate Majority Leader Harry Reid to fold disclosure provisions of his Fracturing Responsibility and Awareness of Chemicals Act into the energy bill.

“It’s a great breakthrough,” he said. “It’s a substantial step forward. … It gives people information they wouldn’t have otherwise about what’s happening underneath their property.”

Senate leaders are hoping to pass the bill before the summer recess Aug. 6, after realizing they did not have the votes to pass a more comprehensive energy bill. Even if the smaller energy bill gets through the Senate, the House would have to pass it before President Barack Obama can sign it. Neither is assured.

Industry groups said the fracturing chemicals are already well known to the public and state regulators, and further disclosure would harm the development of natural gas.

“We fundamentally believe that regulation of hydraulic fracturing is best addressed at the state level, and we have been unable to reach a consensus with congressional advocates on how this program would be overseen by the federal government,” America’s Natural Gas Alliance said in a statement.

Congress and the federal Environmental Protection Agency are studying whether the chemicals used in hydraulic fracturing of shale contaminate drinking water.

Energy In Depth, an industry group, argues regulation should be left to states, which “have effectively regulated hydraulic fracturing for over 40 years with no confirmed incidents of groundwater contamination associated with (fracturing) activities.”

At public meetings on gas drilling, local residents regularly dispute the claim.

Though the industry argues the chemicals it uses are well known, a Times-Tribune investigation determined that DEP scientists who analyzed spilled fracturing chemicals at a Susquehanna County well site in September found 10 compounds never disclosed on the drilling contractor’s material safety data sheet.

None of the 10 was included in a state Department of Environmental Protection list of chemicals used in fracturing, a list developed by the industry. When DEP posted a new list earlier this month, none of the 10 was on it.

Mr. Casey dismissed the industry criticism.

“That’s why I called it a substantial step forward, if they’re attacking it,” he said. “If they’re feeling that this is giving information to people that they are reluctant to disclose, that’s why I think it’s an important change, and it’s progress on an issue that some would have thought would have taken years to get done.”

Mr. Casey’s legislation would amend the federal Emergency Planning and Community Right-to-Know Act, which requires employers to disclose what hazardous chemicals they use.

The amendments would require:

– Well-drilling operators to disclose to state regulators and the public a list of chemicals used in fracturing, commonly known as fracking. The requirement would cover chemical constituents but not chemical formulas whose manufacturers are allowed by law to keep the formulas secret, according to Mr. Casey’s office.

– Disclosure to be specific to each well.

– Disclosure of secret formulas or chemical constituents to doctors or nurses treating a contamination victim in an emergency.

– An end to thresholds for reporting chemicals normally required by law so all amounts of chemicals are reported.

In an analysis of the legislation, Energy In Depth said it would “chill” investment in innovations in fracturing and place “unrealistic burdens” on natural gas producers by requiring them to disclose secret chemical compounds whose composition they legally can know nothing about.

In an interview, DEP Secretary John Hanger said he welcomed the federal legislation, argued Pennsylvania already requires more disclosure than his bill and believes companies should disclose the volume and mix of chemicals they use in fracking.

Contact the writer: bkrawczeniuk@timesshamrock.com

View article here.

Copyright:  The Scranton Times

Natural-gas severance tax mulled

Citing crime rise, truck-damaged roads, Rendell eyes fee. Drillers argue economic benefits ignored.

STEVE MOCARSKY smocarsky@timesleader.com

Pennsylvania’s state police commissioner on Monday raised concerns about an increase in crime associated with the natural gas industry, including the failure of some sex offenders employed by drilling companies to properly register in the state.

 Gov. Ed Rendell’s office cited those crime problems as well as road damage caused by overweight and unsafe trucks serving the natural gas industry as just two reasons a state severance tax should be imposed on the industry.

In a press release from Rendell’s office in Harrisburg, state police Commissioner Frank Pawlowski reported more arrests and incidents involving drugs, assaults and illegal weapons in northern Pennsylvania, where much of the drilling into the Marcellus Shale is taking place in the state.

“More and more, it seems the police reports coming out of the northern tier include arrests because of drug use and trafficking, fights involving rig workers, DUIs and weapons being brought into the state and not registered properly,” Pawlowski said.

“We’ve even encountered situations where drilling company employees who have been convicted of a sexual assault in another state come here to work and do not register with our Megan’s Law website. Each of these issues is unacceptable and places an even greater burden on our law enforcement and local social programs meant to help those in need,” he said.

Another aspect providing additional challenges to troopers working in the northern tier are overweight and unsafe trucks, Pawlowski said.

Pennsylvania Department of Transportation Secretary Allen D. Biehler said hundreds of miles of secondary roads in the northern tier have been damaged or made impassable because of heavy truck traffic associated with drilling activities. And while drilling companies have committed to repairing roads they use, Biehler said, their efforts have not kept pace with the damage in a number of cases.

“In a few cases, such as in Bradford and Tioga counties, we’ve had to close roads and revoke a drilling company’s permit to use those roads because repairs were not made in a timely manner. The condition of some of these roads has made travel a safety concern,” Biehler said.

PennDOT has ordered drilling companies to post bonds for 1,711 miles of roads, and that number is expected to double this year. Drilling companies have posted $16.1 million in security for bonded roads.

Pawlowski attributed much of the road damage to overweight trucks serving the gas industry. He cited a Feb. 9 enforcement effort in Susquehanna County that found 56 percent of 194 trucks checked were found to be over the weight limit. Fifty percent of those trucks were also cited for safety violations.

“These trucks are large and heavy, so for the sake of those drivers sharing the road with them, it’s important that they follow the law,” Pawlowski said. “We’re monitoring these roads closely and targeting areas where we know drilling-related traffic is heaviest, but it’s still important that anyone witnessing unsafe behavior on the part of drilling companies or their drivers report it to the state police.”

Pawlowski and Biehler both said the state and local governments need additional resources to address the problems that have accompanied the arrival of drilling companies.

Rendell has proposed a severance tax, which he says will ensure that the industry “pays its fair share and helps support the programs and services the state, counties and municipalities must provide to accommodate their presence.”

Under Rendell’s plan, the state would take in about $1.8 billion during the next five years, with $180 million of that being shared directly with local governments in areas where there is drilling activity. Local governments could then use those funds to repair roads and other infrastructure, bolster local law enforcement efforts or provide programs to help those in need.

A representative of Energy in Depth – an organization representing natural gas and oil producers – says state officials are ignoring the economic benefits of the industry when considering the severance tax issue.

“There used to be a time, and it probably wasn’t too long ago, when states were thankful for industries that found a way to create tens of thousands of new jobs and billions in annual revenue – especially during a deep recession,” Chris Tucker, a spokesman for Energy In Depth, said in an e-mailed response.

“If this is the way that state administrators show their thanks for bringing enormous economic opportunities to the Commonwealth, they sure have a funny way of showing it,” Tucker said.

Tucker also believes Pawlowski is using too broad a brush to paint an unfair picture of natural gas industry workers.

“The explicit suggestion by the state police that all natural gas workers in the state are a bunch of common criminals is especially reproachable and should be retracted and apologized for immediately,” Tucker said.

Copyright The Times Leader