Posts Tagged ‘General Assembly’

County approves new wells

By Elizabeth Skrapits (Staff Writer)
Published: August 4, 2010

WILKES-BARRE – The Luzerne County Zoning Hearing Board on Tuesday night approved new natural gas wells and a facility for processing the gas, but added safety conditions.

Zoning hearing board members William Harris, Anthony Palischak and Chairman Lawrence Newman unanimously granted Encana Oil & Gas USA Inc. conditional use to drill five natural gas wells in an agricultural zone on the 4-P Realty property on Loyalville Road in Lake Township, as well as a natural gas processing facility that would include a compressor station and a radio tower.

Among the conditions the board imposed, Encana will have to determine whether the county’s emergency responders will be able to handle problems at the site, and to draw up a contingency plan to share with all concerned.

Encana will have to mitigate noise, light and dust at the site, as well as provide a traffic control plan, bond all county and municipal roads, and consider safety measures for school buses, such as having flagmen at bus stops.

The board also granted conditional approval on Encana’s request to drill three wells on the Kent North site at 208 State Route 118 in Fairmount Township, and two wells on the Kent South site at 27 State Route 487 in Fairmount Township.

The commissioners’ meeting room at the courthouse was jammed with people, many of whom expressed opposition to natural gas drilling.

Zoning hearing board Solicitor Stephen A. Menn repeatedly stressed that the state Oil and Gas Act does not allow local officials to regulate most aspects of natural gas well drilling, including how it is done and water use and protection.

“In what ways has the Oil and Gas Act tied your hands?” Factoryville resident Patrick Walker asked.

“Health, safety and welfare issues,” Menn said.

Like with methadone clinics and adult entertainment, zoning cannot exclude natural gas drilling, according to Menn.

“Drilling is a legal use. You have to put it somewhere,” Menn said.

The place people should seek change is Harrisburg, in laws passed by the General Assembly.

“I think it is an absolute horror, I think this is a version of fascism, that this power has been taken away from you,” Walker said.

Several residents questioned safety issues, such as the 6,800 additional trucks on the road throughout the well drilling process.

Lake-Lehman Transportation Coordinator Sandy Dobrowolski, speaking on her own behalf, expressed concern about the school buses being on the roads at the same time as the heavy traffic at the site.

Paul Ungvarsky, who lives on Loyalville Road about a mile from the 4-P property, asked if something could be done to ensure trucks don’t speed on the road. Encana Community Relations Adviser Wendy Wiedenbeck said it seemed like a reasonable request.

Ungvarsky also wanted to know what would happen if a property isn’t leased. He said his isn’t.

“If it’s unleased, we cannot drill under it,” Encana Operations Engineer Joel Fox said.

Linster added that Encana has “quite a bit of room to work with” on the 4-P site.

Mike Patrician of Clarks Summit, one of the 4-P property owners, spoke on Encana’s behalf, saying he had talked to five different companies at length about leasing.

“People are not all the same, gas companies are not all the same,” he said. “Encana has a stellar reputation in the industry.”

Gary Ide, who has leased his Lehman Township property, also defended Encana, stating that leaseholders were “extraordinarily impressed” with the company.

But Gene Stilp of Dauphin County, in referencing Patrician’s comment, said: “People are different, companies are different – frack water is pretty much the same.”

eskrapits@citizensvoice.com , 570-821-2072

View article here.

Copyright:  The Citizens Voice 

All Wet on Fair Pooling

Fair Pooling protects the environment, reduces environmental footprints, and generates more revenue for environmental programs – so why do environmentalists oppose it?

CANONSBURG – When is an environmentalist not an environmentalist? How about when he sends a letter to lawmakers in Harrisburg demanding they reject a proposal that would result in greater efficiency in developing clean-burning natural gas from the Marcellus, far less disturbance to land while doing it, and millions in revenue for state programs to protect and preserve the environment?

Unfortunately, that’s precisely the letter that members of the General Assembly received this week – sent by a coalition of more than 30 groups that claim to support all the things that a Fair Pooling statute in Pennsylvania would make possible (smaller footprints and more revenue, especially), but nonetheless stand in opposition to the adoption of the actual plan.

Of course, virtually every energy-producing state in America has fair pooling protection on the books – and for good reason. Fair pooling allows for “equitable and efficient development of [natural gas] while preventing the drilling of unnecessary wells,” according to Michigan’s Department of Environmental Quality – “at the same time, it protects an owner from having his or her oil and gas drained without compensation.”

The Harvard Law Review agrees: “Pooling is important in the prevention of drilling of unnecessary and uneconomic wells, which will usually result in physical and economic waste.” That line comes from an article on efforts to conserve oil and natural gas published in the Review back in 1952.

So if these environmental groups can’t defend their opposition to Fair Pooling onenvironmental grounds, what arguments do they use instead? See below a quick side-by-side of the charges leveled by these groups’ compared with the actual facts of what Fair Pooling is, and what it is not.

Activists search for reasons to oppose Fair Pooling … … Even though Fair Pooling is a clear win for PA’s environment and landowners
“[P]ooling … would force property owners in Pennsylvania to lease their mineral rights to a gas company…”

(Letter from Myron Arnowitt to General Assembly, PA Campaign for Clean Water; co-signed by 30 others; June 29, 2010)

Fair pooling isn’t about forcing anyone to do anything. It’s about creating an equitable system that allows private landowners to exercise their private mineral rights for the benefit of themselves and their families.

Landowners who decide not to lease will not be considered leasees, nor will they see a rig on their property or an inch of their land disturbed. The only thing they will see? A check in their mailbox each month.

“Some landowners have decided they do not want to lease their mineral rights … The oil and gas industry would like the General Assembly to overturn the landowners’ decisions.” (letter) Once again, they have it exactly backwards. Landowners who don’t want to lease their land for Marcellus development will not be forced to lease their land under Fair Pooling. But they also won’t be allowed to deny their neighbors that same choice.

Click Here for MSC’s fact sheet on Fair Pooling.

“It has been argued that … pooling would result in a less disruptive and more environmentally protective approach to drilling for natural gas in the Marcellus Shale. However, there is no evidence that … pooling diminishes environmental impact. … [P]ooling should not result in forced pollution.” (letter) No evidence?

The principle of Fair Pooling as a tool of oil and gas conservation and environmental protection is as old the development of energy itself – and “a vital regulatory tool created to conserve oil and gas, protect correlative rights and prevent waste,” according toTexas Tech University (in case you don’t believe theHarvard Law Review or the state of Michigan).

“[Pooling] essentially extends the concept of eminent domain but instead of using private property for the public good, it takes private property for private gain.” (letter)

Copyright: Marcelluscoalition.org

For the small minority of landowners who have not leased, conservation pooling ensures two important outcomes: (1) a fair share of royalties (whereas, under current law, gas can be extracted from under their property without any compensation); and, (2) a guarantee of no surface interference (i.e., no drill, no pipelines, no roads, etc.).

MSC: Budget Agreement a Win for PA’s Economy, Environment

Marcellus producers express commitment to working with lawmakers on comprehensive tax, regulatory and legislative plan for the future

CANONSBURG, Pa. – Earlier today, Gov. Ed Rendell signed a budget plan for 2010-2011 that recognizes the critical contributions that natural gas producers are making in Pennsylvania. The new budget, the product of months of hard work by members of the General Assembly, does not include new taxes on Marcellus Shale employers – but does include a commitment by our elected leaders to conduct a comprehensive evaluation of how best to seize on the opportunities of the Marcellus in the future, and do so in a manner that benefits all Pennsylvanians.

Subsequent to the governor’s signing today, Marcellus Shale Coalition (MSC) president and executive director Kathryn Klaber issued the following statement in strong support of the plan:

“Today’s announcement represents a positive step forward. The MSC has said from the start that it was going to take more than hard work and favorable geology to leverage the once-in-a-lifetime opportunity of the Marcellus into jobs, revenue and long-term energy affordability for all Pennsylvanians.

“To do this, and do it right, we need an updated and modernized regulatory and legislative framework, and a fair tax strategy that keeps our state ahead of the curve in attracting the investment needed to bring these resources to the surface. Today, Pennsylvania announced its intention to compete for these opportunities. And we are pleased to have played a role in working with the legislature to get this process started on the right path.

“MSC members will continue to be key participants in this iterative, ongoing process, working alongside the General Assembly, the Administration and stakeholders across the Commonwealth to put our state in the best possible position to seize on the extraordinary opportunities of the Marcellus. And when it comes to that objective, there’s nothing more important than having a tax, regulatory and legislative framework in place that’s collaborative in its approach, and comprehensive in its design. Today’s agreement moves us one step closer toward the realization of such a plan.”

NOTE: As reported last week in the Towanda Daily Review, Bradford County currently ranks among the top job-producing counties in the state – a surge in employment that’s directly tied to the responsible development of the Marcellus Shale in the area. All told, Bradford Co. added more than 2,000 workers to the job rolls over the past 12 months, even as more than 60 other counties in Pennsylvania experienced a loss in jobs over that time.

Copyright: Marcelluscoalition.org

MSC: Tax Hike on Marcellus Shale Job Creation the Wrong Approach

Group urges commonsense reforms, dialogue aimed at safely expanding natural gas development, jobs in Pa.

Canonsburg, Pa. – The Pennsylvania state House of Representatives is currently considering what would be the nation’s most onerous taxes on the environmentally responsible development of clean-burning, job-creating natural gas from the Commonwealth’s Marcellus Shale formation. Kathryn Klaber, president and executive director of the Marcellus Shale Coalition (MSC), issued this statement:

“Pennsylvanians continue to face troubling economic times, with nearly one out of every ten citizens in the Commonwealth out of work today.

“Despite this difficult climate, the environmentally-safe development of the Marcellus Shale’s natural gas resources continues to create tens of thousands of good-paying jobs at a time when they’re most needed. This responsible development is not only generating hundreds of millions of dollars in tax revenue for state and local governments, but it’s also delivering clean-burning, homegrown energy supplies to struggling families in the form of affordable natural gas for home and water heaters, as well electricity.

“We will continue to work closely with the General Assembly, the governor and his administration, as well as county and local officials, to craft commonsense solutions – especially modernizing our outdated regulatory framework – that encourage competitiveness, expanded job creation and energy security.

“Unfortunately, this enormous tax hike and misguided call for blanket moratoriums on shale gas production not only put Pennsylvania on a path to become one of the least competitive energy-producing states in the country but also threatens critical capital investments, which are essential for continued job growth. Instituting new taxes and an unnecessary moratorium will only drive away jobs – what a missed opportunity that would be.”

Copyright: Marcelluscoalition.org

MSC: Advancements in Technology Expanding Water Recycling Capabilities

MSC president cites need for commonsense TDS regulations

Canonsburg, Pa. – The responsible use, treatment and stewardship of the Commonwealth’s water resources are among the most important considerations involved in the development of clean-burning natural gas from shale. As a result, the Marcellus Shale Coalition (MSC) – whose members represent 100 percent of the shale gas producers throughout Pennsylvania – counts among the industry’s major accomplishments the tremendous increase in recycling of shale water. Today’s meeting at Reserved Environmental Services facility features one example of the many facilities the industry is using to achieve its high recycle rates, reducing the amount of water used at each Marcellus well and decreasing the overall discharge volumes.

“Protecting the Commonwealth’s rivers, streams and tributaries remains a top priority for the MSC. New technologies allow our members to recycle on average nearly 60 percent of the produced water used in this tightly regulated process. And because of these technologies – which continue to advance by the day – some MSC members are recycling nearly 100 percent of their water,” said Kathryn Klaber, president and executive director of the MSC.

New regulations sought by the Pennsylvania Department of Environmental Protection (DEP) call for an “end of pipe”, 500 milligrams per liter cap on the concentration of total dissolved solids (TDS) in the disposal of produced water. These proposed regulations, which are now pending before the Independent Regulatory Review Commission, could create a host of unintended consequences — as virtually no water treatment facilities across the Commonwealth could meet this threshold.

In fact, the Reserved Environmental Services facility is not currently capable of treating produced water at the discharge standards in the pending regulation, and will not have that capability before the effective date of the that regulation. For context, San Pellegrino Mineral Water’s TDS concentration is nearly twice the level of what these proposed regulations would require.

“As the safe and steady development of the Marcellus Shale continues to generate jobs, revenue and opportunity for the Commonwealth, the MSC stands ready, willing and eager – as always – to partner with DEP, the governor and the General Assembly to ensure this opportunity is seized upon in the safest, most beneficial manner for residents of the state and for our environment,” Klaber said. “Unfortunately, the new TDS rules represents a bump in that road and require more work to actually solve the TDS issues they are purported to address — but one we hope will be smoothed out along the path to an energy future to which we will continue to contribute, and of which we can be proud.”

READ MORE

Copyright: Marcelluscoalition.org

Area races seeing little gas money

That situation could shift, says co-author of study of political donations.

By Andrew M. Sederaseder@timesleader.com
Times Leader Staff Writer

While natural gas companies and their related political action committees have given millions of dollars to elected officials throughout Pennsylvania since 2001, the donations have not flowed as heavily into the coffers of politicians serving Luzerne County.

One of the authors of a report that looked at the correlation of campaign contributions and legislation related to the natural gas drilling industry predicted they soon will.

A study released this week by the non-profit organization Pennsylvania Common Cause, takes a look at the link between gas firms and political donations and finds that since 2001, the industry has contributed $2.8 million to political candidates in Pennsylvania.

The study, titled “Deep Drilling, Deep Pockets” also reports that since 2007 the industry has spent $4.2 million to lobby members of the state legislature and the Rendell administration.

“I think part of the industry’s success is cultivating people at the very top,” said James Browning, director of development for Pennsylvania Common Cause and one of two men who put the report together.

The report includes a list of the top 25 recipients of the funding from Jan. 1, 2001 through April of 2010. At the top of the list is state Attorney General Tom Corbett, a Republican candidate for governor. He received $361,207, according to the report. Two previous gubernatorial candidates also made the list – Mike Fisher, who lost his bid in 2002, accepted $98,386, and Lynn Swan, who lost his bid in 2006, took in $351,263. Both men are Republicans.

Gov. Ed Rendell is sixth on the list. The Democrat from Philadelphia has accepted $84,100 in campaign contributions over the past nine and a third years. Current Democratic candidates for governor Dan Onorato, $59,300 and Jack Wagner, $44,550, ranked seventh and 10th respectively.

Others on the list include current and former judges, a former lieutenant governor, a candidate this year for that same post, a former candidate for the state House and numerous current members of the General Assembly.

Not one of the seven state House members or four state senators who represent Luzerne County made the top 25 list. In fact, according to records on the Department of State website and those provided by Pennsylvania Common Cause, campaigns for four of the seven House members did not receive one dime from the gas companies. The four are: Jim Wansacz, D-Old Forge; Phyllis Mundy, D-Kingston; Eddie Day Pashinski, D-Wilkes-Barre; and Mike Carroll, D-Avoca.

Rep. Karen Boback, R-Harveys Lake, accepted $250 from Chesapeake Energy Corp. Fed PAC on Oct. 9, 2009. Boback said that money was accepted by mistake and returned two months later. She said it is her policy “not to solicit or accept contributions from oil or gas companies.”

Rep. John Yudichak, D-Plymouth Twp., accepted $250 on April 10, 2008, from the PAC affiliated with Dominion Energy. Rep. Todd A. Eachus, D-Butler Township, accepted $500 from EQT Corp. PAC on July 2, 2009; $500 from EXCO Resources PAC on Oct. 20, 2008; and $250 from Equitable Resources, Inc. PAC on Sept. 30, 2008.

Of the four senators who represent a portion of Luzerne County, Bob Mellow, D-Peckville, took in the most at $3,000. That encompasses eight total donations, four from the Equitable Resources, Inc. Political Involvement Committee totaling $1,750 and four from the NFG PA PAC, affiliated with Seneca Resources, totaling $1,250. He declined comment through a spokeswoman, saying that he had not yet seen the report.

Sen. John Gordner, R-Berwick, accepted three donations of $500 from Dominion PAC. One came in 2004, another in 2006 and the third in 2008. His term does not expire for another two years.

Sen. Ray Musto, D-Pittston Township, accepted $500 from the Marathon Oil Co. Employees PAC on Oct. 20, 2008. Earlier this year, the veteran lawmaker announced he was retiring and not seeking another term in Harrisburg.

Sen. Lisa Baker, R-Lehman Township, accepted three donations at $500 apiece. One came from Cabot Oil and Gas on April 22, 2009; another was from EXCO Resources PAC on Nov. 19, 2008; and on April, 22, 2009, she accepted one from NFG PA PAC.

Browning said that as pressure from the public is placed on officials to tax the industry and approve more regulations, the elected officials at all levels of government, even those in non-leadership positions, will begin to see the money.

“I will predict that as there are more votes and as drilling expands, the money will come,” Browning said.

It will not head to Baker anymore.

The senator, who is seeking her second term in office this year, said, “Because of the sensitivity of the issues revolving around gas drilling, I am not asking for contributions from the gas drilling interests, nor am I accepting them.”

Barry Kauffman, executive director for Pennsylvania Common Cause, said the report illustrates the “power of political money in the governing process.” He said that as discussions about securing access to state forest land for drilling and severance taxes on natural gas production have popped up the past two years, lobbyist and campaign contribution spending have increased. The results have been no taxes have been approved and the state leased state land for drillers.

Baker said that she votes in response to her constituents, not her contributors.

“My legislative decision-making takes into account a variety of factors, but campaign contributions are never one of them. If anyone who contributes believes they are gaining special access or assuring a result, they will be sorely disappointed. That no-connection principle applies irrespective of the size of the contribution,” Baker said.

Andrew M. Seder, a Times Leader staff writer, may be reached at 570-829-7269.

Coyright: Times Leader

Boback introduces bill to study laws of gas drilling

Rep. Karen Boback (R-Columbia/Luzerne/Wyoming) announced recently that she has introduced legislation to direct the Legislative Budget and Finance Committee (LBFC) to perform a comprehensive study of the Commonwealth’s current laws and regulations governing the development of natural gas within the Marcellus Shale formation.

“As the unprecedented interest in this natural resource continues to grow, it is important for us to take stock of the laws and regulations we have on the books to ensure that we are effectively protecting our citizens and our environment from the potentially harmful impact of natural gas drilling,” said Boback. “If the study uncovers disparities or weaknesses in our laws and regulations, the Legislature can promptly move to address them.”

House Resolution 729 would direct the LBFC to conduct the study and report its findings, along with recommendations for updates, to the General Assembly. The resolution has been referred to the House Environmental Resources and Energy Committee.

Boback noted that the Marcellus Shale region covers 60 percent of the Commonwealth and the drilling that is taking place into the shale is deeper than was possible when many of the laws regulating the industry were written.

“There is a lot at stake for Pennsylvania when it comes to the Marcellus Shale,” said Boback. “It is important that we take a reasoned and informed approach to addressing the issue of drilling. Responsible drilling must be our foremost concern.”

Copyright: Times Leader

Energy co. says no to natural gas drilling at Moon Lake

County officials had been negotiating with EnCana Oil & Gas USA Inc. of Denver.

By Steve Mocarskysmocarsky@timesleader.com
Staff Writer

An energy company that plans to drill for natural gas in the Back Mountain has advised Luzerne County officials that the company will not pursue a lease for natural gas drilling at Moon Lake Park.

County officials had been negotiating with EnCana Oil & Gas USA Inc. of Denver to drill at the park and tap lake water needed to help fracture rock to release gas.

“The county informed us of their interest in entering into a lease for the development of natural gas resources on the Moon Lake property,” EnCana spokeswoman Wendy Weidenbeck said in an e-mail.

Weidenbeck said that as with any business opportunity, companies must evaluate multiple factors to help guide their decisions.

“We carefully considered the potential needs of our business and concerns over the development of natural gas resources on recreational property. After careful consideration, we have decided that we will not pursue a lease to drill for natural gas resources on the Moon Lake property,” she said.

Commissioner Chairwoman Maryanne Petrilla said she has been out of the office after knee surgery and had not yet been briefed on the issue.

Commissioner Thomas Cooney said he had not talked with EnCana officials and that Gibbons had alerted him to the news on Friday.

Cooney said other energy companies might be interested in exploration at the county-owned park and the development of a request for proposals was not out of the question. However, “there has been no conversation leading that way right now,” he said.

Cooney said he did not know how far along talks about selling water from the lake at Moon Lake Park have come. But if the county were to negotiate the sale of water, there would have to be appraisals and bidding and permits would have to be secured, he said.

The park’s 48-acre, spring-fed lake holds millions of gallons of water and is 13.5 feet in its deepest spot, county officials have said. All park water drainage pipes also feed into the lake.

Cooney said he thinks the reaction of the Sierra Club to drilling at Moon Lake probably influenced EnCana’s decision.

An official with the Sierra Club’s Northeastern Pennsylvania chapter said in February that county commissioners didn’t have legal authority to allow natural gas drilling at the park, which is located in Plymouth Township.

Frank Muraca, who sits on the organization’s executive committee, had said much of the park land was purchased with state and federal funds in the 1960s through a program known as the Project 70 Land Acquisition and Borrowing Act.

Lands acquired through the act must be used for recreation, conservation and historical purposes unless approval is granted by the General Assembly, the governor and the state Department of Conservation and Natural Resources. Muraca had said he also found other legal and zoning stumbling blocks that would have to be met to allow drilling.

Muraca had initially presented the information to Commissioner Stephen A. Urban, who has said he couldn’t comment on Muraca’s assertions until he did his own research. He has said he is supportive of “responsible” drilling on county property to generate needed revenue.

Urban did not return a message seeking comment for this story.

The park officially closed Jan. 28 because commissioners stripped funding for staff and other expenses from the 2010 budget, saying that they could not justify non-essential expenses with a property tax increase.

Petrilla has said she is willing to consider any offer to generate revenue, as long as the park’s recreational atmosphere is not compromised. She also has said she would not support any offers that would drain or pollute the lake.

Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.

Copyright: Times Leader