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EPA Is Bashed Over Fracking
Congressman says federal agency can’t wait to regulate
By CASEY JUNKINS Staff Writer
PITTSBURGH – At least one Pennsylvania congressman will not support the FRAC Act this year, as Republican Bill Shuster said federal officials will stop natural gas drilling if they can.
Referring to the U.S. Environmental Protection Agency, Shuster said, “If the EPA can regulate fracking, they will come in here and shut everything down.”
Shuster made his comments at the Marcellus Midstream Conference and Exhibition in Pittsburgh this week. The convention drew natural gas drillers, pipeline builders and other related business representatives from as far away as Utah, Colorado, Texas and Norway.
Sen. Robert Casey, D-Pa., and Rep. Diana DeGette, D-Colo., have reintroduced the bill formally known as the Fracturing Responsibility and Awareness of Chemicals Act, or FRAC Act. Similar legislation that calls for the EPA to regulate the process of hydraulic fracturing, or fracking, failed to pass in the last Congress.
The bill would:
- Require disclosure of the chemicals used in fracking, but not the proprietary chemical formula. This would be similar to how a soft drink producer must reveal the ingredients of their product, but not the specific formula.
- Repeal a provision added to the Energy Policy Act of 2005 exempting the industry from complying with the Safe Drinking Water Act. Some anti-fracking advocates have commonly referred to this 2005 provision as the “Halliburton Loophole.”
- Provide power to the Occupational Safety and Health Administration to require drillers to have an employee, knowledgeable in responding to emergency situations, present at the well at all times during the exploration or drilling phase.
Shuster said drilling regulations should be left up to the individual states. Furthermore, he not only opposes the FRAC Act, but said, “Bureaucrats in the Army Corps of Engineers are now trying to regulate the natural gas industry.”
“We won’t stand for it,” he said of the corps’ work.
“If the public pushback on this industry is strong, you are going to see regulations you don’t like,” Shuster warned the gas industry leaders.
Shuster, however, said he appreciates the concerns of Pennsylvania residents regarding gas activity, noting, “The coal companies came through here and destroyed our land and left behind acid mine drainage. People are very suspicious of energy production in Pennsylvania.”
However, Shuster thanked the gas industry leaders for their commitments because he believes the business can “reinvigorate Pennsylvania.”
As for the potential fracking regulations, officials with Chesapeake Energy said about 99.5 percent of the 5.6 million gallons of fluid used to hydraulically fracture one of their typical Marcellus Shale natural gas well consists of water and sand.
According to Chesapeake, the company’s most common fracking solution contains 0.5 percent worth of chemicals. These include:
- hydrochloric acid – found in swimming pool cleaner, and used to help crack the rock;
- ethylene glycol – found in antifreeze, and used to prevent scale deposits in the pipe;
- isopropanol – found in deodorant, and used to reduce surface tension;
- glutaraldehyde – found in disinfectant, and used to eliminate bacteria;
- petroleum distillate – found in cosmetics, and used to minimize friction;
- guar gum – found in common household products, and used to suspend the sand;
- ammonium persulfate – found in hair coloring, and used to delay the breakdown of guar gum;
- formamide – found in pharmaceuticals, and used to prevent corrosion of the well casing;
- borate salts – found in laundry detergent, and used to maintain fluid viscosity under high temperatures;
- citric acid – found in soft drinks, and used to prevent precipitation of metal;
- potassium chloride – found in medicine and salt substitutes, and used to prevent fluid from interacting with soil;
- sodium or potassium carbonate – found in laundry detergent, and used to balance acidic substances.
Bipartisan Policy Center, American Clean Skies Foundation Report Emphasizes Imperative to Safely Leverage U.S. Natural Gas
Report: American natural gas a “winning proposition for consumers, America’s economy, the environment, our nation’s energy security”
Canonsburg, Pa. – A jointly sponsored Bipartisan Policy Center and American Clean Skies Foundation report released today touts the unprecedented potential of American natural gas to dramatically bolster domestic supplies, reduce carbon emissions and improve national energy security. The 76 page report, entitled “Task Force On Ensuring Stable Natural Gas Markets,” was crafted through the work of a broad Task Force made up of “industry participants and experts, including industrial consumers, electric utilities, independent and integrated gas producers, chemical companies, public utility regulators, environmental experts, financial analysts and consumer advocates.”
Kathryn Klaber, president and executive director of the Marcellus Shale Coalition (MSC), issued this statement regarding the report’s findings:
“The hard work over the past year by so many involved in this undertaking was incredibly worthwhile. Having such strong and independent voices clearly lay out the fact that the responsible development of our abundant natural gas resources is ‘a winning proposition for consumers, for America’s economy, the environment, and our nation’s energy security’ is positive news by any measure. And with so much uncertainty throughout the economy, including the global energy landscape, these findings only strengthen the fact that America’s clean-burning natural gas resources will play an increasingly critical role in meeting our future energy challenges.”
Key report excerpts:
- “The United States recently became the world’s largest natural gas producer. … Technology advances combined with new shale gas discoveries have more than tripled estimates of the nation’s economically recoverable natural gas resources. … Expanding our use of this comparatively clean–burning, domestic fuel in an efficient manner is a winning proposition for consumers, for America’s economy and industrial competitiveness, for the environment, and for our nation’s energy security.”
- “The Marcellus shale, extending from Virginia in the south to New York to the north, is the largest shale resource, conservatively estimated to be approximately 700 Tcf.”
- “Government policy at the federal, state and municipal level should encourage and facilitate the development of domestic natural gas resources.”
- “Policies that discourage the development of domestic natural gas resources” will cause “adverse effects on the stability of natural gas prices and investment decisions by energy-intensive manufacturers.”
- “The efficient use of natural gas has the potential to reduce harmful air emissions, improve energy security, and increase operating rates and levels of capital investment in energy-intensive industries.”
- “ICF International, Inc. recently estimated that almost 1,500 Tcf of shale gas can be produced at prices below $8 per million Btu (MMBtu). By comparison, annual U.S. consumption of natural gas currently totals approximately 22 Tcf.”
- “At a time when political and economic conditions have paralyzed much of the national-level energy policy debate, the fact that a group as diverse as the Task Force could reach consensus on these measures suggests that here is at least one important area—natural gas markets—where progress is well within reach.”
NOTE: Click HERE to view this study online.
Copyright: MarcellusCoalition.org
MSC Launches Marcellus Quarterly Magazine
New publication to provide in-depth analysis, industry-insider news and views
Canonsburg, Pa. – The Marcellus Shale Coalition (MSC) unveiled the first edition ofMarcellus Quarterly (MQ) today, a quarterly magazine aimed at providing insight and commentary on emerging shale gas industry trends and practices. MQ will provide industry leaders, policymakers, key stakeholders and others with timely and insightful information on shale gas production in the Marcellus region and beyond through expert analysis from MSC member company personnel.
“From thought leadership, regulatory review and guest commentary, to providing analysis of market trends, MQ is designed to be an insightful magazine that serves as another resource for key stakeholders, community and business leaders and the public to better understand the historic opportunity the Marcellus Shale presents,” said MSC president and MQ publisher Kathryn Klaber. “MQ’s underlying objective is to answer the tough questions in a straightforward manner, shed additional light on the positive impact our industry is having on the region, and provide fact-based information on a host of issues associated with Marcellus development.”
The inaugural MQ cover story, Mighty Marcellus, looks broadly at the shale gas revolution in Pennsylvania. The feature story also examines how newly elected governors in Ohio, Pennsylvania and New York view this historic opportunity.
MQ will also feature guest commentary from industry experts and academia. The publication highlights community outreach activities, such as the Pennsylvania Farm Show and county fairs, and provides readers with legislative and regulatory updates. The inaugural editionincludes articles on a wide range of topics, such as:
- Publishers Note: A welcome message from MSC president and executive director Kathryn Klaber
- Guest Column: Former Pennsylvania Governor Tom Ridge, an MSC strategic advisor
- Investing in Infrastructure: An in-depth look at road and infrastructure investments by Marcellus operators
- Regulatory Review: A look at the new well casing standards in Pennsylvania
- Water Management: Water quality and Marcellus development
NOTE: To read the spring edition of MQ online, click HERE. Questions, comments, letters to the editor? E-mail mq@marcelluscoalition.org. For advertising information, contact Emily Goss at egoss@pghtech.org.
Copyright: MarcellusCoalition.org
Penn State seeks water-well owners for study on gas drilling effects
Posted: March 22, 2011
Penn State’s College of Agricultural Sciences is seeking owners of private drinking-water wells near completed natural-gas wells in the Marcellus shale region to participate in a study of the impact of gas development.
Funded by the Center for Rural Pennsylvania and the Pennsylvania Water Resources Research Center, the study will assess the potential impacts of Marcellus gas drilling on rural drinking water wells, according to Bryan Swistock, extension water resources specialist. The data collected from the study is for research purposes and the education of each homeowner, he pointed out.
“Private water wells near completed Marcellus gas-well sites will be selected for free post-drilling water testing of 14 water-quality parameters,” Swistock said. He noted that to be eligible for this free, post-drilling water testing, participants must meet all of the following criteria:
–Own a private water well (no springs/cisterns can be included in the study).
–Have an existing Marcellus gas well (drilled and hydrofractured) within about 5,000 feet (one mile) of the water well.
–Had your water well tested by a state-accredited water laboratory before the Marcellus gas well was drilled and are willing to share a copy of those water-test results with Penn State researchers.
“Due to funding constraints, all eligible applicants cannot be promised inclusion in this study,” Swistock said. “Selection will be based on eligibility, geographic location and other factors.”
Participants selected for the study will benefit personally by receiving a free test of their home drinking water supply and information about the results of those tests, Swistock said. Residents with water wells that meet the research criteria above should visit the following website to indicate an interest in participating in this research study: http://www.surveymonkey.com/s/marcellus
Copyright: PSU.edu
Penn State Study: State, Local Tax Revenues Soar in PA’s Marcellus Shale Counties
PSU Cooperative Extension: “In counties with ten or more Marcellus wells…tax income increased 325.3 percent”
Canonsburg, Pa. – The Marcellus Education Team at Penn State University’s Cooperative Extension recently issued a comprehensive analysis highlighting the positive and growing tax revenues being generated throughout the Commonwealth tied directly to the responsible development of clean-burning, homegrown natural gas. Kathryn Klaber, president and executive director of the Marcellus Shale Coalition (MSC), issued this statement regarding Penn State’s findings:
“The responsible development of clean-burning natural gas is creating tens of thousands of good-paying jobs, providing stable, American energy supplies for consumers and generating hundreds of millions of dollars in tax revenues at the same time. This data brings into perspective the enormous amount of taxes our industry’s work is generating for Pennsylvania’s economy, especially in rural communities. Without question, each and every Pennsylvanian is benefitting from Marcellus Shale development.
“Unfortunately the ongoing tax debate has been framed too narrowly. This study, however, importantly broadens the understanding of the tax revenues our industry is helping to produce for state and local governments.”
Key excepts from Penn State University’s new study: “State Tax Implications of Marcellus Shale: What the Pennsylvania Data Say in 2010”
- State Sales Tax Revenues Soar in Marcellus Producing Counties: “The data indicate that counties with 150 or more Marcellus wells experienced an 11.36 percent increase in state sales tax collections between 2007 and 2010. Counties with fewer Marcellus wells reported declining state sales tax collections, but they still did better than counties with no Marcellus wells, which reported steeper declines. These data suggest that counties with Marcellus shale development fared better in retail sales during the years 2007–2010 than those counties without.
- Realty Transfer Tax Collections in Marcellus Producing Counties Stronger than Non-Marcellus Counties: “Across the state, realty transfer tax collections were down between July 2007 and June 2010, reflecting overall weaknesses in the real estate market. However, counties with Marcellus shale development typically declined less than those without such development.”
- “Counties With Marcellus Activity Showed Greater Increases in Tax Income”: “The state personal income tax is a levy on personal income, including wages and salaries, investment income, and leasing and royalty income. Counties with Marcellus activity showed greater increases in tax income than non-Marcellus counties even though there was little difference in the number of returns filed. Counties with ten or more wells reported an average 6.96 percent increase in taxable income, and counties with between one and nine wells reported a 3.08 percent increase. Those areas with no wells witnessed a 0.89 percent increase in taxable income.”
- “In counties with ten or more Marcellus wells, returns reporting royalty income increased 44.1 percent and tax income increased 325.3 percent.”
- “Counties with ten or more wells recorded an 10.8 percent increase in net profits[what business owners pay on their business earnings] between 2007 and 2008, and counties with fewer than ten wells saw a 7.1 percent increase in such income. Counties with no gas activity had increases of only 1.5 percent.”
- “In counties with ten or more Marcellus wells, returns reporting royalty income increased 44.1 percent and tax income increased 325.3 percent.”
- “Positive Economic Activity for [Marcellus] Communities”: “State tax collections in counties with significant activity related to Marcellus shale on average had larger increases in sales and personal income tax collections and less precipitous declines in realty transfer tax collections than did other Pennsylvania counties. The data indicate that Marcellus shale development brings some positive economic activity for communities.”
NOTE: Click HERE to view this study online.
Copyright: MarcellusCoalition.org
MSC, API-PA, PIOGA “Appalled” by Criminal Complaint Filed Against Western Pa. Wastewater Hauler
Harrisburg, PA – Pennsylvania’s oil and natural gas industry, represented by the Marcellus Shale Coalition (MSC), American Petroleum Institute of PA (API-PA) and the Pennsylvania Independent Oil and Gas Association (PIOGA) issued the following joint-statement in response to news reports that a waste transportation company illegally discharged “sewer sludge and greasy restaurant slop” as well as produced water from drilling operations, “in holes, mine shafts and waterways,” across a six-county region in southwestern Pennsylvania:
“Illegal actions that threaten Pennsylvania’s environment and waterways cannot be tolerated. If found guilty of these appalling acts, those charged must be prosecuted to the fullest extent of the law. The oil and natural gas industry speaks with one voice in condemning these unthinkable acts and blatant disregard for the environment.”
NOTE: A press release from Commonwealth’s Acting Attorney General announcing these charges, ranging from 2003 and 2009, is available HERE.
Copyright: MarcellusCoalition.org
Public safety webinar offered March 17
Posted: March 13, 2011
(From Penn State Ag Science News)
The boom in natural-gas drilling into the Marcellus shale formation has presented some Pennsylvania counties with public-safety concerns, and an online seminar offered by Penn State Extension at 1 p.m. on March. 17 will highlight them.
In his presentation, “Natural Gas Well Development and Emergency Response and Management,” Lycoming County official Craig Konkle will discuss the precautions his county — in the heart of the Marcellus gas play — has taken.
Konkle, operations and training supervisor for the Lycoming County Department of Public Safety and chairman of the Lycoming County Gas Task Force Safety Committee, is on the front line in dealing with the challenges the sudden drilling expansion is presenting to municipalities where Marcellus natural gas is most accessible.
The webinar will cover the creation of a county taskforce and safety subcommittee, and the development of a training and safety consortium, comprised of representatives from the gas industry and emergency responders.
“I will discuss the short-, mid- and long-term goals of the safety sub-committee,” Konkle said, “And we’ll talk about the mission of the consortium, which is to develop a practical, reliable and competent community emergency-response capacity.
“We want to create an industry-wide perspective of needed training that is a common good for all,” he added. “So we explored industry expectations for the responder community, and then looked for gaps and determined how to fill them in a manner that is supported by the responders and the industry.”
The webinar will also address training for responders, things to help responders and industry personnel remain safe in the field, and past incidents, Konkle noted.
The “Natural Gas Well Development and Emergency Response and Management” webinar is the last in a series of workshops and events addressing circumstances related to the state’s Marcellus Shale gas boom. Information about how to register for the webinar is available on the webinar page of Penn State Extension’s natural gas impacts website athttp://extension.psu.edu/naturalgas/webinars.
Previous webinars, publications and information on topics such as water use and quality, zoning, gas-leasing considerations for landowners and implications for local communities also are available on the Extension natural-gas impacts website (http://extension.psu.edu/naturalgas).
For more information, contact John Turack, extension educator in Westmoreland County, at (724) 837-1402 or jdt15@psu.edu.
Jeff Mulhollem
Writer/editor
(814) 863-2719
jjm29@psu.edu
Copyright: PSU.edu
MSC Backs Allegheny Co. Environmental Air Quality Task Force Recommendations
Canonsburg, PA – At a meeting scheduled for tomorrow, the Allegheny County Health Department (ACHD) will consider and review a set of recommendations to enhance transparency, streamline permitting processes and strengthen overall enforcement, which, taken together, aim to increase the region’s air quality. These Environmental Air Quality Task Force recommendations were released in a December 2009 report.
“Our industry supports increased transparency and a common sense, workable regulatory framework at the county level that is consistent with state regulations,” said Kathryn Klaber, president and executive director of the Marcellus Shale Coalition (MSC).
The Task Force reviewed the following areas within ACHD’s Air Bureau, seeking to determine if the current regulatory structure “facilitated, challenged, or compromised” the delivery of effective and efficient operations:
- County air quality regulations;
- Permitting and appellate process;
- Enforcement;
- Air quality monitoring; and
- Organizational design.
“If these recommendations are implemented and ACHD is able to modernize its current air quality regulatory framework, our industry is confident that environmental, public health and economic benefits associated with shale gas development all will progress together,” noted Klaber, who served as a Task Force member. “The natural gas industry is committed to partnering with key stakeholders, community members and the ACHD to advance the Task Force’s important work.”
In August 2008, Allegheny County executive Dan Onorato created an Environmental Air Quality Task Force. The group’s mission was to review the county’s air quality programs and provide recommendations to enhance efficiencies. Given the interdependence of the county and state governments with respect to air quality management, it was the Task Force’s charge to identify the effective management tools to meet the needs of the community.
Copyright: MarcellusCoalition.org
Insights to Pennsylvania Marcellus Wastewater Treatment
Posted: March 06, 2011
Recent articles published in the New York Times raised questions about how Pennsylvania regulates and monitors wastewater discharges associated with Marcellus Shale natural gas development. The Marcellus Center for Outreach and Research (MCOR) believes that testing and monitoring of all influent waste and treated effluents from treatment facilities accepting Marcellus-derived fluids should occur routinely to ensure adequate water quality protection, and most importantly protection of human health. In addition, public water systems with surface water intakes located downstream from Marcellus fluid treatment facilities should also conduct routine monitoring to ensure that all safe drinking water standards are maintained. MCOR is conducting an independent, comprehensive analysis of the potential for flowback waters to impact the quality of water in the Commonwealth’s streams, rivers, and aquifers. This analysis will ensure that a fair and representative summary of the data can be presented in a scientific manner to the public. In the meantime, the following should be considered to put the data published by the New York Times into perspective:
~ The levels of radium-226, radium-228, gross alpha, gross beta, and benzene cited in the articles were compared to US EPA drinking water standards; however, this wastewater was not used directly for drinking water purposes, therefore this is not a representative comparison.
~ The radionuclides present in the flowback water occur naturally in the brines reservoired within the Marcellus shale and other rock formations. Radionuclides are not used as an additive in the drilling and hydraulic fracturing process.
~ The concentrations of naturally-occurring radionuclides in the flowback water vary geographically across Pennsylvania as a function of the initial concentrations of radioactive elements in the Marcellus Shale. In addition, concentrations in produced water depend on how much time the fluids have been in contact in the shale and the relative dilution by frac water added. The initial flowback water, that has only been in the shale for a short period of time, generally has lower radionuclide concentrations than the late-stage flowback waters that are less diluted and more like the in situ formation waters. The average and peak concentrations of radionuclides need to be measured for assessing treatment efficiency and potential for water quality impacts.
~The dedicated oil and gas wastewater treatment facilities generally use chemical precipitation treatment to remove the metals in the flowback water. This process is also effective at removing a large percentage of the radionuclides. The efficiency of radionuclide removal during this process and at municipal treatment plants needs to be further evaluated and quantified with laboratory testing.
~Significant dilution occurs at municipal treatment facilities as they generally are only permitted to accept 1% of their average daily flow as flowback water; therefore, concentrations of residual elements are diluted by at least a factor of 99 to 1 prior to discharge. The receiving stream or river then adds another significant level of dilution, dependent on stream flow.
~The ultimate concentrations of radionuclides in the Commonwealth’s waters depends on the initial concentrations in the flowback water, the treatment removal efficiency, and the level of dilution by the receiving stream. None of these factors were considered in these series of articles, however are crucial variables to consider when looking at the potential for any adverse water quality impacts.
~Ultimately, Pennsylvania’s regulators must determine acceptable treatment and disposal methods and regulate the industry in a manner that is protective of our environment, our drinking water,and most importantly our health.
For more information, contact David Yoxtheimer, EMS Extension Associate, Marcellus Center for Outreach and Research; day122@psu.edu; (814) 867-4324.
Copyright: PSU.edu
Anti-drilling activists to hold meeting this morning
The group hopes to build support for an anti-fracking ordinance in the borough.
MATT HUGHES mhughes@timesleader.com
Frustrated with the borough’s inaction on the anti-gas drilling ordinance they first proposed at a meeting last summer, Harveys Lake residents and members of the Gas Drilling Awareness Coalition will hold their own town hall meeting today at 11 a.m. in the Harveys Lake municipal building.
If you go
What: Town Hall Meeting to discuss the proposed Harveys Lake Community Water Rights and Local Self Government Ordinance
Who: Ben Price of the Community Environmental Legal Defense Fund will speak, hosted by the Gas Drilling Awareness Coalition
When: Today, 11 a.m.
Where: Harveys Lake Municipal Building, Harveys Lake
The residents hope to drum up support for the model ordinance before the next borough council meeting, when they plan to introduce it again.
“Our council has ignored our pleas to simply conduct a public hearing to discuss this ordinance with the residents and allow their input on it,” coalition member Michelle Boice said in an e-mail. “After months of approaching them and their failure to respond, we have decided to have our own town hall-style meeting to discuss it with the residents.”
The proposed ordinance, drafted by the Community Environmental Legal Defense Fund, of Summit Hill, would prohibit any corporation from extracting natural gas within the borough and make it unlawful to use water from any source within the borough for extraction of natural gas. It targets the process of hydraulic fracturing, which shale gas drilling critics link to drinking-water contamination.
The group drafted similar ordinances for other municipalities, including Pittsburgh, which banned hydraulic fracturing in November, and Buffalo, N.Y., where the city’s common council voted Tuesday to ban the practice.
It distributed copies of its draft ordinance at council’s November meeting, and on Jan. 19, council at its regular meeting voted to advertise a public meeting to discuss the proposal, but that vote ended in a 3-3 tie, with one council member absent.
Mayor Clarence Hogan did not elect to cast a deciding vote, and the council “left the tie vote dangle and moved on to other business with no response,” Boice said.
Boice said the Gas Drilling Awareness Coalition will hold its meeting to offer residents the chance to comment on the ordinance. The group will again ask council to hold a meeting about the ordinance at its Tuesday meeting, she added.
Ben Price of the Community Environmental Legal Defense Fund, author of Pittsburgh’s anti-fracking ordinance, will speak at today’s meeting. All are welcome.
Copyright: Times Leader