Posts Tagged ‘Department of Environmental Protection’
Drilling industry concerns anglers, hunters
By Tom Veneskytvenesky@timesleader.com
Sports Reporter
The talk inside Giles Evans’ sporting goods shop has changed recently.
For years hunters and anglers have come into Brady and Cavany Sporting Goods, in the heart of Tunkhannock, to swap stories about where the fish are biting and the big bucks are roaming. And every day, Evans leans on the counter and takes it all in.
But recently, in addition to hunting and fishing, a new topic has sprung to the forefront: gas drilling.
Evans said he hears more and more hunters and anglers expressing concerns about how the drilling boom will affect the streams they fish and the woods they hunt. It’s a concern that continues to grow as quickly as the well pads dotting the ground in Northeastern Pennsylvania.
“This is a big event up here,” Evans said. “A lot of people are making money, but a lot of people are concerned about the land and the water.”
Anglers, Evans said, are worried about the pristine trout streams in the area – Tunkhannock, Meshoppen, Mehoopany and Bowman’s creeks to name a few. They wonder if the streams can withstand the water withdrawals needed for the drilling process or, worse yet, what happens if they become contaminated.
“Anglers consider these places as pristine and they’re really concerned for the creeks,” Evans said. “The gas drillers are putting a lot of pads in around Meshoppen, near Whites Creek. That is a fantastic little trout stream. God forbid something happens there.”
Or anywhere else for that matter, according to Joe Ackourey, an avid fly fisherman and member of the Stanley Cooper Sr. Chapter of Trout Unlimited.
Ackourey said the area of Wyoming County and northern Luzerne County that is targeted for drilling is home to numerous high-quality wild trout streams. The majority of those streams, he said, flow through remote mountainous areas and could be easily damaged.
The disturbance created by gas drilling – clear-cutting for pads, erosion, increased water temperatures and water withdrawals – can be fatal to the wild trout and other aquatic life that inhabits the streams.
“I just don’t like the major changes that are going to take place to these ecosystems all for the sake of the mighty dollar,” Ackourey said. “I fear for those streams and the wild trout that inhabit them.”
Lease helps hunting club
Dallas resident Russ Bigus has hunted the mountains and farmlands of Sullivan and Wyoming counties for decades. He enjoys the abundant wildlife in the area and the pristine landscape.
Bigus also supports the gas drilling boom and the economic benefit that comes with it.
If done properly, Bigus feels, gas drilling can actually enhance the region’s natural areas.
The money paid to farmers and landowners who enter into leases with gas companies will make it easier for them to keep their land as open space, Bigus said.
While he admits there is reason to be concerned about environmental degradation, the revenue generated from drilling could prevent open space from becoming something else.
It has happened in other parts of the state, Bigus said.
“In Juniata County it used to be all farms with great habitat for wild pheasants,” he said. “That’s all gone now. Those farms have been sold for development.
“That doesn’t have to happen any more with the income generated from natural gas drilling. Hunting opportunities will remain the same or get better with our open space here remaining open.”
Bigus said his hunting club, the White Ash Landowners Association located in Cherry Township, Sullivan County, currently has a gas lease agreement for its 5,000 acres.
Much of the club’s land has been degraded by strip mining in the past, he said, and the impact from gas drilling is minimal in comparison.
“It’s a very short-lived impact from what I’ve seen,” he said. “And our land is even more financially stable now.”
Still, Bigus cautioned that drilling can be an environmental disaster if not regulated properly.
According to Luzerne County property records, private hunting and fishing clubs that have leased land for drilling include North Mountain Club in Fairmount Township, Mayflower Rod & Gun Club in Ross Township and Rattlesnake Gulch Hunting Club in Ross Township.
“Scary what could happen”
Dr. Tom Jiunta, who resides in Lehman Township, hikes and fishes around the Ricketts Glen area and near his cabin in Laporte, Sullivan County.
Both areas are potential hotspots for gas drilling activity, and Jiunta fears what could happen to the streams and trails, such as the Loyalsock Trail, that he and countless others enjoy.
Aside from the major disruption of clearing land and the potential for pollution, Jiunta said other effects could be devastating, such as noise from drilling, air pollution and the introduction of invasive species as equipment from other states is moved into the remote locations of Northeastern Pennsylvania.
“There’s a lot of subtle impacts that may not be noticed until a few years from now,” Jiunta said.
Despite his concerns, Jiunta said he isn’t totally opposed to drilling if it’s done properly “in the right places with the right regulations in place.” Pennsylvania is lacking as far with the latter, he said. “You can’t depend on the industry to police itself and we don’t have enough DEP (state Department of Environmental Protection) staff to keep on top of this.
“It’s really scary what could happen.”
As far as hunters go, some already have been affected by gas drilling. Evans, the sporting goods store owner, said hunters have told him that they lost their traditional hunting spots in Susquehanna County last deer season when the areas were deemed off limits due to gas drilling activity.
Even in areas where gas companies halted operations for the first week of deer season, Evans said, hunters were affected.
“Customers told me that in the Hop Bottom and Springville areas, the gas companies were out before the season with helicopters laying cables for seismic testing,” Evans said. “It was a noisy process and that scared a lot of deer out of the area and changed their patterns.”
Compromise needed
Bigus agreed that some hunting area will be lost while drilling commences, but believes conflicts can be reduced by an open line of communication between landowners and gas companies.
“For example, make sure they agree that there will be no activity for the first week of deer season, and have them do most of the work in the summer,” he said. “It’s important to establish a good relationship.”
And for all the concerns expressed daily by his customers, Evans said there is at least one example of how drilling can be done with little impact.
A well drilled near Nicholson, he said, was located next to a road and didn’t venture into the woods, lessening the impact on hunters and the environment, according to Evans.
But for that one positive, a looming negative experience continues to leave a sour taste with hunters and anglers.
In 2009, the Cabot Oil & Gas Corp. was fined $120,000 by DEP after methane gas infiltrated into private water wells in Dimock Township. In addition, between 6,000 and 8,000 gallons of fracking fluid leaked from a pipe at a drill site in the area and contaminated a nearby wetland.
This year Cabot was fined an additional $240,000 and ordered to shut down three wells because of methane contamination of water wells.
While DEP has prohibited Cabot from drilling in the area for one year, the damage was already done when it came to the views of hunters and anglers.
“That business in Dimock really has hunters and anglers concerned,” Evans said. “Everybody’s worried about it because there’s so much unknown, and the Cabot incident didn’t help.
“A lot of people that talk about it in the store just hope that they get done, get out and nothing gets harmed. In the meantime, they’re scared to death about what could happen.”
Copyright: Times Leader
State tells how to protect water quality
A Back Mountain workshop addresses potential problems with Marcellus Shale drilling.
By Steve Mocarskysmocarsky@timesleader.com
Staff Writer
LEHMAN TWP. – Back Mountain residents who attended a workshop on “Natural Gas Drilling and Drinking Water” on Thursday received a mini education on how to protect their wells from potential contamination by migrating natural gas as well as what two regulator agencies are doing to protect state waterways from the same potential threat.
Contact the state Department of Environmental Protection at the following numbers with questions about water quality related to Marcellus Shale natural gas drilling and concerns about suspected contamination:
826-2300 – 8 a.m. to 4:30 p.m. weekdays
826-2511 – after-hours emergency and complaint number
321-6550 – Bureau of Oil & Gas East Regional Main Office
Call Bryan Swistock of the Penn State Cooperative Extension with questions about protecting water wells at 814-863-0194.
Bryan Swistock, a water resources extension associate from the Penn State Cooperative Extension, presented an hour-long talk about natural gas exploration in the Marcellus Shale formation, how problems with drilling operations could potentially affect drinking water supplies, and what residents can and should do to protect them.
The program was hosted by the Cooperative Extension, state Sen. Lisa Baker, state Rep. Karen Boback, Back Mountain Community Partnership, the Susquehanna River Basin Commission and the state Department of Environmental Protection.
Swistock said about 41 percent of all private drinking water wells fail at least one water quality test, so it’s smart to test one’s well water regularly even without the threat of natural gas from drilling wells migrating into them.
Swistock said energy companies are required to test all water supplies within 1,000 feet of a drilling site before drilling so they have a baseline to compare test results if there is suspected contamination of a water supply by drilling activity. Some companies, such as EnCana Oil and Gas, which is poised to begin drilling in the Back Mountain in July, test wells within 1 mile of a drill site.
Swistock said residents should make sure the person collecting water samples works for a state-accredited lab. He said he’s talked to several people who told them the person who took samples was the same person who negotiated a land lease with them.
For folks who live outside the area in which the energy company pays for testing but want to play it safe, he said a full round of tests can cost up to $1,000. However, testing for the most common elements associated with Marcellus Shale drilling – methane, chloride, barium and total dissolved solids (TDS) – costs only about $150.
Indicators of water problems include foaming or bubbling water or spurting faucets, salty or metallic tastes, changes in water color or odor and reductions in water quantity or flow.
Also making presentations on Thursday were Michael McDonnell, a water quality specialist with DEP, and Tom Beauduy, deputy director and counsel for the Susquehanna River Basin Commission.
Copyright: Times Leader
Gas exploration of state forest land has some concerned
Governor’s office announced this week a plan to allow Anadarko Petroleum to access 32,896 acres.
By Steve Mocarskysmocarsky@timesleader.com
Staff Writer
Some state representatives are concerned about Gov. Ed Rendell’s decision to lease nearly 33,000 acres of state forest land to an energy company for natural gas exploration.
Rendell’s office on Tuesday announced that Anadarko Petroleum Corp. has paid the commonwealth $120 million to access 32,896 acres of state forest through a natural gas lease agreement with the state Department of Conservation and Natural Resources.
Prior to a presentation on the state Department of Environmental Protection’s role in regulating natural gas drilling that she attended Tuesday at Misericordia University, state Rep. Phyllis Mundy said she was disappointed to learn of the lease transaction.
“The areas that could responsibly be leased in state forests are already under lease. Why don’t they go ahead and drill there? We don’t need additional drilling, certainly not until we look into whether this is the really sensitive habitat that DCNR said it was when we discussed it,” Mundy, D-Kingston, said.
But Mundy later qualified her comments, saying they were dependent on whether leasing that acreage was previously factored as revenue in this year’s state budget. “I’m really not clear on what 32,000 acres that was,” she said.
Rendell’s press release on Tuesday did not clearly specify whether revenue from this most recent lease agreement had previously been factored into the state budget. DCNR had leased about 32,000 acres of state forest land to Anadarko in January for $128 million.
Mundy co-sponsored legislation to impose a moratorium on leasing state forest land for natural gas exploration. House Bill 2235 passed in the House and is before the state Senate.
State Rep. Karen Boback, R-Harveys Lake, who also attended the presentation at Misericordia and voted in favor of the moratorium, said she too had a problem with the lease if the revenue had not been previously included in the state budget.
Both representatives have been outspoken in their concern about potentially harmful effects of natural gas drilling on the environment and have been advocating for stronger laws and regulations to protect public heath and safety and drinking water supplies from potential contamination from gas drilling accidents.
DCNR Press Secretary Chris Novak said Wednesday the specific amount of acreage wasn’t included in this year’s budget or specified in Rendell’s 2010-11 proposal, but legislators had agreed during negotiations for this year’s budget that $180 million for the 2010-11 budget would come from oil and gas leases.
Novak said Rendell had a target of $60 million in revenue from leasing out the 32,000 acres of forest in January, but realized $128 million. That extra $68 million would be applied to the 2010-11 budget, she said.
DCNR also leased 74,000 acres of forest for natural gas exploration in September 2008. A total of 725,000 acres of the state’s 2.2 million acres of forest land has been leased for gas drilling, Novak said.
In addition to the up-front lease payments, which are considered rent for the first year of the leases, the state will receive 18 percent royalties on all natural gas produced on the land for the leases signed this month and in January. The royalty for the September 2008 lease is 16 percent.
Rent for the second through fifth years drops to $20 per acre and then increases to $35 per acre for year six and beyond, Novak said.
Novak said DCNR looked at whether important habitat for rare or endangered species and recreational use would be impacted when designing the leases. She said leases for each of the 11 tracts specify areas that cannot be disturbed by drilling.
She estimated that because of new horizontal drilling techniques and the fact that the newly leased land is surrounded by land that had been leased previously, only a minimal amount of newly leased land – probably about 300 acres total – will be impacted by drilling activities.
Anadarko spokesman Matt Carmichael would not estimate how much land would be disturbed because it was too early in the development phase.
“It’s our hope and desire to disturb as little surface area as possible,” Carmichael said.
Anadarko has drilled about 15 wells on state forest land to date, he said.
Novak said that prior to drilling activities and after the drilling is complete and wellheads are installed, the public will have full access to the leased land.
Mundy and Boback were not available for comment Wednesday after Novak responded to questions related to state budget revenue and the disturbance of sensitive state forest habitat.
Copyright: Times Leader
Drilling safety steps detailed
Official lays out efforts to protect environment
By Steve Mocarskysmocarsky@timesleader.com
Staff Writer
DALLAS TWP. – The man in charge of ensuring the oil and gas industry complies with environmental regulations in Pennsylvania spoke at a well-attended Back Mountain presentation on Tuesday, informing the public about protections in place and what is being done to improve public safety.
Scott R. Perry, director of the state Department of Environmental Protection’s Bureau of Oil and Gas Management, provided an overview of how drilling into the Marcellus Shale formation differs from other forms of natural gas drilling and discussed the bureau’s current work and future plans to protect the environment.
Misericordia University President Michael MacDowell welcomed Perry to the school’s Lemmond Theater, and assistant professor Julie Kuhlken, who teaches environmental philosophy, moderated a question-and-answer session afterward.
Oil and gas drilling began in Pennsylvania in 1859, Perry said. But new technology that enables horizontal drilling into the 5,000- to 7,000-foot-deep Marcellus formation has brought to the state energy companies that have until recently focused their efforts in western states.
“One of the things we noticed is that people from Texas and Oklahoma aren’t really familiar with hills. Pennsylvania has them, and we also have rain, more so than Texas, and so there have been some struggles in developing these well sites,” Perry said.
Pennsylvania, he noted, is the only state that requires an approved erosion and sediment control plan before a drilling permit is issued.
In his computerized slide show, Perry showed a photo of an erosion-and-sediment control violation at a state drilling site. Controls on the main level were fine, but farther down a hill, a DEP inspector found “a bunch of hay bales” and “silt fence that’s not doing any good.”
“I asked the inspector who took this picture what he thought they were thinking. He said, ‘I think they were thinking I wasn’t going to walk down that hill,’ ” Perry said, eliciting laughter.
DEP forced the operator to put proper controls in place.
Perry noted the DEP hired 37 inspectors in 2009 and is hiring 68 more this year to nearly double the size of the inspection staff to 193. Three-fourths of those employees will oversee the oil and gas industry; higher permit fees pay for it all.
Perry said he believes there are adequate regulations in place to protect public health and safety and the environment, but he supports several provisions in proposed legislation, such as one that would increase bonding requirements for drilling companies.
Perry said DEP officials are “always evaluating” regulations, and when they’re inadequate “we’re strengthening them. … For example, we’re evaluating the permit requirements for air quality. … We’re not done with the evaluation and regulation process for this industry. They’re just getting started and so are we.”
Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.
Copyright: Times Leader
Drilling under river is OK’d in Bradford Co.
By ANDREW MAYKUTH The Philadelphia Inquirer
The state Department of Conservation and Natural Resources signed a $6.15 million agreement Monday with Chesapeake Energy Corp., giving the company the right to drill the Marcellus Shale under a seven-mile stretch of the Susquehanna River in Bradford County.
Under the lease, which applies to 1,500 acres of river between Towanda and the Wyoming County line, Chesapeake is permitted to access the shale with wells drilled on either side of the river. No well bores will penetrate the river itself.
Horizontal-drilling technology makes drilling for gas beneath the waterway feasible. With wells that reach laterally for thousands of feet, operators can capture gas under a large area from a remote location.
The state Department of Environmental Protection says that under-river gas exploration poses no more risk than any of the 1,400 other wells drilled into the Marcellus formation, which is a mile below the surface. The lease is separate from the state’s offering in January of 32,000 acres of state forests, which generated $128.5 million to help close the state budget gap.
The $6.15 million raised by the Susquehanna River lease will help keep open 24 state parks that had been threatened with closure because of the budget crisis, said Christina Novak, DCNR spokeswoman.
DCNR’s Susquehanna River lease may conjure memories of the 1959 Knox Mine disaster in the Port Griffith section of Jenkins Township, when the Susquehanna broke through a coal mine that was dug just below the river bottom. A dozen miners died in the flood.
Geologists say subsidence is not an issue with gas exploration. The well bores are only a few inches in diameter.
Copyright: Times Leader
Water to be tested because of drilling
PA American Water Co. to sample water from Huntsville Creek near natural gas well.
By Jerry Lynottjlynott@timesleader.com
Business Writer
A water company has begun inspecting a creek flowing from the Huntsville Reservoir as a result of a permit issued for a natural gas well in Lehman Township.
PA American Water Co. also will soon begin sampling water from Huntsville Creek, company spokesman Terry Maenza said Thursday.
The testing is to check whether drilling has affected the 1.9-billion- gallon reservoir that supplies drinking water to the utility’s customers. The reservoir is in the Back Mountain area of Luzerne County where more than 25,000 acres have been leased by companies planning to tap into the natural gas rich Marcellus Shale formation underground.
Technicians will go out once a week to take water samples, said Maenza, “so we have baseline data.”
Last month township officials approved a drilling permit for EnCana Gas & Oil USA Inc. It has partnered with Whitmar Exploration Co. to locate possible drilling sites within nine townships and Harveys Lake in the Back Mountain.
PA American has two reservoirs bordered by lease holdings. The 2.9 billion gallon Ceasetown Reservoir also is located in Lehman Township. In conjunction with Huntsville, Ceasetown supplies water to 100,000 people in the Wyoming Valley, Maenza said.
The reservoirs have 500-foot buffer zones around them where drilling is not permitted, he explained.
Maenza added that the water company relies on regulators and inspectors to enforce laws related to drilling and disposal and treatment of waste water used in the hydraulic fracturing or fracking, the high pressure injection of a mixture of water, chemicals and other materials to break up the rock containing the natural gas.
The utility frequently is in contact with the state Department of Environmental Protection on a number of issues, including permits issued for drilling. “They’re letting us know about it,” Maenza said.
Two other water companies that serve customers in the Back Mountain are leaving oversight up to DEP, the Susquehanna River Basin Commission and the state Fish and Boat Commission.
Donna Alston, a spokeswoman for Aqua Pennsylvania, said existing DEP regulations provide protection for the company that draws its water from wells. The company provides service to customers in Luzerne County through its White Haven Division. Statewide it serves 1.4 million people in 30 counties.
Still, Aqua is stepping up its own efforts.
The utility “will be monitoring water quality more frequently and extensively than required by regulation whenever drilling activity is occurring anywhere near one of its well supplies to detect and respond to any water quality changes that might occur,” Alston said.
What steps United Water takes depends upon how close a natural gas well is drilled to one of its water wells, said spokesman Bob Manbeck.
“If a permit for extraction was under consideration within a one mile radius of a United Water-owned well, we would intervene in the permitting process and attempt to ensure that the extraction points are an appropriate distance from our wells,” said Manbeck.
United Water has six wells in Dallas, two each in Dallas Township and Harveys Lake and one in Noxen Township in Wyoming County. It serves 10,000 customers in the Back Mountain.
Copyright: Times Leader
Zoners OK gas drilling in Lake Township
EnCana also allowed to put in gas metering station in Fairmount Township.
By Steve Mocarskysmocarsky@timesleader.com
Staff Writer
WILKES-BARRE – The Luzerne County Zoning Hearing Board on Tuesday gave the go-ahead for a natural gas drilling operation on 6 acres of land in Lake Township and a natural gas metering station on 5 acres in Fairmount Township – under certain conditions.
EnCana Oil & Gas USA Inc. sought a 12-month temporary use permit to drill a gas well, have a water tank storage facility and park five personnel trailers on a part of a 49-acre site located at 133 Soltis Road and owned by township Supervisor Amy Salansky and her husband, Paul.
The company also sought a special exception to install a permanent wellhead on the site.
In a separate application, EnCana sought a use variance to operate a natural gas meter station within a 112-acre parcel near the intersection of Mossville and Hartman roads on property owned by Thomas and Caroline Raskiewicz, in Fairmount Township, as well as a height variance to erect an associated 150-foot radio tower on the site.
Following a presentation by EnCana regulatory adviser Brenda Listner and listening to testimony from seven members of the public who opposed the plan in a packed hearing room at the county courthouse, the board adjourned for an approximately 10-minute executive session to, according to Chairman Lawrence Newman, “discuss the conditions that would be placed on the special exception request.”
The board then voted unanimously to approve all of Encana’s requests subject to the company providing evidence of:
• Approved permits from the state Department of Environmental Protection, the Susquehanna River Basin Commission and any other mandated agency.
• Road bonding based on acceptable rates as designated by supervisors of the townships of Lake and Lehman.
• Appropriate sound controls as necessary to minimize noise.
• Light diffusion as required to divert light away from neighboring structures.
• A dust-control plan including evidence that no contaminated water or water used in the hydraulic fracturing (fracking) process would be used for dust control.
• A pollution preparedness contingency plan, an emergency response plan and other plans set forth in EnCana’s “best management practices” outlined in a memo from EnCana.
Prior to the vote, local activist Dr. Thomas Jiunta, led off a round of questions from the public. He had asked EnCana representatives if many of the plans addressed in EnCana’s best management practices were available for review.
Listner said they were still in the works or under discussion with township officials.
Jiunta wanted to know how emergency response times in the area would be addressed, given that some sections of road are 17 feet wide and the average width of fire trucks and trucks associated with drilling operations are an average of 9 feet wide. There is no room for a truck to pull off a road and yield to an emergency vehicle, he said.
Michelle Boice of Harveys Lake said she doesn’t think “there’s any emergency preparedness,” noting that there are no police or fire departments in Lake Township, and the community relies on state police and volunteers from other communities for coverage.
Copyright: Times Leader
Activists express fears on gas drilling
Green Party rally on Earth Day protests environmental concerns regarding fracking.
By Sherry Longslong@timesleader.com
Staff Writer
WILKES-BARRE – Local environmental activists used this year’s Earth Day to address their viewpoints on gas drilling.
Members of the Luzerne County Green Party held a rally on Public Square around lunchtime Thursday explaining their fears that gas companies drilling throughout Northeastern Pennsylvania will cause more environmental harm than good by drilling.
This year was the 40th anniversary of Earth Day, the international movement to bring awareness to economical issues.
Party co-chairman Carl Romanelli thinks the state needs to enact stiffer guidelines to protect the water resources because the gas drillers were given what he called a loophole in 2005 in the federal Clean Water Act.
He believes the hydro-fracturing system, also known as fracking, used to extract gas from deep within the earth could be harmful because it uses what he calls a “toxic soup” of chemicals.
“It is essential that the Commonwealth of Pennsylvania step up to protect its citizens and natural resources of Pennsylvania and not sell us out,” Romanelli said.
Chris Tucker, a spokesman for the Marcellus Shale Coalition, an organization based near Pittsburgh, created to support gas drilling throughout the state, disagreed with Romanelli. He said gas drilling is more environmentally friendly than other drilling practices of decades past.
“Because of hydraulic fracking and horizontial drilling, we today produce 10 times the amount of energy with one-tenth the number of wells drilled. We are reducing land disturbance, reducing the need for infrastructure and reducing all types of environmental foot prints because we are drilling fewer wells,” Tucker said.
The primary elements used in fracking are excessive gallons of water and sand with a small amount of chemicals mixed in, he added. Those chemicals help push the water down nearly two miles deep into the surface, which then forces the gas upward.
He said fracking has been around for 60 years and is used by the federal Environmental Protection Agency to clean up severely toxic sites and dig nine out of every 10 wells, including water wells across the nation.
John Hanger of the state Department of Environmental Protection said the state monitors fracking very closely and there have been no instances of where fracking has contaminated anyone’s drinking water.
Copyright: Times Leader
UC foresees energy cost cut
Jurisdiction over drilling for natural gas in the Marcellus Shale is subject of hearing.
By Steve Mocarskysmocarsky@timesleader.com
Staff Writer
HARRISBURG – The chairman of the state Public Utility Commission is confident that Marcellus Shale development will stabilize prices not only of natural gas, but electricity prices as well, and is thrilled the natural gas industry supports the PUC’s oversight of pipeline safety in Pennsylvania.
Commission members on Thursday heard testimony from representatives of the natural gas industry, a federal pipeline safety official, the state consumer advocate and the director of the Pennsylvania Association of Township Supervisors on the commission’s jurisdiction as related to Marcellus Shale development.
“I think everybody is in agreement that this increased gas supply, whether the gas is sold in Pennsylvania or not, is going to have a depressing effect on the wholesale price of gas,” PUC Chairman James H. Cawley said after the hearing.
Irwin “Sonny” Popowsky, of the state Office of Consumer Advocate, testified that the retail and wholesale price level of natural gas “has been on a roller coaster ride for years.”
He said an abundance of natural gas should stabilize and ultimately lower the price of gas and electricity so that it is affected by supply and demand rather than politics in the Middle East.
Commissioner Wayne Gardner said he’s heard that many roads were severely damaged under Chesapeake Energy traffic.
David J. Spigelmyer, vice president of government relations for Chesapeake, said a harsh freeze-thaw season and the fact that many roads were never constructed with proper foundations resulted in the need significant road repairs. But the company is bonded to repair those roads and has hired 23 road contractors in Bradford County to repair them.
David M. Sanko, executive director of the Pennsylvania Association of Township Supervisors, said his concern is that state law requires bonds for roadwork in the amount of $12,500, but it could cost up to $100,000.
Commissioner Robert Powelson asked how the commission can be confident that the “self-policing system (of the gas industry) will work and that safety will be maintained?”
Spigelmyer said the industry has worked closely with the state Department of Environmental Protection to ensure the industry meets state requirements and noted that permit fees that fund inspections climbed from $100 to about $4,000.
Alex Dankanich, general engineer with the U.S. Department of Transportation’s Office of Pipeline Safety, testified that of the 31 states that produce natural gas, only Pennsylvania and Alaska lack the statutory authority to regulate gas gathering pipelines.
Cawley noted that the administration had been pushing for the PUC to obtain inspection authority because the administration doesn’t have the manpower.
Dankanich said the PUC would be reimbursed 80 percent of the cost for inspecting non-Class I pipelines – those surrounded by 10 or fewer homes within 220 yards of a pipeline in a 1-mile stretch. Those lines are exempt from federal inspection.
PUC Vice Chairman Tyrone Christy asked if Pennsylvania should also exempt Class I pipelines from inspection.
Lindsay Sander, a consultant for the Marcellus Shale Coalition, said she was comfortable with the exemption given the low number of Class I problems.
Cawley said the natural gas industry “seems to be bending over backwards to be responsible. But you’ve got to have the rules in place for everybody, including the potential bad apples who are going to try and take shortcuts.”
He said the commission is not trying to economically regulate the gas production industry.
“We’re not going to try and set the rates. We just want safety jurisdiction, whether they’re a public utility or not. And … the industry coalition, which has 170 members, support us adopting the federal standards. … They’ve said that’s fine and they’ve said they’re willing to help pay for it on a per-mile basis,” he said.
Cawley said the commission has submitted proposed statutory language to House and Senate oversight committees related to PUC safety regulation.
“One part of it has already been passed by the House almost unanimously. It would increase fines for violations to the federal level. It would go from $10,000 per day to $100,000 per day and up to $1 million overall. House Bill 1128, that could be the vehicle for getting it done. The Senate could amend it and send it back over or the House could give us this additional legislation, but this is our top legislative priority – pipeline safety,” Cawley said.
He said he also asked the industry for a commitment to use PUC’s certificated trucks for hauling equipment and supplies, “and they’ve committed to that, which is good. We’ve increased carrier enforcement in that area because we discovered that in their haste to get supplies in, they weren’t using PUC certificated carriers.”
“We’ve increased our enforcement, … and now that they know we’re watching, they’ll be more careful about the carriers they use,” Cawley said.
Steve Mocarsky, a Times Leader staff writer, may be reached at 970-7311.
Copyright: Times Leader
Towns get legal advice on gas issues
A lawyer offers sample laws to Back Mountain towns concerned about drilling.
By Rebecca Briarbria@timesleader.com
Staff Writer
DALLAS TWP. – The Back Mountain Community Partnership was advised Thursday afternoon to separately pass ordinances that may help protect against gas drilling issues.
The partnership is an intermunicipal group composed of Dallas, Franklin, Jackson, Kingston and Lehman townships and Dallas borough.
Attorney Jeffrey Malak, who is solicitor of the group, explained it would be better for each municipality to enact its own ordinances rather than to pass joint partnership ordinances because each municipality has its own unique needs.
Malak provided an example of an ordinance, created by the Pennsylvania State Association of Township Supervisors and the Pennsylvania State Association of Township Solicitors, which addresses height regulations of equipment, setbacks, access roads, wells, tanks and storage.
He also furnished sample dust, noise and light pollution ordinances and a sample road bond agreement. In addition, he provided a copy of Dallas’ zoning ordinance, which restricts drilling to certain areas of the borough and deals with screening and buffering and outdoor lighting issues.
Malak said such ordinances would take in all types of businesses but cannot be specific to natural gas drilling because the Oil and Gas Act of 1984 specifies the state oversees drilling. He stressed a lot of ordinances can be incorporated to help and that the municipalities are not limited to revising their zoning laws.
“We don’t know what’s allowed, what’s not, until we try some different things&hellip.” Malak said. “It’s a very, very complicated issue and like I said, it’s not a one size fits all.”
In other news, Tom Yoniski, a representative for state Sen. Lisa Baker, announced the senator’s office has arranged a meeting regarding gas drilling to be held from 6 to 8:30 p.m. on May 13 at Lake-Lehman Junior/Senior High School.
Yoniski said Penn State University officials will give a presentation on gas drilling. He said that officials from the state Department of Environmental Protection and the Susquehanna River Basin Commission will also attend.
Also, Gas Drilling Awareness Coalition members Karen Belli and Leeanne Mazurick, both of Dallas Township, gave a brief presentation on gas drilling and its impacts on the environment and the community.
Coalition member Audrey Simpson, of Kingston Township, showed a video she created of Dimock Township residents who were negatively affected by gas drilling.
Copyright: Times Leader