NY Regulators Release Natural Gas Drilling Rules


Washington, PA Observer-Reporter
1 October 2009
Associated Press

ALBANY, N.Y. - State officials have completed new environmental regulations for natural gas drilling that will clear the way for well permits in New York's part of a rich field that covers parts of four states.

The new rules, released for public review Wednesday, apply to the New York portion of the Marcellus Shale region - a largely untapped gas reserve that also runs through parts of Pennsylvania, Ohio and West Virginia. They are in addition to statewide oil and gas regulations released in 1992.

More than a year ago, Gov. David Paterson told the Department of Environmental Conservation to address concerns about drilling in the region, which covers the southern half of New York. The order effectively halted drilling there.

Brad Gill, executive director of the Independent Oil and Gas Association of New York, said the state's regulations already were regarded as the nation's strictest, but he didn't feel the additional rules would discourage drilling.

Some energy companies pulled out of New York and focused on Pennsylvania because they were uncertain about what the new regulations would be, Gill said.

"A lot of them are just waiting for the green light to drill" under the new rules, Gill said. When the regulations get final approval, expected around the first of the year, "I think we will see drilling in New York and the economic boom associated with it."

Environmentalists and residents worry about chemicals used to fracture rock and release the gas, the huge amounts of water required, and possible threats to New York City's water supply.

Safety concerns intensified last week when Pennsylvania regulators ordered Cabot Oil and Gas to halt operations following chemical spills that seeped into a wetland and a stream, and a methane leak that contaminated several residential wells.

People living near gas wells in Colorado and Wyoming have complained about bad-tasting well water, well blowouts when fracturing is going on, and health problems they believe are caused by methane or chemicals from gas production.

Democratic Reps. Diana DeGette of Colorado and Maurice Hinchey of New York are sponsoring a bill that would place hydraulic fracturing under oversight of the federal Safe Drinking Water Act.

New York's new regulations, contained in a 500-plus page document, address the potential effects of horizontal drilling and high-volume hydraulic fracturing, known as "hydrofracking."

They include measures companies must take to protect the environment and nearby communities.

Before drilling, energy companies must:

 State inspectors also must be on site during well construction.

Handling and disposal of wastewater that comes back up from wells after fracturing must be stored in steel tanks on the site or piped to a central storage pit using a double-liner system similar to those required at landfills.

Well operators must disclose plans for disposal, and a new tracking process similar to that used for medical waste will be used to monitor disposal.

The new regulations require extra protections for the New York City watershed and other sensitive areas, including a buffer zone around water bodies, city approval for wells within 1,000 feet of water tunnels or aqueducts and stricter wastewater handling requirements.

Kate Sinding, an attorney with the Natural Resources Defense Council, said there should be a complete ban on drilling in New York City's watershed, which comprises about 81/2 percent of the Marcellus region.

She questioned whether the state has enough people to enforce the rules, and said the 60-day comment period isn't long enough for such a large document.

There will be a public comment period until Nov. 30. Comments may be made in writing, via e-mail, or at public meetings to be announced soon.

The regulations are available on the DEC Web site.

http://www.dec.ny.gov/energy/47554.html