DEP: Drilling Regulation Faces Some Challenges

Legislators Eager to Reap Financial Benefits from Marcellus Wells

Morgantown Dominion Post
15 September 2010

By David Beard

CHARLESTON — The state Department of Environmental Protection (DEP) plans to have proposed legislation to regulate Marcellus gas-well drilling ready by November or December — despite “significant funding and staffing problems” — Deputy Secretary Lisa McClung told a combined panel of Water Resources and Judiciary members.

Legislators are enthusiastic about getting a handle on the Marcellus issue, they said, because of the economic benefits.

“This is going to generate a lot of tax dollars, a lot of jobs,” said Delegate Mike Ross, D-Randolph.

“Already,” McClung said, “there are 1,245 wells permitted, and 554 wells completed to date.”

But the DEP faces many challenges.

New regulations are needed because current rules are outdated, making the DEP “ill equipped to regulate horizontal drilling” required for Marcellus wells. It has to tackle large water withdrawals, transportation, storage and disposal issues, and truck traffic with the associated road damage.

Complicating that, the DEP has only 27 full-time employees to devote to the issue, and several vacancies it can’t fill for lack of funds. The 27 employees are overloaded with Marcellus permits, regular gas permits and other jobs.

Legislators noted that because of this, there is a backlog in processing permits, and applications have dropped off. It’s not a time to fall behind, they said, because New York has halted its Marcellus drilling, Pennsylvania is over-regulated, and the time is ripe to capitalize on available business with good, sensible regulation.

McClung said the DEP has nearly completed a review of the Marcellus industry — involving gas companies, landowners, legislators, residents and more. There have been meetings and field visits, with a few more meetings and another field visit set in coming weeks.

DEP will have its recommendations and findings complete by November-December, she said, along with proposed legislation to bring to the committee.