On April 8, the Pennsylvania Department of Environmental Protection will recommend to the Environmental Quality Board (EQB) that it accepts a petition to study drastic increases in setback distances (also known as no-drill zones) for shale gas wells.
This recommendation comes in response to two environmental organizations, the Clean Air Council and the Environmental Integrity Project, expressing concerns about potential risks of air emissions and water contamination for individuals living near unconventional oil and gas wells. In light of these concerns, they have recommended that the Environmental Quality Board evaluate the possibility of increasing the minimum setback distance.
Proposed increases to setback distances may present challenges for the industry. The setback distances established by Act 13 of 2012 are considered among the most extensive compared to those in other major natural gas producing states.
Appalachian oil and gas producers believe there are ongoing misunderstandings about the shale gas industry in the region and emphasize that, when conducted responsibly, natural gas development does not pose health risks
If the petition were to result in a new rule, which could take considerable time, it could significantly limit new shale gas development in Pennsylvania. While this outcome may align with the goals of environmental advocates, it could also have substantial impacts on the state’s oil and gas industry, including potential effects on employment.
If you have any questions on this petition or any other questions related to the energy and resources industry, please contact us at [email protected].
About Schneider Downs Energy & Resources Services
The Schneider Downs Energy & Resources industry group provides specialized financial advice and services to our clients in the oil and gas, mining and aggregates, forest products and alternative fuel and energy industries throughout the Columbus and Pittsburgh regions. Our extensive knowledge of industry issues enables us to provide proactive audit, tax and management consulting services.
To learn more, visit our Energy and Resources Industry Group page.
