Advisory panel recommends Pennsylvania impose impact fee on drillers

Chemical News: Advisory panel recommends Pennsylvania impose impact fee on drillers

https://www.chemnet.com Jul 18,2011 Platts
Pennsylvania natural gas and oil drillers should pay fees to offset the impacts their operations are having in the state, a unanimous advisory commission appointed by Republican Governor Tom Corbett said Friday. But the size of the recommended impact fee and how it would be imposed won't be disclosed until the commission delivers its report to Corbett next week.

At a meeting in Harisburg, the 30-member Marcellus Shale Advisory Commission voted to recommend Pennsylvania's laws be change to include the impact fee and permit forced pooling of leases. Details will not be made public until Corbett receives the commission's final report on July 22.

Lieutenant Governor Jim Cawley Thursday said that because the commission is advisory it is not governed by the state's open meetings law.

Friday's hearing was open to the public, but was not televised.

Corbett has vowed not to enact a severance tax on natural gas production, but has said he'd consider imposing impact fees if the funds go directly to communities affected by drilling.

Joe Scarnati, the state Senate Republican majority leader, has introduced an impact fee bill in the state legislature that would impose fees of $50,000 on new wells. That fee would gradually decline to $10,0000 after four years and be eliminated on wells operating more than 10 years.

Print | add to Favorites | Close