Thursday, March 31, 2011

Pennsylvania gas and oil inspectors must get top-level OK to cite drillers in Marcellus Shale

A recent directive by the Pennsylvania Department of Environmental Protection requires oil and gas inspectors get approval from top officials before citing violations in drilling of the deep, dense and gas-rich Marcellus Shale.

The department says the rule is aimed at inconsistencies in enforcement, but there is concern "that the state's environmental inspectors can no longer act independently and that regulations could be overridden by the political whims of the state's new governor, Tom Corbett," reports Abrahm Lustgarten of ProPublica, the nonprofit, investigative news operation that has won awards for its coverage of the industry. "Corbett has made no secret of his support for drilling and has stated repeatedly that regulatory reforms can help spur job creation."

Corbett's position has former DEP head John Hanger and others questioning the origin of the directive. Hanger told ProPublica, "I do not believe this is coming from John Hines," the department's executive deputy secretary, who will have to consider "each of the hundreds of enforcement actions taken routinely against oil and gas operators in Pennsylvania each month," Lustgarten reports. Hanger, who headed DEP under Democratic Gov. Ed Rendell "and worked to strengthen the state's oil and gas regulations," said he disagrees with the directive because "it represents a break from how business has been done in the department within the Marcellus Shale and within the oil and gas program for probably 20 years."

DEP spokeswoman Katy Gresh told ProPublica, "The initiative is not political, will not interfere with enforcement, and is intended to clear up confusion and inconsistency in the agency's regional offices. The governor's office is not behind this. The governor charged [DEP] secretary [Michael] Krancer with bringing about consistency in his agency. This was a decision made at DEP in order to affect positive change." (Read more)

UPDATE, May 9: DEP Secretary Mike Krancer debunked reports that inspectors were ordered to seek top approval before issuing violations by saying "such approval had not been required" and "that story was blown way out of proportion," Nicholas Kusnetz for ProPublica reports. Katy Gresh, DEP spokeswoman, added in an interview with the Pittsburgh Post-Gazette, "The notice of violation process is just as it was. The inspectors don't need pre-approval and that has been communicated to them."

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