Taking a closer look at the responsibilities of many state oil and gas agencies sheds new light on the infrequency of punishments and the minimal fines for the industry. Many state oil and gas agencies have to serve as regulators of the oil and gas industry, but in many cases their top priority is to promote drilling, Mike Soraghan of Environment & Energy News reports.
Into which category does your state fall? In many states, agencies have legal obligations to the industry. Wyoming regulators are supposed to "serve" the industry while Pennsylvania's Bureau of Oil and Gas is supposed to "facilitate development," Soraghan reports. Most other oil and gas agencies have mandates or missions declaring development as a goal.
While some regulators believe energy development and regulation can be done safely by the same group, others disagree. Following an explosion at an Encana Corp. well the Colorado Oil and Gas Conservation Commission issued a "notice of alleged violation," but it was revoked by higher-ups, Soraghan reports. The commission explained its ruling in a memo saying there were "no injuries to people, nor damage to wellsite equipment," so there was "no need for a hearing, no rule violation." Jim Eubanks, who lives a quarter-mile from the explosion site, insists the commission swept the incident under the rug because at the time five of the seven commissioners were industry representatives.
Following complaints from several landowners, the Colorado General Assembly cut the industry's representation to three out of nine. (Read more) To read a story by Judy Jordan, former oil and gas liaison for Garfield County, on Colorado's Western Slope, about balancing the role of regulator and promoter, click here.
Into which category does your state fall? In many states, agencies have legal obligations to the industry. Wyoming regulators are supposed to "serve" the industry while Pennsylvania's Bureau of Oil and Gas is supposed to "facilitate development," Soraghan reports. Most other oil and gas agencies have mandates or missions declaring development as a goal.
While some regulators believe energy development and regulation can be done safely by the same group, others disagree. Following an explosion at an Encana Corp. well the Colorado Oil and Gas Conservation Commission issued a "notice of alleged violation," but it was revoked by higher-ups, Soraghan reports. The commission explained its ruling in a memo saying there were "no injuries to people, nor damage to wellsite equipment," so there was "no need for a hearing, no rule violation." Jim Eubanks, who lives a quarter-mile from the explosion site, insists the commission swept the incident under the rug because at the time five of the seven commissioners were industry representatives.
Following complaints from several landowners, the Colorado General Assembly cut the industry's representation to three out of nine. (Read more) To read a story by Judy Jordan, former oil and gas liaison for Garfield County, on Colorado's Western Slope, about balancing the role of regulator and promoter, click here.
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