Debate

Hydraulic fracturing (fracking) may be at the center of current debate in states that are experiencing a shale gas boom, but it will remain an important part of the industry and can be performed safely, according to Interior Secretary Ken Salazar.

A relatively late entrant in the growing national debate about shale formations and how much long-term domestic reserves they bring to the United States, the Monterey Shale in California is an extensive old oil play that some analysts are predicting will experience a rebirth in today’s shale-dominated domestic energy world.

The public debate over shale gas came to a head in Philadelphia last week, as industry executives touted their achievements, government officials praised and criticized those developments, and protestors shouted from the street outside the two-day Shale Gas Insight 2011 conference hosted by the Marcellus Shale Coalition (MSC).

Government officials, environmentalists and industry representatives carried the debate on hydraulic fracturing (fracking) to California’s south-central coast last Thursday in Santa Barbara County, and while there was no across-the-board agreement, local elected officials did voice surprise that fracking is a potential issue in their county where offshore oil/gas development has had a long-standing love-hate relationship with residents.

As state officials debate whether to extend an electric utility surcharge, Pacific Gas and Electric Co. (PG&E) has challenged state legislators for diverting $155 million in natural gas ratepayer-collected surcharge funds to help cut the state’s gaping budget deficit earlier this year.

The debate over U.S. infrastructure hit home for the utility sector last Wednesday in Los Angeles where a meeting of the nation’s state regulators dissected various aspects of a national challenge that runs through energy, water and telecommunications utilities just as readily as through city/county governments and state capitals. Part of the construction push will be in the gas pipeline sector, including added capacity from the Rockies and other regions, speakers said.

The debate over U.S. infrastructure hit home for the utility sector Wednesday in Los Angeles where a meeting of the nation’s state regulators dissected various aspects of a national challenge that runs through energy, water and telecommunications utilities just as readily as through city/county governments and state capitals. Part of the construction push will be in the gas pipeline sector, including added capacity from the Rockies and other regions, speakers said.

Local businesses in two of the most active counties in the Marcellus Shale are reporting increased sales, but also some difficulties holding onto employees, according to a study from Penn State University released Sunday.

The debate over taxing shale gas production in Pennsylvania is increasingly focusing on where the money would go, as two Philadelphia-area Republican lawmakers proposed severance taxes last week designed to ease the tax burden on individuals.