Preliminary Revised Draft of the Supplemental General Environmental Impact Statement on High-Volume Hydraulic Fracturing prepared by the NY DEC
July 1, 2011
Gas Drilling Awareness for Cortland County
April 22, 2011
Assembly members advocate expanded DEC fracking review
By Veronica Lewin
April 21, 2011
Nearly 50 lawmakers want the Department of Environmental Conservation to include newer information in its ongoing review of horizontal hydraulic fracturing before determining whether the controversial natural gas extraction process should be permitted in New York’s Southern Tier.
In an April 13 letter signed by 47 members of the Assembly, both Democrats and Republicans, Gov. Andrew Cuomo is being asked to enhance the scope of oversight policies regarding horizontal hydraulic fracturing.
Assemblywoman Barbara Lifton, D-Ithaca, wrote the letter, which was penned two days after the Independent Oil & Gas Association of New York wrote a letter to the governor asking him to remain committed to expediting the release of the DEC’s Marcellus Shale Draft Supplemental Generic Environmental Impact Statement on regulating the expansion of natural gas drilling in the state.
Assemblyman Robert Castelli, one of the lawmakers who signed the letter, says the enhanced oversight policies would ensure the statement includes the necessary information required to determine if horizontal hydraulic fracturing, or hydrofracking, should be permitted in the Marcellus Shale region.
“We must not allow political and economic pressure to cloud the judgment of policymakers when deciding the environmental fate of New York state by whimsically granting gas companies the rights to drill in the Marcellus Shale region,” said Castelli, R-Goldens Bridge. “The stakes are too high. Lawmakers must err on the side of caution to ensure that our drinking water is not contaminated and that fracking poses no severe environmental and health concerns — a determination that can only be made by using good science.”
The lawmakers’ letter is calling for two additions to the DEC’s impact statement, which is expected in June.
The lawmakers y thanked Cuomo for signing a continuation of former Gov. David Paterson’s Executive Order No. 41, which requires a minimum 30-day public comment period on the revisions following the release of the DEC’s impact statement.
The legislators also asked the governor to order the DEC to expand its study to include issues previously omitted, including new data on preventing natural gas drilling wastewater hazards; identifying, assessing, avoiding and mitigating public health threats; conducting a cumulative impact assessment; safeguarding drinking water supply sources and making the state Department of Health a leading partner in the study.
“While some say that drilling for natural gas in the Marcellus Shale region might bring jobs to depressed areas of the state while enhancing New York’s energy production, the environmental hazards that fracking potentially pose are so great that policymakers must have all the information available before determining whether or not to allow horizontal drilling in New York state,” said Castelli.
The assemblyman has also introduced legislation (A.6488) regarding the industrial waste produced by hydraulic fracturing operations. The bill, among other things, would require public sewage treatment plants that accept drilling wastewater to monitor for radioactive elements in the water they discharge. Treatment plants and drinking water intake facilities would have to test for radioactivity at least once every six months.
Hydraulic fracturing permit holders would be required to test for and disclose the amounts and composition of any radioactive material in drilling wastewater to a public sewage treatment plant. These measures would help protect New York’s drinking water. The bill was referred to the Environmental Conservation Committee on March 21 and is part of a 15 bill Earth Day legislative package to be voted on by the Assembly later in the month.
The assemblyman is asking the state to ensure the government does not make a decision on hydraulic fracturing before getting all of the facts.
“As a state, we must not rush this process and should instead allow prudence and science to determine the fate of hydrofracking in New York,” said Castelli. “The gas has been in the ground for 200 million years. It can wait a bit longer.”
In addition to sending the governor a letter, the Independent Oil & Gas Association sent a letter to legislators April 11 asking them to use fact-based analysis when evaluating the future of natural gas development in the state.
“For nearly three years we have promoted that the pending NYS DEC Supplemental Generic Environmental Impact Statement should be thorough and that it should adequately protect the state’s natural resources,” the letter states.
The group stressed its commitment to sharing scientific information to help legislators make an informed decision about natural gas development, as it could provide many benefits to the state.
“Natural gas is the cleanest fossil fuel known to man. It is a solution to reducing our nation’s carbon footprint, and it will greatly improve New York’s and America’s energy independence,” the letter reads.
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March 31, 2011
About 40 groups, ranging from Neighbors of the Onondaga Nation to Trout Unlimited, wrote to Gov. Andrew Cuomo Tuesday advising him to put the brakes on allowing hydraulic fracturing that they said would pose risks as currently planned. Companies are eager to drill into the deep shale deposits below New York’s surface to extract natural gas.
“We are writing to you on an issue of urgent importance to all New Yorkers – assuring that New York State does not rush to allow risky new drilling techniques in the Marcellus and Utica Shale formations unless the protection of the State’s drinking water supplies and other irreplaceable resources can be demonstrated,” the groups, including Common Cause and the Natural Resources Defense Council, wrote.
“Specifically, we ask that you clearly confirm that the New York State Department of Environmental Conservation (DEC) will be allowed both adequate time and resources to fully and properly evaluate the full range of potential risks associated with new natural gas development utilizing hydraulic fracturing, or “fracking,” before issuing a revised draft Supplemental Generic Environmental Impacts (DSGEIS) pursuant to Executive Order 41 (EO 41). Simply put, the arbitrary June 1, 2011 target date established by former Governor David Paterson in EO 41 is wholly inadequate to allow for the development of an appropriately comprehensive or legally sufficient revised DSGEIS.”
The letter was copied to Department of Environmental Conservation Commissioner Joe Martens.
ALBANY, N.Y. (AP) — Joe Martens, the new head of New York’s Department of Environmental Conservation, says gas drilling in the massive Marcellus Shale formation is the most daunting environmental issue the agency has faced in its 40-year history, but he’s hopeful rules will be in place by summer’s end to address all the potential impacts.
In an interview with The Associated Press Wednesday, Martens said DEC staff will meet twice a week starting in early April and through the summer to complete a new environmental impact statement for gas drilling that addresses issues raised in the 13,000 comments received on the first draft completed in September 2009.
New York has had a moratorium on gas drilling in the Marcellus Shale since 2008 while new rules are being developed.
March 7, 2011
ENVIRONMENTAL ADVOCATES OF NEW YORK.
March 7, 2011
A Fracking To-Do List
Last week, Environmental Advocates of New York rolled out our “fracking to-do list” for state leaders and lawmakers at a briefing in the state capital. Hydraulic fracturing, often called “fracking,” is an environmentally dangerous technique used to extract natural gas from underground shale deposits. We’re worried about all phases of the drilling process—the impact of the withdrawal of millions of gallons of water from area lakes, rivers, and streams, the toxic chemicals used in fracking fluids and their potential to leach into drinking water, and the state’s ability to treat and dispose of fracking wastewater, particularly when it’s radioactive.
Fracking has poisoned waterways from Wyoming to Pennsylvania. Our to-do list is comprehensive and designed to safeguard the health and safety of New York’s drinking water. Here’s what we want state leaders to do:
At the briefing, Susan Christopherson, the J. Thomas Clark Professor of City & Regional Planning at Cornell University, discussed the potential economic impacts of fracking for New York’s communities. Professor Christopherson’s research on fracking shows that individual New Yorkers may stand to benefit, but that the costs to local government are significant. Depending on the pace and scale of drilling, local governments may not have the capacity to respond to new demands.
New York is a battleground in the national debate about natural gas drilling and fracking. Drilling-related accidents across the country have contaminated drinking water, created air quality hazards and violations, and polluted streams.
Click here to see our own Katherine Nadeau interviewed about our fracking on Your News Now.
February 12, 2011
New York Gas Development Update & Leasing Considerations (2/28/2011, Grange Auditorium, Free and Open to Public)
An educational seminar on natural gas exploration is scheduled for Monday February 28th, from 7pm to 9pm at the New York State Grange Headquarters in Cortland, NY. The seminar will focus on future leasing considerations, how to ensure an expired lease is released by gas companies along with an update on gas development in NY.
As policy makers and stakeholders continue to debate the risks and benefits of natural gas development in New York, the outlook is still unclear. Much of upstate New York contains significant natural gas reserves that will continue to attract the gas industry. Therefore, rural landowners will still be faced with complicated decisions regarding drilling and related activities such as pipelines, compressor stations, water storage and access roads.
Brett Chedzoy, an expert from Cornell Cooperative Extension will be providing an update on the current status of gas development in NY and highlight key leasing recommendations for landowners. Joe Heath, Esq. will be on hand explaining the process of getting an expired lease released by a gas company. He will also share some of the tactics gas companies are using to attempt to extend existing leases, some of which are preventable. The seminar will also take a glimpse at our neighbors in Pennsylvania, painting a picture of what our landscape may look like when exploration activities commence in NY.
This seminar is sponsored by the Cortland County Soil and Water Conservation District (SWCD) and is free and open to the public. If you have any questions about the seminar or any of the services or programs provided by the SWCD please call 607-756-5991
January 17, 2011
December 28, 2010
Norse Energy Corp. ASA (“NEC” ticker Oslo Stock Exchange, Norway; “NSEEY” ticker U.S. OTC) announces continued progress and capital efficiencies in its 2010/2011 Herkimer Drilling Program and announces an update to the Utica Test Program.
The Company reports successful completion of the first well in its Herkimer Drilling Program, with the third well in the program nearing completion. The second well encountered drilling difficulties immediately above the Herkimer target. Options for completing this well are being evaluated. The vertical portion of a fourth well has been completed and a fifth well is scheduled to spud before the New Year. Drilling to date has been accomplished using one Speedstar 185 drilling rig assisted by the previously announced addition of a vertical drilling package. The two rig, fit for purpose approach, is demonstrating, as expected, drill time and cost reduction. In addition, Norse has already built location for the fifth well, with five more locations scheduled for immediate construction. Production results will be released shortly after the end of the quarter.
To further enhance the pace of Herkimer development, the Company has acquired an option to obtain the services of a second Speedstar 185 drilling rig. This rig is expected to begin operations in the spring of 2011.
Norse Energy has also completed construction of one Utica drilling location. The Company expects to initiate drilling of a four-phase test of the Utica formation as soon as the New York Department of Environmental Conservation (the “DEC”) issues the Supplemental Generic Environmental Impact Statement (“SGEIS”); expected to be this summer.
“Our Herkimer Drilling Program is making good progress as we seek to take advantage of capital efficiencies,” says Mark Dice, Norse Energy CEO. “We anticipate accelerating the pace of development in 2011, once we emerge from today’s challenging winter conditions,” commented Dice.
John Childers, Executive Vice President of Exploration and Production, adds “We have been extremely pleased with the timeline for issuance of drilling permits by the DEC, the pace of construction of our locations, and the increasing efficiency our drilling operations as we ramped up the pace of drilling.”
Norse Energy has total contingent resources of ~4 TCF (~713 MMBOE) at the end of 2009. The Company has a significant land position of 180,000 net acres in New York State. The Company also owns a natural gas marketing business and operates pipeline systems in New York and Pennsylvania for gathering and transmission of natural gas.
For further information, please contact:
Richard Boughrum, Chief Financial Officer
Cell: +1 714 520-1702, Email: rboughrum@norseenergy.com
S. Dennis Holbrook, Executive Vice President
Cell: +1 716 713-2489, Email: dholbrook@norseenergy.com
December 12, 2010
You can read the Executive Order at: http://www.state.ny.us/governor/executive_orders/exeorders/EO41.html
Walter Hang’s Commentary: Stunning Developments/Cuomo is Our Next Target
Greetings, I write to bring you up to date on the stunning developments regarding the veto of the mini-moratorium bill and Governor David A. Paterson’s landmark Executive Order 41. When the Governor vetoed the mini-moratorium bill late last Saturday, it was reported that he would issue an Executive Order requiring that “…if approved, high-volume, horizontal hydraulic fracturing would not be permitted until July 1, 2011, at the earliest.” Mini-moratorium supporters declared: “New York is the first state in the union to legally impose a statewide moratorium on high-volume hydraulic fracturing…” They also called the Governor’s action an “historic victory for the citizens of New York State.”
In fact, the Executive Order does not impose any moratorium on horizontal hydrofracking. According to “Executive Order No. 41: Requiring Further Environmental Review,” no horizontal hydrofracking permits can be issued until a Final SGEIS is adopted. This is exactly the same de facto moratorium that has been in-place in New York for the last two and a half years.
Nevertheless, the Governor’s order is SUPER IMPORTANT because it requires DEC to issue a “revised” draft SGEIS, accept public comment on the revisions and submit a report to the Governor regarding “the regulatory conditions that are necessary to include in oil and gas well permits to protect public health and the environment.” The Executive Order specifically requires: “The Department shall complete its review of the public comments, make such revisions to the Draft SGEIS that are necessary to analyze comprehensively (emphasis added) the environmental impacts associated with high-volume hydraulic fracturing combined with horizontal drilling, ensure that such impacts are appropriately avoided or mitigated consistent with the State Environmental Quality Review Act (SEQRA), other provisions of the Environmental Conservation Law and other laws, and ensures that adequate regulatory measures are identified to protect public health and the environment;”
DEC cannot possibly fulfill the Executive Order unless it expands the original scope of its SGEIS proceeding. If you read between the lines of Acting DEC Commissioner Peter Iwanowicz’s quotes in today’s New York Times, that conclusion is perfectly clear: “Peter M. Iwanowicz, the department’s acting commissioner, said many of the comments have criticized the proposed standards for failing to adequately address issues like the cumulative impact of multiple drill sites, disposal of wastewater from the drilling and the protection of drinking water. He said ‘it behooves’ the next administration to incorporate the range of different issues in the revised draft.” The specific issues Peter references were excluded from the scope of the original SGEIS. Wastewater management and drinking water protection are two of the critical issues spelled out in our coalition letter to Governor Paterson. “The governor’s order said no drilling permits could be issued until completion of the final standards ‘subsequent to the conclusion of the public comment period,’ meaning July 1 at the earliest. Mr. Iwanowicz said drilling could theoretically begin in 2011, ‘but a lot of it depends on how the issues are addressed by this draft.'”
See: http://www.toxicstargeting.com/news/2010-12-14/new-round-comments-drilling
or http://www.nytimes.com/2010/12/14/nyregion/14frack.html?ref=nyregion
We must take concerted action to make sure Governor-Elect Cuomo does not rescind the Executive Order. That is highly unlikely because he would become the focus of intense criticism, to say the least. We must also require the scope of the revised draft SGEIS to be expanded to include each and every single one of the major concerns identified in our coalition letter as well as by the thousands of other elected officials, environmental groups, business owners and concerned citizens.–Walter Hang
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“The Capitol Pressroom program for December 13, 2010: “…The comingling of Governor Paterson’s veto-of-moratorium-slash-executive-order-to-continue-studying-the-gas-drilling-issue has some environmentalists claiming victory, and some others protesting at his offices in New York City with movie stars. We hear from both perspectives, as well as from John Holko of IOGANY (phone). And we talk hydrofracking, partisanship in Albany, pensions & the 2010 elections, as well as his future political career with outgoing Assemblyman Michael Benjamin (studio) who is retiring from the state legislature at the end of the month, but not politics…” ” (The Capitol Pressroom/WCNY) (NY)- http://thecapitolpressroom.org/the-capitol-pressroom-program-for-december-13-2010/ (Download here- http://hotfile.com/dl/89496081/dbef518/TheCapitolPressroom12-13-10.mp3.html )
December 11, 2010
http://www.state.ny.us/governor/executive_orders/exeorders/EO41.html
Here is the text:
EXECUTIVE ORDER
No. 41: REQUIRING FURTHER ENVIRONMENTAL REVIEW
WHEREAS, the 2009 New York State Energy Plan supports the development of in-State energy resources, including natural gas, to achieve the Plan’s multiple public policy objectives; and
WHEREAS, low-volume hydraulic fracturing, or conventional fracking, has been used successfully and safely in New York State for many years to extract natural gas consistent with the Generic Environmental Impact Statement (GEIS) for Oil, Gas and Solution Mining Regulatory Program promulgated by the New York State Department of Environmental Conservation (Department) in 1992; and
WHEREAS, new technologies have emerged, and are being deployed in other states, to extract natural gas more efficiently through a process known as high-volume hydraulic fracturing combined with horizontal drilling; and
WHEREAS, there is a need for further study of this new technology prior to deployment in New York State; and
WHEREAS, in 2008, I directed the Commissioner of Environmental Conservation to initiate a formal public process to update the 1992 GEIS to ensure that any new technologies deployed in New York State are first thoroughly analyzed and regulated to ensure that all environmental and public health impacts are mitigated or avoided; and
WHEREAS, the Department issued a draft scope for an updated GEIS on October 6, 2008, held public meetings in the Marcellus shale region, received more than 3,000 written comments, and issued a final scope for the Supplemental Generic Environmental Impact Statement (SGEIS) on February 6, 2009. The Department released the Draft SGEIS for public review and comment on September 30, 2009, held four public hearings in the region and New York City, and received more than 13,000 written comments during a public comment period that closed December 31, 2009; and
WHEREAS, tens of thousands of citizens, landowners, local governments, large and small businesses, non-governmental organizations, and other stakeholders have expressed their heartfelt support for or opposition to the new technology, but most agree that an objective, science-based analysis is the best approach to setting new policy.
NOW, THEREFORE, I, David A. Paterson, Governor of the State of New York, by virtue of the authority vested in me by the Constitution and laws of the State of New York, do hereby order as follows:
1. The Department shall complete its review of the public comments, make such revisions to the Draft SGEIS that are necessary to analyze comprehensively the environmental impacts associated with high-volume hydraulic fracturing combined with horizontal drilling, ensure that such impacts are appropriately avoided or mitigated consistent with the State Environmental Quality Review Act (SEQRA), other provisions of the Environmental Conservation Law and other laws, and ensures that adequate regulatory measures are identified to protect public health and the environment; and
2. On or about June 1, 2011, the Department shall publish a Revised Draft SGEIS, accept pubic comment on the revisions for a period of not less than thirty days, and may schedule public hearings on such revisions to be conducted in the Marcellus shale region and New York City; and
3. Recognizing that, pursuant to SEQRA, no permits may be issued prior to the completion of a Final SGEIS, the Department, subsequent to the conclusion of the public comment period, shall report to the Governor on the status of the Final SGEIS and the regulatory conditions that are necessary to include in oil and gas well permits to protect public health and the environment.
G I V E N under my hand and the Privy Seal of the State in the City of Albany this thirteenth day of December in the year two thousand ten.
BY THE GOVERNOR
Secretary to the Governor
=========================================================================================================================================
HISTORIC VICTORY FOR THE CITIZENS OF NEW YORK STATE
In an amazing victory for the citizens of New York State, Governor David A. Paterson has issued an Executive Order directing the Department of Environmental Conservation (DEC) to conduct further comprehensive review and analysis of high-volume hydraulic fracturing in the Marcellus Shale. The Executive Order requires that, if approved, high-volume, horizontal hydraulic fracturing would not be permitted until July 1, 2011, at the earliest. New York State becomes the first state to have a formal prohibition on high volume horizontal hydrofacking because of concerns about environmental impacts. Regretablly instead of signing the “Moratorium Bill” legislation sent to him that included a prohibition on vertical hyrdofracking that was passed by on overwhelming bi partisan majority in both houses of the State government he decided instead to succumb to industry pressure and issue the Executive Order that eliminates vertical wells from the prohibition. While the Executive Order is historic and proves that our concerns over hydrofracking are legitimate it is also a disappointment because vertical wells are also dangerous.
The gas and oil industry lobby deliberately misinterpreted a section of the Moratorium Bill claiming it would bring all gas drilling in New York State to a halt. The bill only specified a moratorium on drilling for wells using hydrofracking, whether they are vertically or horizontally drilled.
A moratorium banning the fracking of vertical wells is very important for several reasons:
1. Gas companies have been clear that they plan to drill vertical wells in the Utica and Marcellus shale with the intention of converting them to horizontal wells.
2. While the State Senate was considering a two-year moratorium on horizontal wells the gas industry threatened to drill and frack 16 vertical wells every square mile in retribution if a moratorium on fracked horizontal wells was passed.
3. Some of the worst water contamination problems, such as in Dimock, PA came from vertical wells drilled and fractured in the Marcellus Shale.
We now look to Governor Elect Andrew Cuomo to protect the Citizens of New York from the dangers of hydro fracking by any method including vertical drilling and horizontal drilling and including all shale formations.
BELOW IS THE GOVERNORS PRESS RELEASE
ALBANY, NY (12/11/2010)(readMedia)– Governor David A. Paterson has issued an Executive Order directing the Department of Environmental Conservation (DEC) to conduct further comprehensive review and analysis of high-volume hydraulic fracturing in the Marcellus Shale. The Executive Order requires that, if approved, high-volume, horizontal hydraulic fracturing would not be permitted until July 1, 2011, at the earliest. This should allay any fears that high-volume hydraulic fracturing and horizontal drilling under study by DEC will commence without assurances of safety. “We in government must always focus on protecting the well-being of those whom we represent and serve, but we also have an obligation to look to the future and protect the long-term interests for our State and its residents,” Governor Paterson said. “Therefore, I am proud to issue this Executive Order, which will guarantee that before any high-volume, horizontal hydraulic fracturing is permitted, the Department of Environmental Conversation will complete its studies and certify that such operations are safe.” Permits for high-volume, horizontal hydraulic fracturing can not be issued until the Department of Environmental Conservation (DEC) completes a Supplemental Generic Environmental Impact Statement (SGEIS), which is currently being developed. As a result, there is already in place a de-facto moratorium on such permits. The Governor issued the Executive Order contemporaneously with his veto of S.8129-B/A.11443-B, which would have suspended the issuance of new oil and gas drilling permits through May 15, 2011, including all conventional, low-volume, vertical oil and gas wells. “This legislation, which was well intentioned, would have a serious impact on our State if signed into law. Enacting this legislation would put people out of work – work that is permitted by the Department of Environmental Conservation and causes no demonstrated environmental harm, in order to effectuate a moratorium that is principally symbolic,” Governor Paterson said. “Symbols can have great importance, but particularly in our current terrible economic straits, I cannot agree to put individuals out of work for a symbolic act.” “I am sympathetic to the sponsors’ desire to protect the environment and public health, and I respect the concerns that produced this legislation,” the Governor continued. “But this legislation does not accomplish this purpose, since the activities at the heart of the moratorium are not currently taking place, and would not take place until well after the legislation’s proposed moratorium.” The bill goes well beyond high-volume, horizontal hydraulic fracturing and effectively would result in a moratorium on all new oil and gas well drilling in this State. The cessation of such new activity, even for a limited period, would have substantial negative financial consequences for the State, local governments, landowners and small businesses involved in conventional oil and gas production. The Division of the Budget estimates that the bill would cause a substantial reduction in State revenues from the loss of permit fees and tax revenue. With a $315 million budget gap in the current fiscal year, and a projected gap of over $9 billion in the 2011-12 State fiscal year, New York simply cannot afford to send hundreds and perhaps thousands of jobs, and millions of dollars in capital investment to Pennsylvania and other states to our south. ### Additional news available at www.ny.gov/governor | High resolution images available at www.ny.gov/governor/mediaimages | password: paterson | New York State | Executive Chamber | press.office@chamber.state.ny.us | 212.681.4640 | 518.474.8418 | Follow us on Facebook and Twitter
From: “governors.press.office@chamber.state.ny.us” <governors.press.office@chamber.state.ny.us>
Date: Sat, 11 Dec 2010 15:51:28 -0500
To: Katherine Nadeau<knadeau@eany.org>
Subject: Governor Paterson Issues Executive Order on Hydraulic Fracturing
News from New York State Office of the Governor
For more information contact: Jessica Bassett, 518-474-8418/212-681-4640
Governor Paterson Issues Executive Order on Hydraulic Fracturing
ALBANY, NY (12/11/2010)(readMedia)– Governor David A. Paterson has issued an Executive Order directing the Department of Environmental Conservation (DEC) to conduct further comprehensive review and analysis of high-volume hydraulic fracturing in the Marcellus Shale. The Executive Order requires that, if approved, high-volume, horizontal hydraulic fracturing would not be permitted until July 1, 2011, at the earliest. This should allay any fears that high-volume hydraulic fracturing and horizontal drilling under study by DEC will commence without assurances of safety.
“We in government must always focus on protecting the well-being of those whom we represent and serve, but we also have an obligation to look to the future and protect the long-term interests for our State and its residents,” Governor Paterson said. “Therefore, I am proud to issue this Executive Order, which will guarantee that before any high-volume, horizontal hydraulic fracturing is permitted, the Department of Environmental Conversation will complete its studies and certify that such operations are safe.”
Permits for high-volume, horizontal hydraulic fracturing can not be issued until the Department of Environmental Conservation (DEC) completes a Supplemental Generic Environmental Impact Statement (SGEIS), which is currently being developed. As a result, there is already in place a de-facto moratorium on such permits.
The Governor issued the Executive Order contemporaneously with his veto of S.8129-B/A.11443-B, which would have suspended the issuance of new oil and gas drilling permits through May 15, 2011, including all conventional, low-volume, vertical oil and gas wells.
“This legislation, which was well intentioned, would have a serious impact on our State if signed into law. Enacting this legislation would put people out of work – work that is permitted by the Department of Environmental Conservation and causes no demonstrated environmental harm, in order to effectuate a moratorium that is principally symbolic,” Governor Paterson said. “Symbols can have great importance, but particularly in our current terrible economic straits, I cannot agree to put individuals out of work for a symbolic act.”
“I am sympathetic to the sponsors’ desire to protect the environment and public health, and I respect the concerns that produced this legislation,” the Governor continued. “But this legislation does not accomplish this purpose, since the activities at the heart of the moratorium are not currently taking place, and would not take place until well after the legislation’s proposed moratorium.”
The bill goes well beyond high-volume, horizontal hydraulic fracturing and effectively would result in a moratorium on all new oil and gas well drilling in this State. The cessation of such new activity, even for a limited period, would have substantial negative financial consequences for the State, local governments, landowners and small businesses involved in conventional oil and gas production.
The Division of the Budget estimates that the bill would cause a substantial reduction in State revenues from the loss of permit fees and tax revenue. With a $315 million budget gap in the current fiscal year, and a projected gap of over $9 billion in the 2011-12 State fiscal year, New York simply cannot afford to send hundreds and perhaps thousands of jobs, and millions of dollars in capital investment to Pennsylvania and other states to our south.
###
Additional news available at www.ny.gov/governor | High resolution images available at www.ny.gov/governor/mediaimages | password: paterson | New York State | Executive Chamber | press.office@chamber.state.ny.us | 212.681.4640 | 518.474.8418 | Follow us on Facebook and Twitter
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