{"id":2285,"date":"2012-02-09T15:29:32","date_gmt":"2012-02-09T15:29:32","guid":{"rendered":"http:\/\/blogs.edf.org\/energyexchange\/?p=2285"},"modified":"2012-02-09T18:43:25","modified_gmt":"2012-02-09T18:43:25","slug":"mixed-bag-out-of-pennsylvania-on-hydraulic-fracturing-chemical-disclosure","status":"publish","type":"post","link":"https:\/\/blogs.edf.org\/energyexchange\/2012\/02\/09\/mixed-bag-out-of-pennsylvania-on-hydraulic-fracturing-chemical-disclosure\/","title":{"rendered":"Mixed Bag Out Of Pennsylvania On Hydraulic Fracturing Chemical Disclosure"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft size-medium wp-image-2286\" src=\"https:\/\/blogs.edf.org\/energyexchange\/wp-content\/blogs.dir\/38\/files\/2012\/02\/Matt-Watson-Photo-229x300.jpg\" alt=\"\" width=\"183\" height=\"238\" \/>Last night the Pennsylvania (PA) General Assembly passed legislation on fracturing fluid chemical disclosure that, on the whole, isn\u2019t half bad \u2013 particularly considering where they started.\u00a0 Unfortunately, the bill contains a major flaw that prevents us from being able to hold it up as a model for other states to follow.\u00a0 Still, there\u2019s quite a bit to be liked.\u00a0 More on that below.<\/p>\n<p>I should also point out that the disclosure legislation was part of a much larger bill that addresses a broad range of issue related to shale gas development in PA.\u00a0 The overall bill has been the target of quite a bit of criticism from local environmental groups \u2013 particularly for eliminating much of the discretion of local jurisdictions to manage and plan for oil and gas activities within their borders.\u00a0 We didn\u2019t work on those provisions, so I\u2019ll leave it to those who did to offer up their assessments and, for now, just give a run-down on the disclosure piece.<\/p>\n<p>As originally drafted, the disclosure provisions in this bill were, quite frankly, useless.\u00a0 All they would have done is codify current rules at the PA Department of Environmental Protection (DEP).\u00a0 Under those rules, companies only reveal the chemicals that have to get reported on material safety data sheets \u2013 which leaves out maybe half the chemicals used in fracturing fluids.\u00a0 And there was no requirement for posting disclosures on an easily accessible website for the public to see.\u00a0 That kind of regime comes nowhere close to what EDF calls \u201cdisclosure,\u201d and it\u2019s way behind the times in terms of where the national conversation is today.\u00a0 So, EDF teamed up with the Pennsylvania Environmental Council to improve the draft.<\/p>\n<p><strong>The Good<\/strong><\/p>\n<p>The first thing to understand is that PA will require two kinds of reporting.\u00a0 Operators will disclose chemical information on the well completion reports they turn in to the DEP after drilling, fracturing and beginning production on a well.\u00a0 And then, certain operators will be required to also post their disclosures on <a href=\"http:\/\/fracfocus.org\/\">Frac Focus<\/a>, the disclosure website run by the Ground Water Protection Council and the Interstate Oil and Gas Compact Commission.<\/p>\n<p>As for the well completion reporting requirements, they\u2019re quite good.\u00a0 Operators will have to disclose <em>all <\/em>the chemicals they use, along with chemical concentrations.\u00a0 They\u2019ll also disclose the trade-name additives they use and the purposes they serve.\u00a0 Taking it a step further than what other states have done, PA will also require operators to report their water sources and how much recycled wastewater they use in hydraulic fracturing treatments \u2013 an important step forward in disclosure requirements.<\/p>\n<p>As with every other state disclosure rule, PA will allow operators to claim trade secret protections to keep certain chemical identities confidential.\u00a0 These claims will be governed by PA\u2019s \u201cRight to Know\u201d law, which means PA will be on the leading edge of how states are currently dealing with trade secrets in fracturing chemical disclosure rules.\u00a0 Companies will be required to actually submit their trade secret information to the DEP (instead of completely withholding it, as some states allow).\u00a0 Citizens will have broad standing to challenge trade secret claims at the PA Office of Open Records; and when there are challenges, the burden will be on the DEP and operators to prove why a trade secret claim is legitimate.\u00a0 We\u2019re aware that some in industry repeatedly tried to gut the Right to Know provisions in the bill, and credit is due to Governor Corbett\u2019s office for fending off those attacks.<\/p>\n<p><a href=\"https:\/\/blogs.edf.org\/energyexchange\/2011\/11\/10\/doe-roadmap-toward-cleaner-natural-gas-development-%e2%80%93-sign-reads-%e2%80%9cstill-under-construction%e2%80%9d\/\">As we\u2019ve mentioned before<\/a>, we support the recommendation of the DOE Secretary of Energy Advisory Board that \u201cthe barrier to shield chemicals based on trade secrets should be set very high.\u201d<\/p>\n<p>Finally, the PA bill gives added emphasis to the need for making information available in formats that are useful and user friendly.\u00a0 Mirroring the language that was pioneered in the <a href=\"https:\/\/blogs.edf.org\/energyexchange\/2011\/12\/13\/colorado-sets-the-bar-on-hydraulic-fracturing-chemical-disclosure\/\">Colorado rule<\/a>, PA is now the second state to call for improving the search functions on Frac Focus.<\/p>\n<p><strong>The Bad (and Ugly)<\/strong><\/p>\n<p>Unfortunately, the bill took a major wrong turn on one key point.\u00a0 While operators of <span style=\"text-decoration: underline\">all<\/span> oil and gas wells will be required to disclose chemical information on their well completion reports, only operators of \u201cunconventional\u201d wells will be required to post their disclosures on Frac Focus.\u00a0 The bill defines unconventional wells as those that are drilled and fractured below the Elk Sandstone formation in PA.\u00a0 We\u2019re not sure yet how many wells this will leave out, but it\u2019s a fair guess it will be a lot.\u00a0 So, we\u2019re really only getting partial public disclosure here.<\/p>\n<p>That\u2019s a shame.\u00a0 Public concern about fracturing chemicals doesn\u2019t have anything to do with geologic stratigraphy.\u00a0 Spills, bad casing and cementing jobs, loss of well control and failures in waste containment facilities can happen regardless of the depth of your target formation.\u00a0 The potential pathways for contamination are there for <em>all<\/em> wells (and arguably, they\u2019re even higher for shallower wells).\u00a0 So, there\u2019s no rational reason why all wells shouldn\u2019t be required to post their disclosures on Frac Focus.<\/p>\n<p>PA is the only state that\u2019s made this bizarre differentiation between conventional and unconventional wells.\u00a0 We\u2019ll be looking to fix that problem in the future.\u00a0 And in the meantime, we\u2019ll be working overtime to make sure no other state repeats this mistake.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Last night the Pennsylvania (PA) General Assembly passed legislation on fracturing fluid chemical disclosure that, on the whole, isn\u2019t half bad \u2013 particularly considering where they started.\u00a0 Unfortunately, the bill contains a major flaw that prevents us from being able to hold it up as a model for other states to follow.\u00a0 Still, there\u2019s quite &#8230;<\/p>\n","protected":false},"author":5630,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[693],"tags":[17768,17769],"coauthors":[],"class_list":["post-2285","post","type-post","status-publish","format-standard","hentry","category-natural-gas","tag-fracking","tag-hydraulic-fracturing"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Mixed Bag Out Of Pennsylvania On Hydraulic Fracturing Chemical Disclosure - Energy Exchange<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/blogs.edf.org\/energyexchange\/2012\/02\/09\/mixed-bag-out-of-pennsylvania-on-hydraulic-fracturing-chemical-disclosure\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" 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