Tuesday, November 8, 2011

Delaware River Basin Commission Posts Revised Natural Gas Drilling Rules

The Delaware River Basin Commission Tuesday posted the revised natural gas drilling regulations it will consider at its November 21 meeting. Also posted was a summary of the comments received on the Commission's proposed regulations.
The revised draft regulations apply to all “natural gas development projects” as that term is defined in Section 7.2 , including the construction and operation of all natural gas wells in the basin, regardless of the target geologic formation, whether a well is for production or exploration, and whether high-volume or low-volume hydraulic fracturing is contemplated. Appurtenant infrastructure is also addressed.
The revised draft regulations are divided into sections that address the purpose, authority and scope of the rule (7.1); definitions (7.2); administrative processes (7.3); water sources and conditions of bulk water use and management approvals for natural gas development projects (7.4); the protection of high value water resource landscapes and Commission-designated Special Protection Waters through mandatory Natural Gas Development Plans (“NGDPs”) for lease holdings of 3,200 acres or more and for all project sponsors who intend to develop more than five well pads (7.5); and the transfer, treatment and discharge of wastewater generated by natural gas development activities (7.6).
The Commission will rely on the oil and gas program of the state in which a natural gas well is located to regulate the construction and operation activities of the natural gas well and well pad for which separate administration by the Commission would result in unnecessary duplication.
If a state or federal regulatory requirement is more stringent than a DRBC requirement, the more stringent regulation would apply. Upon its effective date, which will be 60 days after Commission approval, Article 7 would supersede the Executive Director’s Determinations dated May 19, 2009, June 14, 2010 and July 23, 2010.
If and when adopted, this Article would constitute a joint exercise of the sovereign authority of Delaware, New Jersey, New York, Pennsylvania, and the federal government pursuant to the Delaware River Basin Compact.
The Article would also amend the Commission’s Comprehensive Plan. Commission regulations are one mechanism by which the basin states and federal government work together to manage water resources in an integrated manner for the benefit of all citizens of the basin.
The Commission is expected to take action on the revised regulations at its November 21 meeting. It is not taking comments on the revised regulations prior to or at the meeting.
Click Here for a copy of the revised regulations. Click Here for a Fact Sheet on the revised rules.

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