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Industry experts, state regulators and environmental leaders took part in an informative discussion and question/answer session on Marcellus Shale natural gas drilling at a forum hosted by the PA Chamber Educational Foundation and the Lancaster Chamber of Commerce & Industry on Thursday, Oct. 27 in Lancaster, PA.

The program, “Marcellus Shale Forum: Opportunities and Answers for Pennsylvanians,” was the first in a series of statewide forums hosted by the PA Chamber and many of its local chamber of commerce partners and attended by area business leaders and members of the general public.

The panelists included Department of Environmental Protection Secretary Michael Krancer; DEP Deputy Secretary of Oil and Gas Management Scott Perry; American Petroleum Institute Chief Economist John Felmy; Pennsylvania Independent Oil & Gas Association President and Executive Director Lou D’Amico; and Pennsylvania Environmental Council President and CEO Paul King.

The panelists shared insights on what the natural gas reserve means for the Commonwealth’s economy; responsible regulation of the industry; public health and safety issues; and impact fee proposals under debate in the General Assembly, among other topics related to the industry:

 Krancer and Perry provided an overview of state regulators’ efforts to ensure that Marcellus Shale drillers are following Pennsylvania’s natural gas industry standards, which are among the strictest in the nation, according to the DEP chief.

Krancer and Perry said Pennsylvania has led the way in setting rules for water management, wastewater recycling, total dissolved solids standards and well construction; and predicted that additional regulations are forthcoming based on the Marcellus Shale Advisory Commission’s final report. The DEP officials praised the work of commission members (which included PA Chamber President Gene Barr) and noted that the majority of the commission’s 96 recommendations propose setting even stricter environmental standards.  

Felmy, a Pennsylvania native, expressed his excitement that the natural gas industry is bringing economic opportunity to areas of the state where jobs were once scarce. As an economist, Felmy said he understands the enormous financial impact of the Marcellus Shale and encouraged the expansion of natural gas drilling to become a vital part of Pennsylvania’s diverse energy mix. 

D’Amico stated that in national studies, Pennsylvania’s natural gas regulations are consistently ranked among the strongest in the country – a fact he is proud of because of the open process in which they were adopted. Going forward, D’Amico promoted continued transparency in regulatory development and agreed with other panelists that the current economic climate resulting from Marcellus Shale drilling presents a time unlike any other in Pennsylvania’s history.

Since the emergence of Marcellus Shale drilling, the Pennsylvania Environmental Council has been determined to uncover the facts, according to King. He informed the audience that after careful study, PEC concluded that the natural gas industry presents both an extraordinary opportunity and a challenge for Pennsylvania. He shared the council’s six guiding principles to ensure the responsible expansion of the industry, including: requiring a strong process management system; informed decision making; stakeholder input; an open and predictable process; the adoption of best standards and practices; and the quick adoption of laws. 

Prior to a question/answer session with the audience, every panelist agreed on two main points: 1. The growth of the natural gas industry must be done properly and with as little environmental impact as possible; and 2. The ongoing debate on whether to levy a tax or fee on drilling companies can’t be based on taxes assessed in other drilling states simply because each state has a unique tax structure.

The forum also featured testimonials from businesses involved in the industry. Sharing their story were Mark Lauriello, president, RETTEW Associates; and Thomas W. Bergen, esquire, Hartman Underhill Brubaker.

Video streaming of the forum will be available on the PA Chamber website in the near future.

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Founded in 1916, the Pennsylvania Chamber of Business and Industry is the state's largest broad-based business association, with its membership comprising businesses of all sizes and across all industry sectors. The PA Chamber is The Statewide Voice of Business.