Obama Creates Working Group on Gas Drilling
The State Journal
13 April 2012
By Mathew Daly
Associated Press
WASHINGTON (AP) — The Obama administration said April 13 it is
creating a high-level working group to coordinate federal
oversight of natural gas production, amid industry complaints that
excessive regulation could stymie a natural gas boom that has
pushed prices to 10-year lows.
In an executive order signed April 13, President Barack Obama said
the group was needed to make sure a host of federal agencies that
oversee drilling work together.
"It is vital that we take full advantage of our natural gas
resources, while giving American families and communities
confidence that natural and cultural resources, air and water
quality, and public health and safety will not be compromised,"
Obama said.
Natural gas production has soared in recent years as drillers use
techniques such as hydraulic fracturing to gain access to wells
that were hard to reach in the past.
Hydraulic fracturing, also called fracking, involves blasting
mixtures of water, sand and chemicals deep underground to
stimulate the release of gas. It is often combined with horizontal
drilling, which can increase production far beyond a vertically
drilled well.
Industry groups welcomed the working group, which appeared timed
to counter criticism from some business leaders and Republicans,
who have accused Obama of having a double standard on drilling —
saying he supports it, while cracking down on it.
"We have called on the White House to rein in these uncoordinated
activities to avoid unnecessary and overlapping federal regulatory
efforts and are pleased to see forward progress," said Jack
Gerard, president and CEO of the American Petroleum Institute, the
largest lobbying group for the oil and gas industry.
Gerard and other industry leaders met with White House officials
on April 13.
Dave McCurdy, president and CEO of the American Gas Association,
said the new working group will help promote consistency among
administration policies.
The group, headed by White House energy adviser Heather Zichal,
includes representatives of about a dozen agencies that oversee
various aspects of drilling, including the Interior,
Transportation and Energy departments, as well as the
Environmental Protection Agency and White House Council on
Environmental Quality.
The EPA is poised to regulate air pollution from oil and gas wells
as soon as next week. The agency also has pursued tighter rules on
wastewater from drilling operations.
The Interior Department, meanwhile, is expected to issue new rules
in the next few weeks on natural gas drilling on public lands.