Coloradans who harbor doubts about whether the state’s oil and gas regulations are strong enough to protect its residents and environment ought to take comfort in an Environmental Protection Agency announcement last week.
The agency proposed a new set of oil and gas pollution controls, many of which are already on the books here in Colorado.
It is yet another affirmation of the Colorado Oil and Gas Conservation Commission’s achievement during the tenure of Gov. Bill Ritter in what was a contentious and lengthy overhaul of the state’s oil and gas regulations.
The EPA’s proposal, along with Gov. John Hickenlooper’s appointments last week to the oil and gas commission, serves as an opportune moment to express our hope that Colorado’s well-vetted oil and gas regulations are not significantly reworked.
Hickenlooper announced eight appointments to the nine-member panel, and since many of them are new or relatively new to the commission, it’s possible the board’s direction could change.
To be sure, in the aftermath of an endeavor as complex as the oil and gas regulatory rewrite, it’s likely there will be rules that need to be tweaked.
The comments that Hickenlooper has made about oil and gas regulation, which date back to when he was campaigning for governor, give us reason to wonder what he might consider tweaks.
In a New York Times magazine story published in January, Hickenlooper was quoted as saying that “we should drill the living daylights out of natural gas and cut regulation.” He also called himself an environmentalist.
Later, a spokesman clarified, saying the context of the quote was lost and that Hickenlooper meant natural gas exploration ought to be supported while adjusting inefficient or ineffective regulation.
And on the campaign trail, Hickenlooper said he supported most of the rules, but he also criticized the overall rule-making process. He said he was “coming from a very different place than Gov. Ritter” on oil and gas issues.
What exactly all that means has yet to play out.
What is clear, however, is that Colorado is sitting in a good position when it comes to the proposed new EPA regulations.
The new rules would require what are known as “green completions.” These are essentially closed-loop systems that minimize the amount of waste product released to the environment after a well is drilled and hydrofractured. Colorado already requires green completions where feasible.
Other rules would reduce leaks from tanks, transmission pipelines, compressors and other equipment.
The EPA contends the rules would save energy extraction companies some $30 million annually since they could sell the gas they are required to capture.
With hydraulic fracturing becoming more widely used — more than 25,000 wells are “fracked” each year — it’s important for the country to have strong yet practical rules in place.
We also know from Colorado’s experience that such rules and a healthy oil and gas industry are not mutually exclusive.
