The Interstate Oil & Gas Compact Commission agreed with the US Department of Energy's Fossil Fuels Office on Oct. 2 to collaborate on natural gas supply and delivery and climate-change mitigation issues.
At its 2009 annual meeting Oct. 4-5 in Biloxi, Miss., IOGCC adopted two new resolutions related to that agreement. Resolution 106 supports continued environmentally responsible domestic shale gas development. Resolution 107 supports state regulation of all forms of carbon dioxide geological storage.
Both resolutions reiterate a point IOGCC and its members have made for months: State regulators are more qualified than their federal counterparts to develop and enforce rules for these emerging technologies.
It may be particularly true of shale gas. The resolution notes that domestic gas production's share of total US gas supplies is expected to increase from 84% in 2007 to 97% in 2030. "Gas from shale formations is expected to be the fastest-growing source…during the same time frame," it says.
Concerns expressed
The resolution acknowledges concerns over potential shale gas impacts associated with hydraulic fracturing, infrastructure, development in urban areas, and other issues.
It also reiterates IOGCC's stance that its member states already have effective regulatory systems to protect water, air, soils, and other resources as well as public health and safety.
"IOGCC, while believing no further study is necessary, urges the [US Environmental Protection Agency] to provide for the states to participate as a partner should any new studies be undertaken on the impacts of hydraulic fracturing," the resolution says.
It also urges DOE to continue providing financial and technical support for IOGCC to maintain and enhance initiatives supporting safe and environmentally sound shale gas development.
Carbon storage
The second new resolution involves carbon capture and storage, a crucial emerging technology in addressing global climate change. It says that IOGCC member states already are involved through legislative and rulemaking activities which would recognize that CO2 injections for enhanced oil recovery could be converted to ultimate geologic storage.
It encourages states, in conjunction with federal initiatives, to adopt suitable regulatory frameworks so the oil and gas industry and financial markets will have a road map to develop CCS projects.
In an address at the meeting, Texas Gov. Rick Perry, who will succeed Oklahoma Gov. Brad Henry as IOGCC's chairman in 2010, emphasized the organization's obligation to be a major domestic energy conservation voice. "I believe that anyone discussing energy in our nation and world must begin by acknowledging the essential role that oil and gas have played throughout our history and the reality that they must continue as fundamental elements of our energy portfolio," Perry said.
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