'It is a sad day for Colorado's economic well-being'

John Swartout, senior vice president for policy and government affairs at the Colorado Oil & Gas Association, on Dec. 10 after the state's Oil and Gas Conservation Commission approved new rules for obtaining drilling permit applications.

John Swartout, senior vice president for policy and government affairs at the Colorado Oil & Gas Association, on Dec. 10 after the state's Oil and Gas Conservation Commission approved new rules for obtaining drilling permit applications:

"Not only is today a disappointing day for Colorado's number one economic contributor, it is a sad day for Colorado's economic well-being. The COGCC commissioners approved rules that create the most expensive, time consuming and burdensome regulatory environment in the nation, all at a time when Colorado should be fighting to keep jobs.

"The overall impact of the rules officially makes Colorado the most challenging state in the nation for the natural gas and oil industry to conduct business. Particularly during these uncertain economic times, Colorado's natural gas and oil industry needs a stable regulatory environment to thrive and today what the COGCC Commissioners approved were rules that create uncertainty and instability.

"In addition, the rules approved today do not achieve last year's legislative intent to create a 'timely and efficient' process for Applications for Permits to Drill (APD) because of the numerous and burdensome layers added to the already cumbersome process. Now, even after an operator receives approval on an APD, a host of new parties (Colorado Department of Wildlife, the Department of Public Health and Environment, and surface owners) can appeal, thus expanding an already burdensome and time-consuming process. Nowhere else in the nation is this even possible."

Contact Nick Snow at nicks@pennwell.com

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