Press Release

PUC Seeks Comment on Implementation of Impact Fee Provisions

Published on 3/15/2012

Filed under: Gas

HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today issued for comment a Tentative Order on various aspects of the implementation of Act 13 of 2012, which authorizes the state’s counties to adopt an impact fee related to unconventional natural gas well drilling.

“Today’s Order represents an important first step in implementing the Commission’s duties under the act,” said Commissioner Pamela Witmer.  “I look forward to working with all of the stakeholders in a transparent manner to ensure that the implementation goes smoothly.”

The Commission voted 5-0 to receive comments on key portions of the Act that the PUC is required to administer including the procedures the PUC will use to implement, collect and distribute the impact fee as directed by the law.  The Order also seeks comments on the procedures the PUC will use to evaluate local government ordinances regulating gas and oil operations.

The Tentative Implementation Order contains information on the:

• Implementation plans;
• Producer report;
• Advisory opinion request form;
• Request for review form;
• Municipal budget report; and
• Impact fee disbursement report.

On Feb. 14, 2012, Governor Corbett signed into law Act 13 of 2012, the Unconventional Gas Well Impact Fee Act, which amended Title 58 (Oil and Gas) of the Pennsylvania Consolidated Statutes.  The PUC is responsible for implementing the provisions contained in Chapters 23 and 33 of the Act. Chapter 23 provides for the imposition, collection and distribution of an unconventional gas well fee (also called a drilling impact fee). Chapter 33 governs local ordinances that impose conditions, requirements or limitations on oil or gas operations. The PUC has created a page on its website for Act 13 information.

Interested parties have 20 days from the entry of the Tentative Order to comment on these issues. Specific instructions on how to officially file comments with the PUC can be found in the Order. A Final Implementation Order will be based on these comments.

The Pennsylvania Public Utility Commission balances the needs of consumers and utilities to ensure safe and reliable utility service at reasonable rates; protect the public interest; educate consumers to make independent and informed utility choices; further economic development; and foster new technologies and competitive markets in an environmentally sound manner.

For recent news releases, audio of select Commission proceedings or more information about the PUC, visit our website at www.puc.state.pa.us.

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Docket No. M-2012-2288561

Contact:

• Press Secretary
  717-787-5722