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Energy Tomorrow Blog

More Good News on Methane Emissions

greenhouse gas emissions  methane emissions  oil and natural gas development  epa  hydraulic fracturing  horizontal drilling 

Mark Green

Mark Green
Posted September 30, 2014

Some talk – some take to the streets – pushing for reductions in greenhouse gas emissions. The oil and natural gas industry is actually doing it. New EPA data supports:

  • Methane emissions from oil and natural gas systems decreased 12 percent since 2011.
  • The largest reductions come from hydraulically fractured natural gas wells – down 73 percent since 2011.
  • Industry’s overall greenhouse gas emissions (CO2 equivalent) decreased 1 percent in 2013 compared to 2012.
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Supplying Energy Supplies Jobs

oil and natural gas jobs  unconventional oil  unconventional gas  hydraulic fracturing  horizontal drilling  fracking  economic growth  government revenues 

Mark Green

Mark Green
Posted September 26, 2014

There’s more evidence that the U.S. oil and natural gas industry is driving economic growth – not just in the industry itself, but also in the vast supply chain that sustains energy development – adding to overall GDP, wages and revenues to government.

A new IHS study, commissioned by the Energy Equipment & Infrastructure Alliance (EEIA) estimates that employment growth in the supply chain that supports unconventional oil and natural gas development – that is, energy from shale and other tight-rock formations with advanced hydraulic fracturing and horizontal drilling – will outpace, by a more than a 2-to-1 margin, the U.S. average from 2012 to 2025.

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Intangible Costs, Real Benefits

energy investment  cost recovery  intangible drilling costs  tax policy  oil and natural gas development 

Mark Green

Mark Green
Posted September 18, 2014

Since its inception the U.S. tax code has allowed taxpayers to recover business costs and be taxed only on net income – the idea being that quick recovery of costs would help spur reinvestment and support business expansion. This, in turn, boosts the economy and serves the national interest.

It is working in energy. Because of the cost of drilling wells and the need to invest in a depleting asset, cost recovery and reinvestment is an important part of the reason America has an energy revolution today. Mechanisms like the one for intangible drilling costs (IDC) help support the entrepreneurial risk-taking and investment that keep the revolution going.

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North Carolina Edges Closer to Safe, Responsible Fracking

hydraulic fracturing  horizontal drilling  regulation  safe operations  shale benefits  oil and natural gas development 

Mark Green

Mark Green
Posted August 20, 2014

North Carolina is about to join America’s energy revolution. This week the state’s Mining and Energy Commissions (MEC) conducted the first of four scheduled public hearings on proposed hydraulic fracturing regulations, the final adoption of which could allow fracking as early as next spring.

The MEC hearings mark the close of a two-year process to lift a 2012 moratorium on hydraulic fracturing in North Carolina. The presence of vast shale reserves and the marriage of safe, responsible hydraulic fracturing and horizontal drilling launched the U.S. energy revolution – with stunning results. The U.S. is now the world’s leading natural gas producer and could become No. 1 in oil output next year, according to the International Energy Agency – generating thousands of new jobs and boosting the national economy.

While North Carolina doesn’t have energy-bearing shale deposits as large as those in Texas, North Dakota, Pennsylvania and other states, it has enough to create jobs and help its economy.

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Revisiting Energy and Taxes

tax rates  intangible drilling costs  cost recovery  investment  jobs creation  economic growth 

Mark Green

Mark Green
Posted August 6, 2014

America’s oil and natural gas industry sends an average of $85 million a day to the federal government in the form of taxes, rents, royalties and bonus payments. Averaged over 2007-2012, the industry’s effective tax rate – income taxes paid to governments, divided by pretax income – was 44.6 percent. That’s well above the averages for other industries over the same time period.

We say all that to say this: Attacks that claim the oil and natural gas industry isn’t paying its fair share and/or that it gets special treatment are ridiculous. Industry is paying its fair share and then some – even as it supports 9.8 million jobs and 8 percent of the U.S. economy.

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Across Party, Age and Gender – Strong Support for Offshore Drilling

offshore energy development  oil and natural gas access  atlantic ocs  outer continental shelf  drilling  economic growth 

Mark Green

Mark Green
Posted July 23, 2014

There are three connected points in a new poll of registered U.S. voters on domestic oil and natural gas development that should resonate in Washington: Strong majorities of registered voters support more domestic drilling and production, they don’t think the federal government does enough to encourage development of domestic resources and they’re inclined to vote for political candidates who support oil and natural gas development here at home.

AP Upstream Group Director Erik Milito talked about the survey of 1,012 registered voters and issues related to increasing access to domestic oil and natural gas reserves during a conference call with reporters:

“Voters from across the political spectrum want to find and tap the vast oil and natural gas resources waiting to be discovered off our shores. Our industry stands ready to do the job safely and responsibly, and the benefits to our economy and our national security are impossible to deny. All the federal government needs to do is say, ‘Yes.’”

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American Energy, America’s Communities

api standards program  industry standards  energy development  hydraulic fracturing  horizontal drilling  oil and natural gas  government revenue  community  exploratory well 

Kyle Isakower

Kyle Isakower
Posted July 9, 2014

Hydraulic fracturing is a proven, safe technique that has been used since 1949 in over one million wells right here in the U.S. As a result, America is now the number one producer of natural gas in the world, and by 2015, it is expected that we will take the top spot in crude oil production. Of course, with this success, come both benefits and challenges.

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American Energy – A Clear Choice

american energy  oil and natural gas development  lng exports  hydraulic fracturing  shale benefits  drilling  access  regulation 

Mark Green

Mark Green
Posted June 6, 2014

America has a clear choice on energy. An historic American energy revolution is in progress -- thanks to vast shale reserves safely developed with advanced drilling technologies, industry innovation and leadership. This revolution is creating jobs, strengthening our economy and making our country more secure and muscular in the world. With the right energy choices the revolution can continue and grow.

Yet, somehow, Washington is conflicted. While the Obama administration embraces the shale revolution as integral to its all-of-the-above energy strategy, it advances policies fraught with the potential to needlessly hinder it. Instead of taking actions to enhance America’s energy renaissance, the administration is engaged in a regulatory march that quite likely could diminish it. Sustaining this energy revolution should be a no-brainer – not the brain-bender the administration is fostering with muddled vision and contradictory statements.

During a conference call with reporters this week, API President and CEO Jack Gerard discussed inconsistencies between what top administration officials say about U.S. energy development and what the agencies under them are doing to U.S. energy development.

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Taking Safety Seriously

oil spill prevention and response  Spill Prevention  energytomorrow  transportation  hydraulic fracturing  exxon  horizontal drilling 

Mark Green

Mark Green
Posted May 6, 2014

The major themes of the 2014 International Oil Spill Conference – prevent, prepare, respond, restore – reflect the priority industry places on safety in transporting oil and petroleum-based products.

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Jobs Delayed in New York: Energy Story Remains Unfinished

oil and natural gas development  new york  new york drilling moratorium  hydrofracking  fracking  economic growth  marcellus 

Mark Green

Mark Green
Posted April 21, 2014

Probably nowhere is the economic impact of shale energy development more dramatic than in the contrast between two neighboring states – Pennsylvania and New York. The former allows hydraulic fracturing in the energy-rich Marcellus shale belt that runs through much of the state, the latter doesn’t – even though the Marcellus continues into the Empire State and could provide a big jobs boost on its Southern Tier.

Indeed, while New York is not a top producing state, the oil and natural gas industry still is driving strong job creation and economic growth. In a PwC study, New York ranked 7th in the country in overall impact from oil and natural gas development.

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