RULES OF THE ROAD: Why and How to Regulate Fracking Ann Alexander Senior Attorney, Midwest Program Natural Resources Defense Council National Moot Court Championship January 23, 2014 Risks associated with fracking Hot topics in fracking regulation Risks of High-Volume Horizontal Fracking Air emissions Depletion of water resources, aquatic life impacts Hazardous chemicals; industry seeks trade secret protection Out-of-zone fractures, disturbance of pollutants Leaks, spills, volatilization Leaks from disposal wells; impact on sewage treatment plants; seismicity Rising Concerns about Health Impacts from Natural Gas Production The National Institute for Occupational Safety and Health (NIOSH) National Environmental Public Health Tracking Network Concerning finding: “They found that proximity to fracking increased the likelihood of low birth weight by more than half, from about 5.6 percent to more than 9 percent. The chances of a low Apgar score, a summary measure of the health of newborn children, roughly doubled, to more than 5 percent.” Need for independent studies: “Much of the available research has been sponsored either by the energy industry or by its critics. Independent studies have found evidence of well-water contamination in areas close to fracking activity.” Prior Difficulty in Obtaining Data: “Establishing a direct link between fracking and human health, though, has been complicated by a lack of information on the chemical substances used in the process and the difficulty of obtaining health records that include residence data.” Establishing causation: “While the study strongly indicates that fracking is bad for infant health, more work is needed to understand why.” Health Threats From Oil & Gas Development with Fracking Air Quality Diesel Particulate Matter (PM) (respiratory and cardiovascular) Ozone (respiratory) Air Toxics (respiratory, neurological and immune system, carcinogens) Silica (lung disease) Noise & Light Pollution (Sleep disturbances, cardiovascular impacts) Public Safety Accidents, Explosions, Fires Water and Soil Contamination Spills, Leaks, Chemical Migration, and Waste Disposal Methane in Drinking Water (explosive & asphyxiation hazard) Types of Air Pollution from Natural Gas Development and Processing Local Diesel Particulate Matter (PM) Air Toxics (i.e. benzene, formaldehyde, etc.) Silica Regional Ozone Precursors (VOCs and NOx) Global Global warming pollutants (methane) Pollutants and Sources from Shale Gas Development and Production Local Impacts Table used with permission from Robinson AL. 2012 Air Pollutant Emissions from Shale Gas Development and Production. IOM Roundtable http://www.iom.edu/Activities/Environment/EnvironmentalHealthRT/2012-APR-30.aspx State of Wyoming, Department of Health. 2013. Associations of Short-Term Exposure to Ozone and Respiratory Outpatient Clinic Visits — Sublette County, Wyoming, 2008–2011. http://www.health.wyo.gov/news.aspx?NewsID=589 Proximity to well sites was linked to increased levels of air toxics and associated health risks: • Median levels of xylenes were 9 times higher in immediate proximity • Elevated risk for respiratory and neurological impacts within ½ mile • Elevated cancer risk within ½ mile Several additional recent studies have identified oil and gas production as contributing to poor air quality. Federal regulatory efforts require pollution controls but fail to address all sources, phases, and types of drilling; and delay safeguards until 2015. Threats to Drinking Water Quality Surface Contamination Spills Waste disposal through WWTPs Resource Depletion Sub-Surface Threats Faulty Well Construction Unidentified Faults and Fractures Abandoned Wells Unintended Fracturing Underground injection waste disposal Contaminants: Methane, Hydrocarbons, BTEX, Radioactivity, Metals, Other ? • Study was conducted in NY and PA. • Found an association between shale gas extraction and methane contamination of drinking water. • Levels in some wells pose health and safety risk. Pavillion, Wyoming groundwater contamination investigation • Methane and dissolved hydrocarbons found in private wells. • Shallow ground water contaminated with: benzene, xylene, and hydrocarbons. • Suspected contamination of deeper groundwater resources. Other Public Health Threats Photo by Thinkstock.com Risks to food supply Strain on healthcare system Increased traffic deaths Earthquakes Psychosocial stress/community disruption Federal Exemptions and Loopholes Resource Conservation and Recovery Act (waste disposal) Safe Drinking Water Act (underground injection) Superfund law (spill cleanup) Clean Water Act (permits for discharge of pollutants) Clean Air Act (aggregation of sources) Federal Motor Carrier Safety Regulations (governing trucker shift hours) Emergency Planning and Community Right to Know Act (reporting of toxic releases) National Environmental Policy Act (EIS requirement) State Regulation Overview Fracking has historically occurred in many states for decades, but not so much (i) high volume, and (ii) horizontal States where fracking is occurring regulate it in some form, but strength of regulations varies greatly Ongoing or anticipated development of new fracking regulations in New York, Illinois, California, North Carolina, Michigan. State Regulation Applicability Necessity of a threshold Basis for threshold Non-water fracks State Regulation Chemical disclosure Timing of disclosure Substance of disclosure Location of disclosure Trade secret protection Disclosure to health professionals of trade secret-protected information Least toxic alternative analysis State Regulation Chemical disclosure State Regulation Chemical disclosure State Regulation Chemical disclosure State Regulation Setbacks Setback distances (and measuring parameters) Scope of protection Basis for setbacks and supporting data Waivers State Regulation Public participation Application requirements Notice and comment Public hearings Citizen suits Challenges to trade secret protection determinations State Regulation Fluid storage and disposal Pits versus tanks Testing requirements Allowed disposal methods State Regulation Water use Withdrawal location identification Minimization/recycling requirement Drought emergency State Regulation Air emissions Federal regulations still leave gaps: Oil not covered Methane not covered Photo © Robert Donnan State Regulation Water testing/presumption of liability When to test Where/how to test What to test for Presumption of liability State Regulation Other Well preparation and drilling requirements Permit suspension and revocation Seismicity regulations Ban on injection of diesel Plugging abandoned wells Reclamation requirement Bonding and insurance requirements Huffington Post photo thank you