July 8, 2015 Briefing Note to the NB commission to study the issue of hydraulic fracturing Current Context There are high expectations among the concerned public, organized in local communities across the province, but especially in the south eastern portion of NB, that the Commission will consult with them, and ultimately recommend against pursing hydraulic fracturing for shale gas at this time given health, environmental and economic risk factors. The Conservation Council has spent extensive time in the last few years researching, visiting shale gas plays (McCully NB, Horn River BC, Fayetteville Arkansas, and the Marcellus New York and Pennsylvania) and understanding community concerns about its development. Over the course of the Commissions’ review, we offer to meet with the members, provide scientific information and provide connections and contacts to N.B community organizations and to organizations and experts in other jurisdictions, especially New York State, where we feel there is a common sense model to follow. Conservation Council Recommendations: 1. Build a strong partnership with New York State government, particularly by connecting with the NY State Health Commissioner, Environmental Protection Commissioner, and Governor Andrew Cuomo. 2. Set meetings with organized local community groups across the province, especially in impacted areas, to hear their concerns about water, rural industrialization, health and others. 3. Carefully review the recommendation 4.2 of the MOH report of 2012, where she calls for a Strategic Health Impact Assessment. This type of comprehensive assessment would be similar to the work of the NY State Health Department and the US EPA. 4. Undertake an in-depth review of alternative job creation scenarios, including ambitious energy efficiency programs and clean energy and technology developments. This kind of assessment would be its first and help everyone better understand the jobs vs. environment arguments. Background Environmental, health and climate impacts from hydraulic fracturing for shale gas (HFSG) are felt regardless of where the industry operates. Therefore, there are recent developments in other jurisdictions that must be considered in this examination. 1. The Canadian federal government-commissioned a report by the Canadian Council of Academies which included 14 expert scientists who identified that: • Water contamination from leakage around improperly sealed well bores and migration through geological fractures, poses the largest risk from the industry • Increased greenhouse gas emissions, seismic activity, socioeconomic disruption and poor scientific monitoring pose a problem for shale gas extraction; • There is a lack of knowledge of health and social effects from development; a Health Impact Assessment framework is required at the provincial level to determine short and long term impacts; • There has been no comprehensive investment in the research and monitoring of environmental impacts; • If shale investment moves capital away from renewable power, it could make the climate change situation worse; and • Places where development and population intersect (like New Brunswick), special considerations must be made for the appropriateness of the industry, especially if those populations are dependent on groundwater wells. 2. Democratic Governor Cuomo of New York State announced in December 2014 his plans to ban HFSG based on the findings of the New York State Department of Health and Health Commissioner Dr. Zucker’s Report released December 2014, including: • Air impacts that could affect respiratory health due to increased levels of particulate matter, diesel exhaust, or volatile organic chemicals. • Climate change impacts due to methane and other volatile organic chemical releases to the atmosphere. • Drinking water impacts from underground migration of methane and/or fracking chemicals associated with well construction. • Surface spills potentially resulting in soil and water contamination. • Surface-water contamination resulting from inadequate wastewater treatment. • Earthquakes induced during fracturing. 3. The Bureau des audiences publique sur l’environnement, BAPE, (Environmental Assessment Review Board) determined there is little evidence to support the oil and gas lobby’s claim that hydraulic fracturing would be advantageous for Quebec. The BAPE found that shale gas development could increase Quebec’s greenhouse gas emissions by three to 23.2 per cent and engender consequences for the quality of the environment, particularly on the quality of surface and underground water; 4. The Geisinger Health System, the lead organization in the collaborative Marcellus Shale Initiative, cares for many patients in areas where shale gas is being developed in Pennsylvania. It began pilot studies in 2013 using well and infrastructure data to estimate exposures to all aspects of Marcellus shale development in Pennsylvania. According to the National Institutes of Health (NIH) abstract, they will use these exposure estimates to evaluate whether asthma control and pregnancy outcomes are affected by Marcellus shale development by studying 30,000 asthma patients and 22,000 pregnancies in the Geisinger Health System from 2006-13. Results from this study are not expected to be available for several years; 5. Momentum is building for governments (national, provincial and local) to take increased action on climate change in the lead up to December's Paris meeting on climate change: • Quebec’s Premier hosted a Premier’s conference on climate change and energy in April where the premiers, including Premier Gallant, released a declaration containing several commitments for greater cooperation and meaningful action to curb climate change. The 12-point declaration included commitments from premiers to transition to a lower-carbon economy, noting that could involve carbon pricing, and putting policies in place to reduce climate change-causing pollution, such as increasing energy efficiency and conservation and using clean and renewable energy. In the declaration, the premiers said they recognize the cost of inaction is greater than the cost of acting on climate protection, and that the fight against climate change would create sustainable, long-term jobs, especially in areas such as renewable energy and energy efficiency. 6. In April, Ontario and Quebec together announced that Ontario will implement a cap and trade system that puts a price on carbon and intends to link it to Québec and California's joint carbon market. 7. Democratic Governor Jerry Brown announced in January his intention to reduce petroleum use in cars by as much as 50 percent within 15 years, make heating fuels cleaner and increase to one-half from one-third the proportion of electricity California derives from renewable sources; and, 8. Washington State Governor Jay Inslee announced his intention to bring in caps of greenhouse gas pollution from large industry, by 2016, generating about $1 billion in new state revenue for transportation, health care and education. Inslee’s plan also includes tax breaks for electric and zero-emission cars and investments in clean energy like solar and hydro power. 9. New York State just released their Final Supplemental Generic Environmental Impact Statement on HFSG which began in 2009 and had over 260,000 public comments on drafts. It said” • Replacing coal with natural gas may suppress investment in solar and wind power and energy efficiency measures because those clean energy sources could become less cost-competitive with fossil fuels; • There would be intolerable human health and environmental costs, including degraded air quality from increased amounts of vehicle exhaust and particulate matter in the air, and possible groundwater and surface water contamination from poor well construction and chemical spills; and • New York’s policies are directed towards achieving substantial reductions in GHG emissions by reducing reliance on all fossil fuels, including natural gas. The New York Department of Environmental Conservation followed this report with their Findings Statement that said: “there are no feasible or prudent alternatives that would adequately avoid or minimize adverse environmental impacts and that address the scientific uncertainties and risks to public health from this activity. The Department’s chosen alternative to prohibit high-volume hydraulic fracturing is the best alternative based on the balance between protection of the environment and public health and economic and social considerations.” 10. The US Environmental Protection Agency just released its long awaited review of Hydraulic Fracturing for Oil and Gas and Its Potential Impact on Drinking Water Resources. The study began in 2011 and the scope of the research includes the full lifespan of water in hydraulic fracturing. The report highlights include: The report clearly states that fracking activities have resulted in “impacts on drinking water resources, including contamination of drinking water wells,” but the EPA researchers “did not find evidence that these mechanisms have led to widespread, systemic impacts on drinking water resources in the United States.” The phrase ‘did not find evidence’ is important; it doesn’t mean pollution isn’t happening, just that the EPA couldn’t find evidence in the data it was able to obtain and study for this report. When data is not being adequately collected, it is no surprise that evidence is not found. The EPA points this out, saying the lack of widespread impacts could be due to “other limiting factors” — such as gaps in the data it was able to study. “Data limitations” it encountered meant it was impossible to know with certainty just how often fracking activities polluted drinking water in the U.S. “It was never a study designed to determine whether fracking is safe or not,” Thomas Burke, the Science Advisor to the EPA, said in the June 11 interview to CBC New Brunswick. “It was a study determined to look at the use of water and the potential vulnerabilities of our drinking water resources.” References Bureau d’audiences publiques sur l’environnement. 2014. Les enjeux liés à l’exploration et l’exploitation du gaz de schiste dans le shale d’Utica des bassesterres du Saint-Laurent, Rapport d’enquête et d’audience publique. http://www.bape.gouv.qc.ca/sections/rapports/publications/bape307.pdf Council of Canadian Academies, 2014. Environmental Impacts of Shale Gas Extraction in Canada. Ottawa (ON): The Expert Panel on Harnessing Science and Technology to Understand the environmental Impacts of Shale Gas Extraction, Council of Canadian Academies. http://www.scienceadvice.ca/uploads/eng/assessments%20and%20publications %20and%20news%20releases/shale%20gas/shalegas_fullreporten.pdf Gesner Health Research Foundation, 2013. Redefining boundaries: Marcellus shale research initiative. http://www.geisinger.org/for-researchers/research-atgeisinger/includes/pdf/research-cnx-winter-010113.pdf and http://www.geisinger.org/100/pdf/Marcellus_Shale_Research_Case_for_Support_2 013.pdf New Brunswick Department of Health, Office of the Chief Medical Officer of Health, 2012. Chief Medical Officer of Health’s Recommendations Concerning Shale Gas Development in New Brunswick. http://www2.gnb.ca/content/dam/gnb/Departments/hs/pdf/en/HealthyEnvironments/Recommendations_ShaleGasDevelopment.pdf New York State Department of Environmental Conservation, 2015. Final supplemental generic environmental impact statement on the oil, gas and solution mining regulatory program: Regulatory Program for Horizontal Drilling and HighVolume Hydraulic Fracturing to Develop the Marcellus Shale and Other LowPermeability Gas Reservoirs. http://www.dec.ny.gov/energy/75370.html New York State department of environmental Conservation, 2015. Final supplemental generic environmental impact statement on the oil, gas and solution mining regulatory program: Findings Statement. http://www.dec.ny.gov/docs/materials_minerals_pdf/findingstatehvhf62015.pdf New York State Department of Health, 2014. A public health review of high volume hydraulic fracturing for shale gas development. http://www.health.ny.gov/press/reports/docs/high_volume_hydraulic_fracturing.p df United States Environmental Protection Agency, in progress. Study of Hydraulic Fracturing for Oil and Gas and Its Potential Impact on Drinking Water Resources. http://www2.epa.gov/hfstudy