Global Shale Gas Water Management Initiative 2012

March 28, 2012

Regulating Shale Gas Development in the

Susquehanna River Basin –What’s New?
What We Don’t Regulate

• We don’t regulate mineral resources

• We don’t regulate the drilling, production or

transmission of natural gas

• We don’t regulate the treatment or disposal of

flowback and production fluids

• We don’t regulate water quality

• Specifically, We rely on member jurisdictions for

standards for well casing, treatment and disposal, and

avoid duplication in areas like water quality
What We Do Regulate

• We regulate all water withdrawals associated with

unconventional gas development

• We regulate all water sources associated with

unconventional gas development

• We regulate consumptive use of water associated with

unconventional gas development

• Specifically, we do regulate is water resources and

their use associated with natural gas development
General Regulatory Authorities

•Groundwater withdrawals

100,000 gpd (30 day average)

•Surface water withdrawals

100,000 gpd (30 day average)

•Consumptive Use

20,000 gpd (30 day average)

•Diversions

In-basin: any amount

Out-of-basin: 20,000 gpd (30 day average)
Surface Water Withdrawals

• Waterbody classification

• Aquatic resource survey

• Cumulative impact review

• Aquatic invasive species

• Intake design & metering

• Passby evaluation
Groundwater Withdrawals

• Constant rate aquifer testing requirement

• Prior review and approval

• Groundwater availability analysis

• Recharge area delineation/recharge rates

• 1-in-10 year drought recurrence interval

• 72 hour testing/pre and post monitoring

• Passby evaluation
Consumptive Use

• Cumulative impact

• Sustain flows to Chesapeake

Bay

• Mitigation standard: 1 – 1

• Mitigation options

• Low flow augmentation
Natural Gas Regulatory Adjustments

• July 2008: Approval by Rule process

Public water supply sources

• August 2008: Notice of Determination

Elimination of thresholds/100% consumptive

• January 2009: First Rule Change

Specific natural gas ABR process/gallon 1 threshold

Addition of SRBC-approved sources to ABRs

Lesser quality water incentives

Certification of disposal in accordance w/rules

• November 2009: Second Rule Change

Source list by company (not by ABR)

Source flexibility/source sharing
Natural Gas Regulatory Adjustments

continued

• November 2010: Third Rule Change

Standardized notification requirements

Standardized transfer of approval process

Clarification of administrative appeal process

• December 2011: Fourth Rule Change

Defines new terms including hydrocarbon development project

Administrative approval of interbasin transfers of flowback

Authorizes renewals

Broadens the scope of ABRs

Procedures for further water source approvals for ABR projects
Natural Gas Approvals

As of December 31, 2011

• Surface Water Withdrawals - 201

• Groundwater Withdrawals - 7

• Public Water Supply Systems – 32

• Wastewater Effluent/AMD - 2

• Approvals by Rule (Well Pads) – 1,767
Considerations for the Approval Process

• New online application process for withdrawals:

--Complete application package

--Shorten review time

• Seasonal considerations: ARS/aquifer testing

• Objectively evaluate your source

• New SRBC Meeting Structure

--Public Hearing prior to SRBC meeting

--Public Notice Deadlines for Federal Register
115 withdrawals have passbys
Proposed Low Flow Protection Policy

• Ensures flow alterations related to

withdrawals do not cause adverse impacts

to water resources during low flows.

• Incorporates scientific advances in

ecosystem flow protection criteria.

• Will be used to establish limits and

conditions on withdrawal approvals, or

support denials.
Instream Flow Components
Monthly Q10

Monthly Median

Monthly Q75

Monthly Q95

Ecosystem Flow Components & Statistics
Existing Passby Policy 2003-01

• Applies to all water use sectors

• SW & GW withdrawals

• De minimus threshold: withdrawals </= 10% 7Q10

• PA-MD IFS Model: CW streams <100 mi2 in study area

o % habitat loss per PA Chapter 93 use designation

• Tennant method: streams not covered by IFS Model

o % ADF per PA Chapter 93 use designation

• Passby never less than 7Q10
Improvements Contained in the LFPP

• Establishes criteria to preserve seasonal variability

of natural flow regimes.

• Establishes basinwide aquatic resource classification

system

• Prescribes limits on natural flow alterations based

on monthly or seasonal basis.

• Sets hierarchy of flow protection based on ecological

needs and specific passby flow or conservation

release values on monthly or seasonal basis.

• Improves protection of headwaters.
Policy 2003-01 vs. Draft LFPP

Low flow considered

relative to historic flows

for month rather than

only dry weather period
Improvements in the LFPP continued

• Improves protection of

headwaters

• establishes clear

protection

standards,

• limits or prohibits

withdrawals,

• requires

consideration of

alternative

locations.
Current Analysis

• Water use can be accommodated

• Timing and location of withdrawals is key

• Ongoing cumulative impact analysis

• Reliance on member jurisdiction standards for well

casing, and treatment and disposal

• Real-time water quality monitoring

• Further regulatory program refinement in 2012
SRBC On-Line Resources: www.srbc.net

Water Resource Portal

www.srbc.net/wrp/Default.aspx

Remote Water Quality Monitoring Network

www.srbc.net/programs/remotenetwork.htm

Marcellus Shale & Natural Gas Well

Development

(regulations, info. sheets, ppts, testimonies, maps, related press releases,

etc.)

www.srbc.net/programs/projreviewmarcellus.htm
Paula B. Ballaron, PG

Manager, Policy Implementation &

Outreach

717-238-0423 x 222

pballaron@srbc.net