Gas impact fee bill wins in House

www.timesleader.com/news/Gas_impact_fee_bill_wins_in_House_11-18-2011.html
By Steve Mocarsky smocarsky@timesleader.com
November 18, 2011

Most area legislators oppose the measure as favoring drillers. Next stop is Senate.

HARRISBURG – The state House of Representatives on Thursday passed GOP-backed House Bill 1950, which imposes an impact fee on gas drillers.

The bill passed 107-76 and now moves to the Senate for consideration.

State Rep. Tarah Toohil, R-Butler Township, was the only legislator from Luzerne County to vote in favor of the bill, which would levy a $40,000-per-well fee in the first year of production that would decline $10,000 each year in the second through fourth years and remain at $10,000 through the 10th year. About 75 percent of the revenue would go to local governments, and 25 percent to statewide initiatives.

“This legislation is a fair compromise for the people of Pennsylvania and the natural gas industry,” Toohil said. “I believe it protects both our citizens and the environment and, at the same time, allows for continued job growth in an industry that holds such great economic promise for our state.”

State Rep. Karen Boback, R-Harveys Lake, said she prided herself “on voting with my constituents on this issue” when she cast a no vote. “Of the hundreds of comments I have received, not one person suggested I should vote for this legislation.”

Boback said the bill does not go far enough to protect the water and air, and “usurps the rights of local governments. While I did support amendments to increase local control in comparison to the original language, these revisions did not go far enough.”

Boback said the bill fails to address gas pipelines laid in non-drilling counties. Luzerne County, in which pipelines and compressor stations are planned, “deserves an opportunity to collect an impact fee and rectify any problems caused by the industry,” she said.

State Reps. Phyllis Mundy, D-Kingston, and Eddie Day Pashinski, D-Wilkes-Barre, respectively called the bill “an early Christmas present for big oil and gas” and “a bad bill for the taxpayers.”

Mundy said the bill “raises little revenue from corporations that are making huge profits from the Commonwealth’s natural resources, erodes local control over drillers and gives the secretary of the Department of Conservation and Natural Resources nearly unfettered power to take land for this industry” through eminent domain.

Pashinski said the bill’s effective maximum tax rate of 1 percent per well was “extremely low” compared to other natural gas producing states, such as Texas’ 5.5 percent and West Virginia’s 6 percent rates.

“Polls show the public overwhelmingly supports a fair tax on drillers, but this bill is nothing more than political cover for many Republicans,” he said.

The Senate on Tuesday separately passed a companion bill that removed more authority over drilling from local government. The two bills must now be reconciled.

Key Delaware River gas drilling vote postponed

www.timesleader.com/news/ap?Key-Delaware-River-gas-drilling-vote-postponed&a=2209283&e=30097

TRENTON, N.J. (AP) — With two of five members opposed, a multistate agency that has spent years developing regulations for natural gas drilling in the Delaware River watershed has delayed a key vote scheduled for Monday.

The Delaware River Basin Commission announced Friday it was postponing a vote on hydraulic fracturing, or fracking, to give the agency’s five commissioners more time to review the draft regulations. No new meeting date has been set.

The rules need three votes to pass, though the commission had been hoping for unanimous support.

Delaware Gov. Jack Markell told the commission Thursday that he would not support the regulations because of concerns over drinking water protections. Earlier, New York had announced it would vote no. New Jersey and Pennsylvania had not announced how they would vote, but it was believed both would vote yes. It’s not known how the fifth member, the federal Army Corps of Engineers, was planning to vote.

Fracking involves injecting water, sand and chemicals underground to break up shale and rock, releasing natural gas.

The commission manages water use for the Delaware River Basin, and environmentalists say the drilling would threaten drinking water for 15 million people.

The proposed rules would allow 300 natural gas wells in the Delaware River Basin, followed by a commission review before more are phased in. The eventual total could reach many thousands of wells.

Pennsylvania already allows drilling outside the watershed area. New Jersey has no Marcellus shale, so its interest in the issue revolves around water quality.

The federal Environmental Protection Agency is studying the effects of fracking, with a draft report due next year.

Environmental groups have gathered more than 73,000 signatures on a petition opposing drilling in the watershed.

Gas industry looking to generate more cash with exports

www.timesleader.com/news/Gas_industry_looking_to_generate_more_cash_with_exports_11-14-2011.html
November 14, 2011
ANDREW MAYKUTH The Philadelphia Inquirer
Department of Energy has received five applications from companies.

The shale-gas bonanza is fueling a hot competition among businesses that want to claim a share of what is promoted as an abundant long-term energy source.

T. Boone Pickens​ is pitching compressed natural gas as a cheap motor fuel. Electricity suppliers want gas to fire up new power plants.

And the chemical industry, which buys natural gas as a raw material for plastics, says fuel from resources like Pennsylvania’s Marcellus Shale​ could inspire a resurgence of U.S. manufacturing.

Now, another potentially large rival market for natural gas is emerging: Exports.

The Department of Energy has received five applications from companies that want to create terminals to ship liquefied natural gas (LNG) overseas. One application has been approved.

The natural gas industry, which is eager to sell more fuel, says overseas markets could generate billions of dollars in export earnings, improve the nation’s balance of trade and boost the economy in shale-gas  areas such as Pennsylvania.

“Exports represent a good opportunity for the United States,” said James J. Balaschak, a principal of Deloitte Services L.P., based in Philadelphia.

The five export facilities could ship up to 6.6 billion cubic feet of gas a day to foreign countries, about 10 percent of total current domestic U.S. consumption.

But some gas customers say exports will drive up domestic prices, mostly benefit gas producers and undermine a chief virtue of natural gas — energy independence.

Jim Collins, a representative of the American Public Gas Association, said at a Senate committee hearing last week that allowing natural gas exports would produce “predictable and disastrous” results for household consumers.

Collins, a utility official in Hamilton, Ohio, said “U.S. policymakers must carefully consider and prioritize the use of domestic resources according to the national interest over both the short and long terms.”

U.S. Sen. Jeff Bingaman, D-N.M., chairman of the Senate Energy and Natural Resources Committee, appeared to be sympathetic.

“How can we ensure that our export policy is consistent with our continued ability to reap the benefits of our newfound abundance of natural gas?” Bingaman said.

Just six years ago, the natural gas industry was scrambling to import LNG to meet America’s increasing demand.

But then came shale-gas production. The industry says the country is sitting on a 100-year supply.

Pennsylvania’s more than 4,000 Marcellus wells now produce more gas than the state consumes. With production expected to multiply, the industry is contemplating reversing the flow of pipelines that now carry natural gas from the Gulf coast to the Northeast.

Some senators expressed no fear that exports would harm the domestic market.

“We would perhaps sleep better at night, I’d hope, if we knew that our nation was again an energy exporter, and with a sufficient supply to comfortably remain an exporter while still doing productive things with plenty of our own supply here at home,” said Lisa Murkowski of Alaska, the committee’s ranking Republican.

Alaska is reconsidering plans to construct a pipeline that would carry its Northern Slope natural gas to the lower 48 states and is exploring the idea of exporting the gas instead to Asian markets.

But some are worried that a free market would too closely link domestic gas prices to international markets.

And others do not share the faith that U.S. shale-gas supplies are so robust.

“The history of the fossil-fuels industry is replete with miscalculations regarding supplies,” said Collins.

Webinar to look at natural gas development’s effect on agriculture

live.psu.edu/story/56136#nw69
Tuesday, November 1, 2011

UNIVERSITY PARK, Pa. — A Web-based seminar sponsored by Penn State Extension will examine how Marcellus Shale natural-gas development is affecting agriculture in Pennsylvania.

The 75-minute webinar will be held at 1 p.m. on Nov. 10. Presenters will be Gary Sheppard and Mark Madden, extension educators based in Westmoreland and Sullivan counties, respectively, who have extensive experience dealing with Marcellus Shale natural-gas drilling impacts on agriculture in their regions.

Sheppard will explore the impact natural gas wells have on farms from four perspectives. “Those include financial, family, farmstead and social,” he said. “I will discuss some planning considerations for the business plan of the farm and highlight the assistance available from organizations such as USDA’s Farm Service Agency and from resources such as the Conservation Reserve Enhancement and Farmland Preservation programs.”

Sheppard noted that he also will touch on how some farmers who are embracing holistic concepts of sustainability are struggling to decide how Marcellus drilling fits into their values.

Madden intends to review several case studies of farmers and farms near Marcellus gas-drilling operations.

“I want to capture some of the personal considerations and choices farmers are dealing with,” he said.

The webinar is part of a series of online workshops addressing opportunities and challenges related to the state’s Marcellus Shale gas boom. Information about how to register for the session is available on the webinar page of Penn State Extension’s natural-gas website at http://extension.psu.edu/naturalgas/webinars.

Titles of upcoming monthly webinars include “Natural Gas Development’s Impact on Forestlands,” “Seismic Testing: What’s It All About?” “Transportation Patterns and Impacts from Marcellus Development,” and “Municipalities’ Roles, Water Use, and Protections.”

Previous webinars, publications and information on topics such as air pollution from gas development; the gas boom’s effect on landfills; water use and quality; zoning; gas-leasing considerations for landowners; implications for local communities; gas pipelines and right-of-way issues; and legal issues surrounding gas development also are available on the Penn State Extension natural-gas website (http://extension.psu.edu/naturalgas).

For more information about the webinar, contact John Turack, extension educator based in Westmoreland County, at 724-837-1402 or by email at jdt15@psu.edu.

New Waterless Fracking Method Avoids Pollution Problems

insideclimatenews.org/news/20111104/gasfrac-propane-natural-gas-drilling-hydraulic-fracturing-fracking-drinking-water-marcellus-shale-new-york

By Anthony Brino, InsideClimate News and Brian Nearing, Albany Times-Union
Nov 6, 2011

Little-noticed drilling technique uses propane gel, not water, to release natural gas. Higher cost, lack of data and industry habit stand in the way.

Tanks labeled as "Brine Water" on a property in Dimock, Pa. In conventional fracking, wastewater can be several times saltier than sea water and tainted with chemicals and mild radioactivity.

ALBANY, N.Y.—In the debate over hydraulic fracturing for natural gas, two facts are beyond dispute: Huge amounts of water are used to break up gas-bearing rock deep underground and huge amounts of polluted water are returned to the surface after the process is complete.

Tainted with chemicals, salts and even mild radioactivity, such water, when mishandled, has damaged the environment and threatened drinking water, helping fuel a heated debate in New York and other states over whether gas drilling is worth its risk to clean drinking water, rivers and streams.

Now, an emerging technology developed in Canada and just making its way to the U.S. does away with the need for water. Instead, it relies on a thick gel made from propane, a widely-available gas used by anyone who has fired up a backyard barbecue grill.

Called liquefied propane gas (LPG) fracturing, or simply “gas fracking,” the waterless method was developed by a small energy company, GasFrac, based in Calgary, Alberta.

Still awaiting a patent in the U.S., the technique has been used  about 1,000 times since 2008, mainly in gas wells in the Canadian provinces of Alberta, British Columbia and New Brunswick and a smaller handful of test wells in states that include Texas, Pennsylvania, Colorado, Oklahoma and New Mexico, said GasFrac Chief Technology Officer Robert Lestz.

Like water, propane gel is pumped into deep shale formations a mile or more underground, creating immense pressure that cracks rocks to free trapped natural gas bubbles. Like water, the gel also carries small particles of sand or man-made material—known as proppant—that are forced into cracks to hold them open so the gas can flow out.

Unlike water, the gel does a kind of disappearing act underground. It reverts to vapor due to pressure and heat, then returns to the surface—along with the natural gas—for collection, possible reuse and ultimate resale.

And also unlike water, propane does not carry back to the surface drilling chemicals, ancient seabed salts and underground radioactivity.

“We leave the nasties in the ground, where they belong,” said Lestz.

Read Full Article

New Waterless Fracking Method Avoids Pollution Problems, But Drillers Slow to Embrace It

Lawyer: Dimock water unsafe; deliveries should go on

thetimes-tribune.com/news/gas-drilling/lawyer-dimock-water-unsafe-deliveries-should-go-on-1.1227996#axzz1cqCyvXh1

By Laura Legere (Staff Writer)
Published: November 5, 2011

Attorneys for Dimock Twp. families suing a natural gas driller over contamination claims are asking the state’s chief oil and gas regulator to reverse his decision allowing fresh water deliveries to the families to end.

Tate Kunkle, a lawyer representing the 11 families in a suit against Cabot Oil and Gas Corp., wrote to the head of the Department of Environmental Protection’s Office of Oil and Gas Management on Thursday to rebut Cabot’s claim that the families’ well water is safe and that proposed treatment systems work.

dimock_letter

He cited tests over the past 22 months showing elevated levels of lead, aluminum, iron, toluene, methane and manganese in some of the water supplies, as well as detection of chemicals found in synthetic sands, hydraulic fluid and antifreeze that “are not naturally occurring and that are associated with natural gas drilling.”

“The fact is that the water in the Dimock/Carter Road Area remains unsafe for drinking, even with Cabot’s proposed ‘whole house treatment system,’ ” Mr. Kunkle wrote.

The DEP determined that faulty Cabot Marcellus Shale wells allowed methane to seep into aquifers in the Susquehanna County township, a finding the company disputes. Families have been relying on deliveries of fresh bottled and bulk water for drinking, bathing and cooking for nearly three years.

On Oct. 19, the agency found that Cabot had met the obligations necessary to end delivery of the water supplies outlined in a December settlement between Cabot and DEP. The settlement was reached after the Rendell Administration abandoned plans to build a public waterline to the homes and sue Cabot for the costs.

Those obligations included funding escrow accounts for 19 affected families with twice the tax-assessed value of their properties and offering to install methane-removal systems in the homes. The obligations did not include restoring the residents’ well water to its original quality or reducing levels of dissolved methane in the aquifer.

A DEP spokeswoman referred to a recent letter to the editor published by DEP Secretary Michael Krancer in the (Chambersburg) Public Opinion for his comments on the issue.

Mr. Krancer wrote that Cabot met the requirements outlined in the December agreement “and the law, in turn, requires DEP to follow its obligations – which we have done.

“The real issue here is not safety,” he continued. “It’s about a very vocal minority of Dimock residents who continue to demand that taxpayers should foot the bill for a nearly $12 million public waterline along Route 29 to serve about a dozen homes.”

Cabot argues that the methane in Dimock water supplies occurs naturally and is not a result of its gas-drilling activities. It has produced data showing naturally occurring methane is detectable in 80 percent of Susquehanna County water supplies.

The company plans to stop the fresh water deliveries on or before Nov. 30.

Cabot spokesman George Stark said Friday that the company is reviewing Mr. Kunkle’s letter. “Cabot continues to fully cooperate with the DEP regarding our operations,” he said.

In his letter, Mr. Kunkle quoted email messages from a Dimock resident who accepted a Cabot treatment system and found it failed to treat turbidity and metals in her water.

Mr. Kunkle accused Cabot of misrepresenting or selectively reporting water-quality test results and charged DEP with colluding with and “coddling” Cabot while abandoning the regulatory requirement for drillers to restore or replace tainted water supplies.

“To be sure, PADEP has taken a stance: profits of a private corporation from Texas are more important than the constitutional right to pure water of the Commonwealth’s residents,” he wrote.

Contact the writer: llegere@timesshamrock.com

Pa DEP to Issue Technical Guidance on Wastewater Treatment Permitting

www.sacbee.com/2011/11/03/4028012/pennsylvania-dep-to-issue-technical.html

By Pennsylvania Department of Environmental Protection
Published: Thursday, Nov. 3, 2011 – 8:53 am

HARRISBURG, Pa., Nov. 3, 2011 — /PRNewswire-USNewswire/ — The Department of Environmental Protection will soon offer new technical guidance designed to ensure compliance with updated wastewater-treatment regulations.

The guidance explains revisions to Title 25 Chapter 95 of the Pennsylvania Code that require new or expanded sources of natural gas wastewater to treat the wastewater to the federal drinking water standard of less than 500 milligrams per liter of total dissolved solids prior to discharge.

“This technical guidance is another step in this administration’s continuing efforts to protect Pennsylvania’s water resources,” DEP Secretary Mike Krancer said. “This document clearly communicates to any facility seeking to increase its discharge of treated wastewater or to any facility seeking to start accepting wastewater that they must meet certain obligations.”

Krancer also said the guidance will ensure consistency in the department’s decision-making process in issuing these permits.

In April 2011, Krancer called on the natural gas industry to stop sending unconventional gas production wastewater to facilities that were permitted prior to revisions to the Chapter 95 regulations, which took effect in August 2010. The industry quickly complied. To ensure the continued protection of state waterways, the department is now issuing this guidance to explain the regulations governing new and expanded sources of discharged wastewater.

The technical guidance document, to be published in the Nov. 12 Pennsylvania Bulletin, will assist DEP’s permitting staff in implementing the new total dissolved solids effluent standard for discharges of treated natural gas wastewater. The revised Chapter 95 regulations ensure that drinking water, waterways, and watersheds in the state are not impacted by high levels of total dissolved solids. The most common total dissolved solids in Pennsylvania are chlorides and sulfates.

The guidance also clarifies that all facilities that accept shale gas extraction wastewater that has not been fully pre-treated to meet the discharge requirements must develop and implement a radiation protection plan. Such facilities must also monitor for radium-226, radium-228, uranium and gross alpha radiation in their effluent.

The department will host web-based trainings in the coming weeks to explain the implementation of the guidance document to treatment plants and their customers.

DEP regulates the treatment and discharge of industrial wastewater in the state as part of its administration of the federal National Pollutant Discharge Elimination System (NPDES).

For more information, visit www.dep.state.pa.us or call 717-783-4693.

Media contact: Kevin Sunday, 717-787-1323

SOURCE Pennsylvania Department of Environmental Protection

Critic disputes Penn State findings and thinks potential well water contamination overlooked

www.timesleader.com/news/Study__Gas_drilling_not_polluting_water_11-04-2011.html
Posted: November 4

By Steve Mocarsky smocarsky@timesleader.com
Staff Writer

Study: Gas drilling not polluting water

The natural gas industry is pointing to a Penn State University study to boost its mantra that gas drilling is not linked to pollution of water wells.

But a drilling critic says the study found increased levels of a harmful chemical in water wells after gas drilling occurred nearby. He thinks other aspects of the study overlooked potential well water contamination.

“The Impact of Marcellus Gas Drilling on Rural Drinking Water Supplies” was authored by Penn State water quality experts led by Elizabeth Boyer, associate professor of water resources, director of the Pennsylvania Water Resources Research Center and assistant director of the Penn State Institutes of Energy & Environment.

The research was sponsored by a grant from the Center for Rural Pennsylvania, a bipartisan legislative agency within the state General Assembly. The goal was a large-scale study of water quality in private water wells in rural Pennsylvania before and after nearby Marcellus Shale​ drilling.

For the study, the researchers evaluated water sampled from 233 water wells near gas wells in 2010 and 2011. The first phase focused on 48 private water wells located within 2,500 feet of a nearby shale well pad. The second phase focused on 185 private water wells located within 5,000 feet of a shale well pad.

During the first phase, researchers collected pre- and post-drilling water well samples and analyzed them for water quality. In the second phase, researchers or homeowners collected only post-drilling water well samples and analyzed them for water quality. The post-drilling analyses were compared with existing pre-drilling test records.

John Krohn, spokesman for Energy In Depth Northeast Marcellus Initiative, noted excerpts from the report that said analysis of the water tests “did not suggest major influences from gas well drilling (or hydraulic fracturing) on nearby water wells.”

Hydraulic fracturing, or fracking, is the high-pressure injection of millions of gallons of water, sand and chemical additives deep underground to extract natural gas trapped in shale rock.

The study also found no clear link between methane migration and natural gas production, Krohn said.

Methane is a gas that some residents living near gas wells have lit on fire as it escaped from their kitchen faucets along with their well water.

Krohn also noted 40 percent of the water wells tested failed at least one safe drinking water standard, mostly for coliform bacteria, turbidity and manganese, before drilling occurred. This shows a need for uniform water well construction standards that don’t exist in Pennsylvania, as well as a need for education of water well owners.

Dr. Tom Jiunta, founder of the local Gas Drilling Awareness Coalition, said study findings of increased levels of bromide and sediment/metal levels in wells after drilling/fracking were of particular concern to him.

“This finding alone shows that many wells near drilling sites are impacted by migration of underwater brines and possible drilling muds, both hazardous to drinking water supplies,” he said.

Bromide itself is not a health threat, but elevated levels “can create an indirect health issue as it may combine with other elements in water to cause carcinogenic compounds,” the report states.

Jiunta said nearly 80 percent of the water wells were not pre-tested for methane, bromide or oil/grease because well owners couldn’t afford the expensive tests. “This skews the data,” he said.

Jiunta also said the study considers only short-term changes in well water after nearby gas wells were drilled – less than three-month time periods. He said that time period is “inadequate for determining contamination,” citing a Temple University engineering professor who said most problems with underground water contamination would most likely take several years to be detected.

The Penn State study was released as the U.S. Environmental Protection Agency begins a federal probe into whether hydraulic fracturing is spoiling and diminishing drinking water supplies.

The agency’s final study plan was released Thursday. The first results will be available in 2012.

County gas drilling impact fee gets boost in committee vote

citizensvoice.com/news/drilling/county-gas-drilling-impact-fee-gets-boost-in-committee-vote-1.1227029#axzz1ceXFIjeS

By Robert Swift (Harrisburg Bureau Chief)
Published: November 3, 2011

HARRISBURG – Legislation that could provide for state preemption of local gas drilling ordinances won approval from a House committee Wednesday on a party-line vote.

The measure approved 15 to 10 by the Finance Committee would amend the 1984 Oil and Gas Act to supercede local drilling ordinances in areas where the state has an “appropriate” regulation, according to a committee bill summary.

The bill contains Gov. Tom Corbett’s plan to give counties with Marcellus wells the option of adopting an impact fee on drillers with 75 percent of the fee revenue going for local uses ranging from road repair to affordable housing and court budgets.

Local governments would have difficulty keeping wells away from residential areas and schools with the bill’s preemption provision, said Rep. Phyllis Mundy, D-Kingston, the ranking Democrat on the panel.

“The bill strips from local governments what little power they have to locate wells,” she added.

The sponsor, Rep. Brian Ellis, R-Lyndora, said the bill would set state standards for the nearly 50 percent of municipalities that don’t have gas ordinances.

The bill provides that each well pay an impact fee up to $40,000 the first year of operation, $30,000 the second year, $20,000 the third year and $10,000 in the fourth through 10th years.

It would implement a number of recommendations concerning environmental protection made last summer by the governor’s Marcellus Shale Advisory Commission.

The county impact fee approach has drawn support from the House Republican leadership as an alternative to other legislation calling for state collection of impact fee revenue and distribution to eligible counties. The GOP bill differs from the governor’s proposal with a plan to dedicate a portion of royalties from gas drilling on state-owned land for statewide environmental programs, said House Majority Leader Mike Turzai, R-Pittsburgh.

“This bill contains many of the provisions contained in our proposal, and I am pleased to see the Legislature working toward a final bill,” Corbett said.

On the committee, Reps. Mario Scavello, R-Mount Pocono, and Mike Peifer, R-Honesdale, voted for the bill. Mundy and Rep. Sid Michaels Kavulich, D-Taylor, voted against the bill.

Committee members debated and voted on the bill in a small committee room jammed to overflow with dozens of observers.

Mundy said the impact fee would be the equivalent of a one percent tax – a rate very low compared to other drilling states. The bill would generate no revenue for Luzerne County despite the impact of compressor stations and pipelines planned for there, she added.

The bill wouldn’t generate enough revenue to meet local impact needs, Kavulich said.

Ellis touted it as a job-creation measure.

The Senate has postponed action on impact fee legislation being developed by both caucuses until the chamber returns Nov. 14 following an election recess.

EPA to probe gas drilling’s toll on drinking water

www.chron.com/news/article/EPA-to-probe-gas-drilling-s-toll-on-drinking-water-2250420.php

MICHAEL RUBINKAM
November 4, 2011

ALLENTOWN, Pa. — The Environmental Protection Agency on Thursday released the outlines of its long-awaited probe into whether hydraulic fracturing — the unconventional drilling technique that’s led to a boom in domestic natural gas production — is contaminating drinking-water supplies.

Investigators will try to determine the impact of large-scale water withdrawals, aboveground spills of drilling fluids, and the fracturing process itself on water quality and quantity in states where tens of thousands of wells have been drilled in recent years.

Hydraulic fracturing, or fracking, involves the high-pressure injection of millions of gallons of water, along with sand and chemical additives, deep underground to extract natural gas trapped in shale rock. Energy companies have greatly expanded their use of fracking as they tap previously unreachable shale deposits, including the lucrative Marcellus Shale formation in Pennsylvania and neighboring states.

The industry has long contended that fracking is safe, but environmentalists and some residents who live near drilling sites say it has poisoned groundwater. The EPA study, mandated by Congress last year, is the agency’s first look at the impact of fracking in shale deposits.

EPA will examine drilling sites in Pennsylvania, Colorado, Louisiana, North Dakota and Texas. The earliest results will be available in 2012.

Industry groups said Thursday they are confident the study will vindicate their position that fracking does not harm the environment or human health.

“The industry has taken the lead in working with state regulators to constantly improve operations, industry practices and guidelines as well as improve communications with local communities,” said Stephanie Meadows, a senior policy adviser at the American Petroleum Institute.

The institute and five other industry groups recently complained to EPA Administrator Lisa Jackson that agency staff began collecting field data and water samples months before the study plan was finished. The industry groups, in an Oct. 20 letter to Jackson, also questioned the study design itself and said it could undermine the credibility of the findings.

The EPA said it began work over the summer so that it could finish the study by 2014.

The federal agency has studied fracking before, in 2004, looking at its use in coalbed methane deposits. It concluded then that the technology is safe, but its methodology was widely criticized as flawed.

The new EPA study will look at the entire water lifecycle of hydraulic fracturing in shale deposits, beginning with the industry’s withdrawal of huge volumes of water from rivers and streams and ending with the treatment and disposal of the tainted wastewater that comes back out of the wells after fracking. Researchers will also study well design and the impact of surface spills of fracking fluids on groundwater.

The EPA has taken steps recently to boost federal regulation of fracking, announcing it will develop national standards for the disposal of the briny, chemical-laced wastewater and proposing for the first time to control air pollution at oil and gas wells, particularly where fracking  is used.

Drillers have resisted enhanced federal regulation, saying it should be left up to individual states.