It is an industry that gives us a very good standard of living. It provides us with fuel for transportation, electricity and thousands of other products from plastics to heart valves. Oil and natural gas can stimulate economic growth and provide for our national security. Taxes paid by the oil and gas industry fund our schools, hospitals, and state and federal governments.
Even though it is one of the most regulated industries in the nation, some citizens seek even more restrictions. Opponents want to prohibit hydraulic fracturing (HF), and reduce the production and use of oil and gas in the United States to zero.
The most outspoken critics have been a group of environment extremists that have used HF as a major source of raising money. The nine leading environmental groups, all of which have been granted nonprofit tax-exempt status by the federal government, have more than $600 million in assets, according to their 2010 federal tax returns.
Their ability to raise money by scaring the pants off the public has enabled them to become a real political power at the local level and throughout the nation, especially in the nation’s capital.
Environmental extremists have infiltrated virtually every bureaucratic agency in Washington and have had a significant role in rewriting and implementing regulations.
The news media has been a culprit, too. Even the most respected journalists can fall prey to the temptation to take a free swing at the oil and gas industry. A recent case in point came about when “The Wall Street Journal” did a story about ExxonMobil CEO Rex Tillerson protesting the building of a water tower near his ranch north of DFW Airport. The headline stated: “Exxon Chief Joins Lawsuit Raising Ruckus Over Fracking.” The story quoted Tillerson’s lawyer as saying Tillerson never mentioned fracking or potential increase in noise or traffic problems as the reasons he joined his neighbors in the lawsuit. “Mr. Whitten (Tillerson’s lawyer) said Mr. Tillerson’s primary concern is that his property value would be harmed,” the story stated. Why then did “Ruckus Over Fracking” get into the headline? The answer probably has something to do with the fact the editors thought it would be ironic if the top dog at the biggest oil company in the world sued to stop fracking practically in his backyard? It really doesn’t matter the facts clearly show Tillerson never said anything about fracking being a reason he is involved in this lawsuit. In other words, don’t let the facts get in the way of a good headline.
And, what’s with these cities that have passed ordinances that limit or prohibit HF? Voters in three cities in Colorado and one in Ohio passed moratoriums on HF. In Texas, Dallas is being sued over leasing land for exploration and then backing out under the pressure of environmental extremists. Denton, Texas, is collecting signatures on a petition that would ban HF if passed by voters.
There’s nothing new about HF. The industry has fracked more than a million wells nationwide since introduced just after World War II. That’s somewhere around 70 years. New technology developments in HF and horizontal drilling in the past 20 years have revolutionized exploration and production.
Not one state or federal regulator knows of even one instance where groundwater has been contaminated during HF. “I’m not aware of any proven case where the fracking process itself has affected water,” immediate-past EPA Administrator Lisa Jackson testified before a Senate committee. There are others, both state and federal, who have testified under oath that they know of no contamination. The debate over development of our natural resources seems to get louder every day.
Alex Mills is president of the Texas Alliance of Energy Producers. The opinions expressed are solely of the author.
For more information, visit www.texasalliance.org or call (800) 299-2998.
