Drilling
and Hydraulic Fracturing: A Benefit for Struggling Economies
The term is all over the news, local and national:
fracking. It is a word heard in every area of the country that has some form of
natural gas and oil drilling. As these areas of drilling spread from the
southern parts of America into the northeast, fracking has become a hot subject
for debate. Many people feel that fracking should not be disallowed, but
hydraulic fracturing is a necessary part of the process of natural gas and oil drilling.
Not only does it allow energy resources to be retrieved that were inaccessible before,
but it provides many economic benefits for the areas that allow the process, an
important advantage during times of economic struggle.
Fracking, or the proper term, hydraulic fracturing,
involves injecting water, sand, and a special mix of chemicals into drilling
wells. This combination of water, sand and chemicals is injected with
tremendous amounts of pressure to fracture geological formations, such as rock,
coal beds and shale underground. This allows the oil or gas beneath the rock to
flow into the production well. The remaining water and chemicals are then
pumped back to the surface to be disposed of through either treatment or deep
well injection (“Hydraulic”). Because fracking allows previously unreachable
energy resources to be tapped, it has played a major part in the growth of the
gas and oil industry, especially in the development in the Marcellus Shale,
which is thought to be the largest natural gas underground reservoir in the United
States.
With the use of fracking, additional energy resources are
able to be expanded, reached and used to create more energy for consumers across
America, harnessing a cleaner energy than petroleum or coal, and doing it
domestically. As unconventional sources are found, wells are built and hydraulic
fracturing is used to access them. The number of wells in the United States has
increased from about 260,000 wells to almost 500,000 in the space of ten years,
ninety percent of which use hydraulic fracturing to access these sources, such
as tight sand, the largest, and shale, like the Marcellus Shale, the fastest
growing (“Hydraulic”). Pennsylvania alone issues about 2,500 permits a year to
various companies to drill in the Marcellus Shale (Skirble). Without fracking,
reservoirs like the Marcellus Shale would not be readily accessible. Hydraulic
fracturing has increased domestic production of natural gas by almost twenty
percent, bringing about lower prices that are staying steady. In fact, the
prices of natural gas are almost fifty percent less than they were just five
years previous (McCurdy D1). Not only have prices dropped, but America has been
able to add to its reserves and now has, “sufficient natural gas resources to
last approximately 110 years” (“Fracking”)
As these new wells and drilling sites are created, so are
many new jobs. In Pennsylvania, the drilling industry will create approximately
88,000 new jobs just this year and is predicted to create 250,000 in the next
ten years (“Opportunity”). In a report from the Pennsylvania Department of
Labor and Industry hiring is, “nearly double in 2011 than what it was in 2012”
(qtd. in “No”) resulting an unemployment rate under the national average. Companies
that supply safety equipment, construction equipment, welding and metal manufacturers,
and especially heavy duty trucks are all hiring more employees or to keep up
with demand and new companies are being started all the time. Somerset Welding
and Steel and J&J Truck bodies and Trailers were able to rehire many of the
staff they had been forced to lay off in previous years. Heavy truck drivers,
comprising ten percent of people involved in the drilling sites, are seeing an
especially high demand because of fracking and the large amounts of water that
need to be transported to and from sites. Engineering firms, such as L. Robert
Kimball, are aiding with mapping and designing sites and transportation lines. These
jobs are not just directly related to working in the field – many business associated
indirectly with the industry are hiring for new jobs as their business demands
increase. Banks such as S&T and First Commonwealth are hiring people with
backgrounds in the industry to assist with related services like lending to
gas-related businesses and services for landowners that lease property for
mineral extraction. Law firms are also hiring professionals with a legal
background in land acquisition and specialized contracts (“Opportunity”).
These
businesses are not just able to employ more people – they are also seeing an
increase in profits and revenue. Dale Oxygen, in Johnstown, Pennsylvania, saw
in increase in business of twenty percent in 2010 because of an increased
demand for the equipment and products it supplies. In a Penn State study it was
founds that during the year of 2008, Pennsylvania received $240 million in
taxes and that the gas industry had a $2.3 billion value. Pennsylvania predicts
a payoff of $13.5 billion by 2020 (“No”). Water companies and local municipal
authorities benefit from fracking, also: they sell the massive amounts of water
needed to create the fracturing process. Businesses localized around drilling
areas are also seeing profits derived from the employees of the gas sites. People
from other fields brought in to assist need a place to stay, so hotels, motels,
and rental properties see a steady profit. With the increase in people in the
area, business such as grocery stores, gas stations, and restaurants also see
an increase.
Many
people do not feel that the economical benefits are enough to justify the
process of hydraulic fracturing. They feel these benefits are outweighed by the
possible environmental repercussions. The main environmental concern is whether
hydraulic fracturing contaminates the drinking water supply. There have been
reports that in areas utilizing the fracking process, methane levels and/or
chemical contamination found in drinking. In Pennsylvania, it was confirmed
that methane had leaked into water sources. However, instances of contamination
are not directly leaked to the process of hydraulic fracturing but to faulty
construction and failures of the well’s pipe or cement casing. Contamination
has also been linked to above ground spills at drilling sites. These causes are
much more of a risk than hydraulic fracturing. Charles Groat, associate director
of the Energy Institute at the University of Texas at Austin, says that, “These
problems are not unique to hydraulic fracturing” (qtd. Vaughan 1A).
Perhaps
instead of banning the process of hydraulic fracturing, states should work
harder to enforce regulations uncompromisingly. By making sure to enforce the
regulations that are already in effect while awaiting stronger regulations,
these state could possibly minimize an oversights by the drilling companies. As
well as following the regulations, the gas industry could also help minimize
its impact on the environment and maintaining a more positive image by taking
full responsibility to any previously unintentionial contamination issues and
having a more transparent façade by allowing the public to become familiar with
its processes and disclosing the
chemicals used in hydraulic fracturing. By enforcing regulations, maintain strict
safety and quality control, and keeping
the public informed, local communities can enjoy the economic benefits of
hydraulic fracturing while seeing their environment preserved.
Works Cited
"An
opportunity that cannot be ignored." Tribune-Democrat. 01 05 2011:
n. page. Web. 1 Apr. 2012.
"Fracking
and Drinking Water Safety." Congressional Digest. 91.3 (2012): n.
page. Web. 1 Apr. 2012.
"Hydraulic
Fracturing Overview." Congressional Digest. 91.3 (2012): n. page.
Web. 1 Apr. 2012.
McCurdy,
Dave. "Is hydraulic fracturing too dangerous? NO: It's a safe process that
results in needed energy." Denver Post 10 07 2011. D1. LexisNexis.
Web. 1 Apr 2012.
"No:
Fracking is Energy’s Economic Goldmine." policymic. 08 2011: n.
page. Web. 1 Apr. 2012.
Skirble,
Rosanne. Study: No Evidence Hydraulic Fracturing Pollutes Water. Lanham,
United States, Lanham:, 2012. ProQuest Military Collection; ProQuest
Research Library. Web. 1 Apr. 2012.
Vaughan,
Vicki. "Study finds that fracking itself does not pollute groundwater."
San Antonio Express-News 17 02 2011. 1A. LexisNexis. Web. 1 Apr
2012.
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