Detailed fracking bill causes split in Illinois

Badly needed economic development or a potential environmental nightmare? The debate about hydraulic fracturing continues in Illinois.

Senate Bill 1715, regulating the process, was approved by a vote of 108-9 on May 30 in the Illinois House, and Friday in the state Senate, 52-3, with four members not voting. Gov. Pat Quinn said he will sign the bill into law.

A study by the Illinois Chamber Foundation revealed three scenarios, with job potential over five years ranging from 1,034 to 47,312.

Tom Wolf, executive director of the Illinois Chamber of Commerce's Energy Council, said the study looked at the New Albany shale formation in Southern Illinois.

The uncertainty of what the shale formation may yield accounts for the wide range of the numbers.

The study, conducted by Dr. David Loomis, president of Loomis Consulting and a professor of economics at Illinois State University, found the highest scenario translates into more than $9.5 billion of economic impact for Illinois. Wolf said it may be even more.

"It was based on how much natural gas is in the shale plain," he said. "No one has determined how much oil there may be."

Wolf called the legislation "probably the most detailed, highly protective bill in the country."

Despite compromises, he admitted industry officials feel the 105-page bill goes too far, while environmental groups still favor a moratorium.

Fracturing involves drilling into the ground and detonating small explosives to open shale rocks with natural gas and oil packed near the bottom of the well. Water, sand and chemicals are then injected at high pressures to bring gas and oil to the surface.

Josh Mogerman, spokesman for the Natural Resources Defense Council, said existing laws contained nothing regulating horizontal fracking, which began in the 1990s.

"That's obviously a problem, because we have a lease rush underway," Mogerman said.

He said more than 250,000 acres have been leased for fracking during the last year.

"You need only look at some other states without strong laws in place to see problems with that," Mogerman said. "NRDC has been working very hard to advance a moratorium to avoid the problems. We were one of the groups that actually sat down to hash out those rules, rather than letting industry write their own.

"This doesn't make it safe, it doesn't address all our concerns. But it is essential if fracturing is going forward. People are in harm's way; they need protection."

Mogerman said the expectation is for "dozens, not hundreds, of wells and we would hope that's the case. We don't think there will be a headlong rush like in some other states."

The Sierra Club believes the required 500-foot setback from homes, churches and schools is not sufficient.

"There are serious health effects for people who live within one-half mile of fracturing wells," said Barb McKasson, chairwoman of the Shawnee Group of the Sierra Club. "We also know there are many documentations of water contamination."

Wastewater must be stored in closed-loop tanks, rather than open pits, and well and surface water must be tested before and during fracturing and must be monitored after fracturing, among other provisions of the bill.

There also are concerns about thousands of gallons of water needed for the process.

Another worry is whether Illinois has enough inspectors.

"That's one reason we wanted a moratorium, because the state is not ready for this," said Annette McMichael of Southern Illinoisans Against Fracturing Our Environment. "The state is not really ready to monitor and regulate these wells."

Drillers will pay permit fees to the Illinois Department of Natural Resources and the Illinois Environmental Protection Agency.

"They will be using that for hiring and training [of inspectors], but it will be a very gradual process," McMichael said.

She is glad resident input is allowed, as well as a process to challenge a permit.

Wolf maintains the compromise was a good one.

"There's some protections in there no other states have," he said. "Our state is not in the position to turn down a new industry."

jpulliam@semissourian.com

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