The Gas War Heats Up

[Outdoor Talk Network by Jim Slinsky]
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The Gas War Heats Up ©

By Jim Slinsky
08/16/08

There is never a lull in Harrisburg. The political controversies seemingly never end. The deer management debacle is still unresolved, the PGC continues to push for a license increase, but gas revenue potential has now become the hottest topic in town. The gas war is sure to be extra heated. This one is about money, big money.

The DCNR and the PGC are in low gear on this one. Leasing and drilling have taken off with private landowners. The gas extraction companies are spending millions on this project. Stories of private landowners getting $1000, $2000 and sometimes even more per acre to lease their land are quite common. Do the math. If an old hunting club with 1000 acres and no deer can get $1000 an acre in a gas deal; well, I guess some homeboys will be hunting Africa next year. And, the leasing dollars are actually the small part of the deal. Contracts paying 12%, 17% and 25% royalties are materializing, as well. Some lucky landowners will be making money while they’re sleeping.

DCNR is undergoing an identity crisis within this debate. That word “conservation” in their name confuses the hell out of them. They did recently put out 73,000 acres for bid to the gas extractors. This is less than 4% of their total land holdings. I’m told their environmental requirements to drill will be tough, real tough. More than a few legislators are wringing their hands thinking about the revenue potential for the state held under DCNR lands. Unfortunately, DCNR is not on that page. They are still talking about elk, wilderness and the PA Wilds Program. Sometimes, I think DCNR believes PA is Montana. I suspect DCNR may soon be wishing they had some hunter support to stop the drilling craze on State Forest Lands. They should have done some deep thinking before they eradicated the deer. Don’t kid yourself. DCNR has known of the gas deposits for a long time.

The PGC is on a different page. They have testified at various hearings and meetings that their sub-surface rights on State Game Lands are minimal and thus, gas revenue potential dollars are minimal. I’ve heard of PGC claims that their gas revenue potential is in the $2-$3 million a year category. More than a few people are not in agreement, especially gas industry people. Their projections are quite a bit higher to say the least. The PGC is claiming they can not make ends meet without a license increase, regardless of their gas potential. There is zero sympathy for the PGC amongst our hunters and legislators. This is an agency that has not listened or responded to hunters’ complaints for the last decade. They have thumbed their nose to legislators, too. Like DCNR, the PGC should have done some deep thinking before they eradicated the deer.

Without a doubt this unfolding gas war will be the most intriguing and complicated issue to rock PA in the last two hundred years. The outcome will determine who and what PA really is. It will establish the common sense of our legislators and their resolve to do what is right for our people and our woods, water and environment. It may redefine the direction and future of DCNR and the PGC. The ramifications will go far beyond these initial debates and affect our state’s overall economy, our schools, our infrastructure, our tax policies and so much more. Our legislators have their work cut out for them. We may see the DCNR and the PGC reorganized before this is all over.

As citizens and sportsmen all of the above is our business. Absolutely no one wants to return to the rape and run days of an earlier time. Conversely, few want to let potentially billions of gas dollars remain untouched because of so-called endangered species or species of special concern or imperiled species.

Frankly, I was hoping this scenario evolved into receiving a royalty check from the PGC. As a hunter and a landowner of State Game Lands, I was banking on all new shooting ranges, habitat remediation projects, a statewide liming program, new PGC specialists to manage deer, new WCO’s to combat the poaching epidemic and a monthly royalty check. That maybe wishful thinking, but we have made some progress in the past months.

I believe DCNR and the PGC now realize that new Hummer vehicles with gold hubcaps and gold trim are not in the cards.

Jim Slinsky is the host and producer of the “Outdoor Talk Network”, a nationally syndicated, outdoor-talk radio program. For a station near you or to contact Jim, visit his website at www.outdoortalknetwork.com.

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