PUC Powers Expanded Under New Marcellus Shale Law

The Pennsylvania Public Utility Commission (PUC) will have expanded powers of the purse and oversight under the shale impact-fee legislation recently signed into law by Pennsylvania Gov. Tom Corbett.

One lobbyist for the natural gas industry described the new powers as a "significant shot in the arm" for the regulatory oversight agency.

The new law authorizes the PUC to collect the impact fees from natural gas drillers and then to disburse the funds under the following general formula: 60 percent to the counties and local government that lie within the shale drilling area and the remaining 40 percent toward statewide environmental projects, including acid mine drainage remediation, water projects, flood control, statewide highway and bridge improvements, projects for open space and hazardous sites cleanup.