8. NATURAL GAS:
N.Y. governor vetoes bill that would limit fracking
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New York Gov. David Paterson (D) on Saturday vetoed a bill that would have banned new permits for natural gas drilling that use the process called hydraulic fracturing, instead issuing an executive order that calls for a longer moratorium but on a narrower scope.
The legislation would have stopped new permits until May 15, 2011, for hydraulic fracturing, or fracking, in which water, sand and chemicals are injected into the ground to open up shales and release natural gas. It has been criticized by environmental groups who say the chemicals can contaminate drinking water.
"This legislation, which was well-intentioned, would have a serious impact on our state if signed into law," Paterson said. "Enacting this legislation would put people out of work -- work that is permitted by the Department of Environmental Conservation and causes no demonstrated environmental harm, in order to effectuate a moratorium that is principally symbolic."
The governor instead issued an executive order for a moratorium to run until July 1 on "high-volume, horizontal hydraulic fracturing" and not on vertical wells, which had been included in the legislation. The oil and gas industry praised the governor's veto, calling the bill "a flawed piece of legislation." Environmental groups had hoped for the bill to pass.
"By carving out an exception for vertical wells that do not even exist yet, the governor did not save any jobs and did not assure the proper protection of water quality statewide," said Craig Michaels, the watershed program director for the group Riverkeeper. "The environmental community will be watching closely to assure that industry does not side-step environmental review by conducting an onslaught of vertical drilling and then converting those vertical wells to horizontal wells" (Tom Zeller Jr., New York Times, Dec. 11). -- AP