Gas at a glance

• PA BUDGET AND POLICY CENTER RECOMMENDS GAS SEVERANCE TAX

PBPC has reviewed the impact of mineral resource production in states across the country and analyzed other states’ tax policies on the resource extraction industry. Their report, “Responsible Growth: Protecting the Public Interest with a Natural Gas Severance Tax,” recommends that Pennsylvania adopt a well-structured severance tax on natural gas production to protect Pennsylvania taxpayers from shouldering the environmental and other public costs that come with increased drilling. The full report is available at pennbpc.org/sites/pennbpc.org/files/Responsible%20Growth%20-%20PA%20Severance%20Tax.pdf

• OIL AND GAS RIGS HIT NEW LOW

The number of oil and natural gas rigs operating in the United States fell to the lowest since February 2003 this week, according to Baker Hughes Inc, a global company providing products and services to the oil and gas industry. Rigs exploring for or producing oil or gas declined by 18, or 2 percent, to 900. The rig count has fallen 55 percent from 1,992 in 2003.

• MORE STUDIES NEEDED ON GAS DRILLING IMPACTS TO LIVESTOCK

Elizabeth Chandler, a veterinarian in western Colorado, has been observing health changes in livestock, including goats, pigs and cattle that are kept near natural gas production activities. She is particularly concerned about reproductive changes, including unexplained increases in birth defects, stillbirths, and reduced fertility, where she has ruled out other potential medical causes through testing.

A 2000 study looked at possible associations between oil and gas operations and cattle reproduction and mortality, and found an increased risk of stillbirths linked to exposure to flaring of sour gas (gas with high levels of hydrogen sulfide). Livestock incidents may be an indicator of contamination of air and water that can impact humans as well as animals. In addition, there may be risk to humans who eat or drink products from these animals.