Obama Seeks to Control “Fracking”, Drive Up Price of Natural Gas

Russ Steele

With the price of natural gas sliding lower and lower, the future of costly green energy grows dimmer and dimmer. The greenies have decided that something has to be done to slow the development of low cost natural gas resulting from the application of new technologies like “fracking.”  Or, it’s more technical name hydraulic fracturing.

Last week the price of natural gas slipped below $2.00.

Also last week the President took action to put some federal controls on “fracking”

President Obama signed an executive order Friday establishing a high-level task force charged with coordinating federal oversight of domestic natural-gas development.

The task force is charged with ensuring that rapidly growing efforts to tap vast natural-gas supplies in the country’s shale formations, which require advanced drilling techniques including “fracking,” are “safe and responsible.” …

“While natural gas production is carried out by private firms, and States are the primary regulators of onshore oil and gas activities, the Federal Government has an important role to play by regulating oil and gas activities on public and Indian trust lands, encouraging greater use of natural gas in transportation, supporting research and development aimed at improving the safety of natural gas development and transportation activities, and setting sensible, cost-effective public health and environmental standards to implement Federal law and augment State safeguards,” the executive order says.

The EPA tried to throttle “fracking” and they lost the battle in court when their testing science was found to be less that perfect. Pure water samples were found to have “fracking” chemical contamination by the EPA testers. The courts stop short of calling it fraud, but then again how did the fracking fluids get into pure water samples. Case dismissed.

With the EPA on the run it was time for Obama and the greenies to try another approach, this time by executive order. An order that was included in the Friday document dump last week in the hope it would not attract any attention.

As the natural gas supply expands, the price goes down and it becomes almost impossible for the President to sell his expensive green energy programs to the voters.  Low cost energy is a pocket book issue, and people vote their pocket books. My guess is we will see the price of natural gas start increasing, rather than declining, to make green energy more attractive.

Do you think this new task force was created to aid the development of low cost natural gas, or to slow it’s development?

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About Russ Steele
Freelance writer and climate change blogger. Russ spent twenty years in the Air Force as a navigator specializing in electronics warfare and digital systems. After his service he was employed for sixteen years as concept developer for TRW, an aerospace and automotive company, and then was CEO of a non-profit Internet provider for 18 months. Russ's articles have appeared in Comstock's Business, Capitol Journal, Trailer Life, Monitoring Times, and Idaho Magazine.

2 Responses to Obama Seeks to Control “Fracking”, Drive Up Price of Natural Gas

  1. sean2829 says:

    Everyone needs to be careful about drawing conclusions about the price of natural gas. If you look at the world market price for gas, it’s around $12-$15 per million BTU. However, it’s a regional fuel and this years exceptionally warm winter in the midwest, south and east coast created a glut of supply. A more realistic price of natural gas in the US if the weather is normal is probably closer to $4 per million BTU. Also, I don’t know the cost of liquefyiing natural gas but once you do that, you have an exportable commodity. I suspect there are a lot of natural gas companies that would like nothing more than find a way to get their very cheap gas to where it would fetch $12-$15 per million BTU so look to LNG import terminals to be converted to export terminals and also installation of refineries that can convert natural gas to diesel and gasoline. These natural gas prices are temporary, no matter what this administration does.

  2. Dixon Cruickshank says:

    They have already been converted

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