Pennsylvania’s 2015 Unconventional Gas Well Impact Fees
February 5, 2016
The Pennsylvania Public Utility Commission has adjusted the Impact Fee for 2015, which producers are required to pay to the Commission on or before April 1, 2016.
2015 shows a decrease in the Impact Fee from 2014. The Impact Fee is determined in accordance with Section 2302 of Pennsylvania’s Unconventional Gas Well Impact Fee Act, 58 Pa.C.S. § 2302.
The following tables show the number of wells spud, and the applicable Impact Fees for 2015 and the prior years:
|
Year |
2015 |
2014 |
||
|
Unconventional Wells Spud |
785 |
1,372 |
||
|
NYMEX |
$2.66 |
$4.42 |
||
|
(Ave. Annual) |
|
|
||
|
Year of Operation |
Horizontal Well |
Horizontal Well |
Horizontal Well |
Vertical Well |
|
1st Year |
$45,300 |
$9,100 |
$50,300 |
$10,100 |
|
2nd Year |
$35,200 |
$7,000 |
$40,200 |
$8,000 |
|
3rd Year |
$30,200 |
$6,000 |
$30,200 |
$6,000 |
|
4th Year |
$15,100 |
$3,000 |
$20,100 |
$4,000 |
|
5th Year |
$15,100 |
$3,000 |
—- |
—- |
|
Source: |
46 Pa.B. 543, 632 (January 30, 2016) |
45 Pa.B. 647, 736 (February 7, 2015) |
||
|
Year |
2013 |
2012 |
||
|
Unconventional Wells Spud |
1,205 |
1,347 |
||
|
NYMEX |
$3.65 |
$2.79 |
||
|
(Ave. Annual) |
|
|
||
|
Year of Operation |
Horizontal Well |
Vertical Well |
Horizontal Well |
Vertical Well |
|
1st Year |
$50,000 |
$10,000 |
$45,000 |
|
|
2nd Year |
$40,000 |
$8,000 |
$35,000 |
|
|
3rd Year |
$30,000 |
$6,000 |
—- |
|
|
4th Year |
—- |
—- |
—- |
|
|
5th Year |
—- |
—- |
—- |
|
|
Source: |
44 Pa. B. 569, 757 (February 1, 2014); |
43 Pa. B. 793, 944 (February 9, 2013) |
||
|
Year |
2011 |
|
|
Unconventional Wells Spud |
4,920* |
|
|
NYMEX |
$4.04 |
|
|
(Ave. Annual) |
|
|
|
Year of Operation |
Horizontal Well |
Vertical Well |
|
1st Year |
$50,000 |
$50,000 |
|
2nd Year |
—- |
—- |
|
3rd Year |
—- |
—- |
|
4th Year |
—- |
—- |
|
5th Year |
—- |
—- |
|
Source: |
42 Pa. Bull. 4837, 4996 (August 4, 2012) |
|
* All unconventional wells spud in calendar year 2011 or before 2011 were treated as if they were spud in calendar year 2011.
If you have any questions on the Impact Fee, please contact Carl Shultz at (717) 255-3742 – cshultz@eckertseamans.com – or Dan Clearfield at (717) 237-7173 – dclearfield@eckertseamans.com.
This Eckert Seamans Energy and Utilities Blog is intended to keep readers current on matters affecting businesses and is not intended to be legal advice.
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