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Discussion Case: Hydraulic Fracturing—Can the Environmental Impacts Be Reduced?

ID: 369187 • Letter: D

Question

Discussion Case: Hydraulic Fracturing—Can the Environmental Impacts Be Reduced?

Hydraulic fracturing—or fracking, as it is sometimes known—has been called the gold rush of the 21st century because so many companies and people are rushing to make their fortunes by extracting oil and natural gas from underground shale formations. What are the environmental impacts of fracking, and what can business, government, and society do to reduce them?

In recent years, technology has evolved to make possible the economic extraction of crude oil and natural gas from vast underground shale formations. In hydraulic fracturing, a vertical well is drilled as deep as 7,000 feet before turning horizontally into the oil- or gas-bearing layer. Operators then pump in vast quantities of water, sand, and chemicals under high pressure to break up the shale and release hydrocarbons, which are then brought back up the drill hole. By rotating the horizontal turns in successive passes, a single well can reach a large area underground.

The growth of hydraulic fracturing in the United States in recent years has been astonishing. In 2014, more than 1 million oil and gas wells were operating in 36 states. The biggest fracking booms were underway in several shale formations: the Baaken (North Dakota), Marcellus (Pennsylvania, West Virginia, New York, Ohio, and Maryland), and Barnett (Texas).

Hydraulic fracking has a number of benefits. In 2012, the United States became the leading natural gas producer in the world, overtaking Russia, and is predicted to become the leading oil producer, overtaking Saudi Arabia, within the next few years. At current rates of growth, the United States will be energy self-sufficient by 2030. The fracking boom has created jobs, tax revenue, and royalties to property owners who lease their mineral rights. Natural gas burns cleaner than either coal or oil, providing a possible bridge to a future economy based on renewable energy.

But fracking also carries serious environmental risks. Trucks and heavy equipment cause noise and air pollution in and around drilling sites. The process uses vast quantities of water—at least 250 billion gallons since 2005, according to some estimates—depleting supplies available for drinking and irrigation. Chemicals injected underground include a host of toxins. Fluid that returns to the surface—called flowback—is often further contaminated by radioactive substances, heavy metals, and volatile organic compounds from deep in the earth. Improper disposal of this wastewater can contaminate land, wells, and rivers—and even cause earthquakes. Methane can be released at multiple stages in the fracking process, powerfully contributing to climate change. Wildlife habitat is destroyed as forests and fields give way to industrial drilling sites.

In 2015, the Department of the Interior issued new regulations governing hydraulic fracturing on public and tribal lands. The new regulations required companies to disclose the chemicals they used and set stricter rules for the storage and disposal of wastewater, among other provisions. States, which had jurisdiction over fracking on private and state- owned land, had taken a wide range of approaches. At one extreme, two states—Vermont and New York—had banned fracking outright. In announcing the decision, the health commissioner of New York said, “The potential risks are too great. In fact, they are not even known.” At the other extreme, government oversight in North Dakota—site of a huge oil boom—was considered highly permissive; in fact, the state’s top environmental regulator described himself on a radio show as “not a regulations guy.” Some states had charted a middle course; California, for example, implemented regulations in 2015 that allowed fracking but required strict monitoring of groundwater and air quality near wells.

As the practice of hydraulic fracturing spread, some companies experimented with new technologies to extract oil and gas with less environmental damage. Halliburton developed solar-powered storage silos and natural gas-fueled pumps, reducing on-site emissions. Southwestern Energy installed infrared cameras to detect fugitive methane emissions, so leaks could be plugged. General Electric tested a system that enabled water to be treated and reused on site, and GasFrac, a Canadian company, introduced a fracking method that used no water at all.

Said a professor who studied these trends, “[It is] the same as with any industry—if you come out with a game-changing technology, you can get in the market first and ride that.”

Discussion Questions

What is hydraulic fracturing, or fracking, and what are its costs and benefits?

What are the benefits to companies of moving beyond compliance and developing more sustainable methods of fracking?

What factors might influence a company to use more or less environmentally responsible methods of fracking?

Explanation / Answer

Ans – 1

Hydraulic Fracturing:

Hydraulic Fracturing is process of extracting crude oil from underground drilling in which vertical well is drilled in deep underground of earth and drilled until it break the oil or gas bearing layer. Vertical drill can be more than 7000 feet deep. Drill operator than pump large number of water, sand and chemicals with high pressure to break the shale and release hydrocarbon which bring back drill upside.

Because of hydraulic fracturing there are millions of oil and gas wells could have been found to increase production of oil and gas beneath of ground. Because of that US has became top natural gas producer in the world and will become leading oil producer in world in some time. It will create a better economical growth and US will become energy self sufficient in near future. Natural gas will encourage to renewable energy.

Fracking can cost also as it poses serious environmental risks, trucks and heavy equipment can make noise pollution and air pollution, process has consumed large quantity of water to be used. Use of chemical has increased risk of toxin in underground. When drill comeback to ground fluid also come back with it and it is contaminated by radioactive substances and heavy metal which can destroy organic soil, land, river and wells also additionally it can cause earthquake also.

Ans - 2

It will create advantage for companies to be in competition and provide a regulated business which will according to regulation of environment. More sustainable method will let them be in business for long time and will give enough business to be in competition.

Ans – 3

- The regulation of government will influence company to rely on more environment friendly methods that will less harm atmosphere.

- NGO and other environment protecting organization will not tolerate methods which are less eco friendly and pollute the atmosphere.

- Regulation will kick out the companies who do no prefer to use methods which create less pollution and do not harm local territory.

- People around those sites will be affected and society will not tolerate this kind of hazards which can take toll on their life.