Who the Frack's Really in Charge?

In 1992 the Colorado Supreme Court ruled that localities cannot outright ban drilling.  If Colorado counties and cities want to try their hands at regulating, says the state, those regs must be in 'harmony' with state regs and cannot add provisions that might deplete industry profit.  But, according to the state constitution, Colorado is a local home-rule state.  Where voters have so chartered, municipalities have the right to local self-governance.  It is complicated. 

Descrying signs of mutiny, Hickenlooper sought a more moderate stance.  He acknowledged that, while the threat of unbridled O&G expansion might make some folks uncomfortable, not to be forgot are the rights of those who own the underground.  For in Colorado, as in other states, the divide between surface land and underground resources 'splits the estate'.   Let property owners beware.   

Analysis by the National Resource Defense Council's GIS expert estimates that 57.2 million acres in this country--an area about the size of the state of Georgia--are split between private ownership above and federal below.  In Colorado, the state requires surface owners either to provide reasonable access to mineral owners or to compensate them for their losses.  What is fair compensation? 

That's the kind of question lawyers slaver over. 

The Industry?

Does anyone believe that this or any industry best regulates itself?  To those outside of oil and gas, fracking is about either obtaining energy or safeguarding environs.  I think it is fair to say that no such dichotomy exists in the conventional energy industry.  Its focus is singular, and so to protect citizens and environment we must regulate.  It's just that the regulation we're getting isn't working.       

'Regulatory capture' describes the gradual erosion of boundaries between regulator and regulated.  Familiarity in this case breeds camaraderie, and interests that the regulator once protected are now open for business.  As commissions are increasingly populated with industry insiders and elected officials shamelessly transit 'twixt industry and governing, corruption spreads like mold.  

So who the frack is really in control?  

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[1] Charles Davis is a political-science professor at Colorado State University.  His interests include energy and public-lands policymaking.  

This article emerged from the third of 10 planned lectures held by the Center of the American West, CU Continuing Education, Boulder County, and the AirWaterGas Research Network (a project of the National Science Foundation/Sustainability Research Network) on various aspects of fracking.  

Past articles from the lecture series:  Everything You Always Wanted to Know About Fracking But Should Be Afraid to Ask--An Overview; Fracking:  Water Issues--Colorado-centric, But Applicable to All.