Update to Recent Events Back to Blog
With the ending of the current regular session of the Texas Legislature and lack of agreement among those participating in the Sunset Commission process, the Texas Railroad Commission will not undergo significant change for the next two years. Most importantly, the name of the agency remains the same, although most industry observers felt it had good chance of changing to something more relevant to the oil & gas industry, than railroads. Unfortunately, certain legislators wanted a complete overhaul in how Railroad Commissioners are able to accept campaign contributions and limitations on their running for other statewide offices while remaining on the Commission. Although the Railroad Commission will make certain policy changes resulting from the many discussions during the Sunset review process, it is expected to be more business as usual than a complete makeover.
It had to happen. President OBama’s selection of a new Department of Energy Secretary has resulted in the DOE’s immediate declaration that, for now, they will not approve any more than the two existing LNG permit applications already approved. Instead, they will give a much more thorough review of the remaining 10 applications. Apparently, the new DOE Chief thinks the export of our natural gas resources might be a bad thing, both from an environmental and a commodity price viewpoint. Nothwithstanding the expected significant increase in oilfield jobs and revenues and taxes to the State of Texas and the nation, the LNG application process is going to slow down considerably according to Energy Department observers. Just when you thought you could come back out to work……