Ben Shepperd,
PBPA President
The interim for the Texas Legislature lasted a brief 38 days as Texas Governor Greg Abbott called on the legislature to return to the Texas Capitol and continue working on at least 11 items of importance.
The 87th Regular Legislative Session did prove beneficial to so many Texas energy communities and the state adopted a budget that responsibly funds key energy agencies while keeping the budget balanced with no new debt or taxes.
The Permian Basin Petroleum Association worked diligently during the 87th Regular Session that ran from the beginning of January to the end of May to work with legislators from all across the state to address some of the most pressing public policy challenges of our time.
Most notably, PBPA worked aggressively to ensure that the effort to create a reliable and resilient energy grid for Texans was done so with the knowledge and expertise of the most reliable and largest segment of electricity for consumers. We are proud to represent 40 percent of all natural gas production in the Permian Basin and provide that voice to lawmakers and regulators in answering questions.
And that work will continue.
More than three dozen rulemakings are currently occurring before various state agencies, including the Railroad Commission of Texas, the Public Utilities Commission, and the Texas Commission on Environmental Quality.
PBPA is committed to continue our education efforts and advocacy in ensuring that these vital agencies hear from Permian Basin oil and gas operators, service companies, midstream companies, and every facet of membership to ensure that the agencies are making the most informed decisions.
We are proud of our ability to directly advocate on behalf of the industry, and this will be a very busy and complex series of months that will likely dictate the next 5 to 10 years for the oil and gas energy in Texas.
In New Mexico, we continue our efforts in providing comments on current and upcoming rulemakings, like those focused on waste and air emissions. We are happy to visit with any members who want to make sure their thoughts are heard at the Environment Department or the Oil Conservation Division.
Perhaps most seriously, we are engaged in the next front in a longtime PBPA priority regarding the use of the Endangered Species Act at the U.S. Fish and Wildlife Service. Recently, USFWS decided to split the five-state territory into two distinct regions and offer differing species listings for each.
In the northern territory, USFWS has decided that the Lesser-Prairie Chicken is threatened, while in the southern portion, which includes Texas and New Mexico, the species in endangered.
These are serious threats to energy development in the Permian Basin. At best these findings would require all surface activity be reviewed by the agency, which would lead to costly and timely delays and at worst would altogether devastate the right to produce in the region. In addition, violations under the act can lead to very large fines and could include criminal penalties.
All of that is in addition to the real economic changes that would occur to those that live, work, and raise their families in the Permian Basin, and to the economies of both Texas and New Mexico.
On every front, PBPA continues to work with our member companies to represent the right to responsibly develop our natural resources and looks forward to your much needed support in the days ahead.