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Updated: 7:24 p.m. Friday, June 25, 2010 | Posted: 6:20 p.m. Friday, June 25, 2010
STATE COLLEGE, Pa. —
“We are going to see an increase in the amount of natural gas that's consumed, particularly generating electricity,” explained Dr. Seth Blumsack.
Blumsack, a Penn State energy and mineral engineering professor, co-authored the recently released “Economic Impacts of the Pennsylvania Marcellus Shale Natural Gas Play” study.
"If a tax is imposed, then the costs of operating in the Marcellus are going to go up and to some degree and that will give some players an incentive to either leave the industry or leave Pennsylvania,” said Blumsack.
Resource Technologies Corporation financial expert Jeff Kern offered a strong objection to the tax argument at a recent Centre County Commissioners meeting.
“Given the relative position of Pennsylvania, it just seems fool hearted to continue to give an exemption of the taxes we all pay and they pay in every other state,” said Kern.
As gas drilling experts and community leaders debate extraction taxes, residents in Centre County told WJAC-TV that they’re concerned large construction and tanker trucks driving in and out of rig sites will damage roads.
"I don't know how these roads are going to stand up to it,” said Terry Carey. “They just aren't made for this kind of traffic."
State transportation officials will implement a 10 ton weight limit on a 13-mile stretch of Route 504 in Rush Township July 1.
A PennDOT spokesperson told WJAC-TV that any companies operating vehicles heavier than 10 tons on restricted roads must enter into a bond agreement and may be financially responsible for as much as $12,500 in damages per mile of affected roadway.
According to PennDOT Community Relations Coordinator Marla Fannin, 412 miles of state roadways in Centre, Clearfield, Elk and Cameron counties are bonded by Marcellus Shale drilling-related companies.
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