The city of Denton, Texas become the first Texas city to have votes approve a ban on fracking, and by a fairly (and surprisingly large margin). Now the questions turn from whether the initiative would pass to can it be implemented and what will be the legal ramifications.
To answer the first, the Texas Railroad Commission, the state body responsible for oil and gas regulation in Texas, has made it clear that it believes the regulation of and licensing for oil and gas operations is a function of the state government, not local municipalities. Christi Craddick, the chairwoman of the Railroad Commission stated definitely that it was her job to issue permits and that the state would continue to issue permits, without regard to the Denton ban.
Interestingly, Commissioner Craddick also weighed in some of the possible explanations for the Denton vote in favor of the ban and laid much of the blame at the feet of industry. As reported by the Dallas Business Journal, Commissioner Craddick said her agency and the industry should have done a better job communicating with residents about the process, especially where it encroached on homes and schools. "We missed as far as an education process in explaining what fracking is, explaining what was going on," Craddick said. "And I think this is the result of that, in a lot of respects, and a lot of misinformation about fracking."
These comments echo similar comments made in other areas in which fracking bans have been approved by votes, necessarily raising the question: When, if ever, will the oil and gas industry learn how to better communicate the benefits and minimal risks associated with fracking?
The second question – would the courts be called to consider the ban – was answered quickly as both the Texas Oil and Gas Association and the Texas Land Commission both filed for injunctions to bar the implementation of the ban.
In short, Texas now finds itself in a similar position to where Colorado was a few months back, and where California likely is following voter approval of fracking bans in 2 California counties.
The oil and gas industry should take note. Though a few counties in Ohio voted down proposed fracking bans. Anti-fracking activists are dedicated, serious and darn effective in conveying their message. Industry needs to catch up and not rely on the courts and state regulators for a life line.
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