Nearly $2.3 billion generated since 2011 to fund environmental, emergency response, infrastructure and critical community programs in all 67 counties
PITTSBURGH, Pa. – June 17, 2022 – Pennsylvania’s tax on natural gas development generated $234 million in 2021, marking the second-largest amount ever returned to communities across the Commonwealth, the Pennsylvania Public Utility Commission (PUC) reported today. Pennsylvania county and municipal governments will receive the majority share of the funding for a wide range of local infrastructure, emergency response, community and environmental programs.
“Generating $2.3 billion in essential funding for state and local governments across all 67 counties, Pennsylvania’s unique natural gas tax is an effective policy that yields impactful results,” Marcellus Shale Coalition president David Callahan said.
“The nearly 60 percent increase in this year’s distribution is directly related to heightened activity levels and the commodity price environment, underscoring the importance of policies that encourage domestic natural gas development, transportation and use. Our members continue to be focused on responsibly developing clean, abundant Pennsylvania natural gas, which is even more important today in keeping America and our allies energy secure.”
Enacted in 2012 through Act 13, Pennsylvania’s natural gas development tax generates annual revenue directly tied to drilling activity in the state. Key statewide regulatory and environmental conservation programs are also funded through the tax, and each of Pennsylvania’s 67 counties share in the revenues.
More than $129 million will be distributed to county and local governments, with $105 million allocated to statewide environmental programs and regulatory oversight, including:
- Marcellus Legacy Fund: $86,030,934
- County Conservation Districts, State Conservation Commission: $8,860,241
- Pennsylvania Department of Environmental Protection: $6,000,000
- Fish & Boat Commission: $1,000,000
- Pennsylvania Department of Transportation: $1,000,000
- Pennsylvania Public Utility Commission: $1,000,000
- Office of the State Fire Commissioner: $750,000
“Our industry provides much more than clean and abundant natural gas. Good-paying jobs, economic prosperity, and – as demonstrated by the impact fee – sustained community investment programs are all made possible through responsible, Pennsylvania natural gas development,” Callahan continued.
For more information on Pennsylvania’s Impact Fee, click HERE, HERE, HERE, and HERE.