Pa. Supreme Court turns down ‘special law’ to accommodate shale gas
Friday, September 30, 2016
After finding that the state legislator’s 2012 attempt to accommodate the shale gas industry is unconstitutional and only benefits certain industries, the Pennsylvania Supreme Court ruled against Act 13 on Thursday, according to the Power Source.
The court found that Act 13’s provisions violate the state Constitution’s prohibition against “special laws.” Some of the key provisions included limiting the notification of spills and leaks to public water suppliers and leaving private well owners out; restricting health care professionals from getting information about drilling chemicals that could be harmful to their patients and allowing companies involved in transporting, selling or storing natural gas to seize private property via eminent domain.
Additionally, it struck down a rule that allowed the state Public utility Commission from withholding impact fees from municipalities that restricted gas drilling.
The Supreme Court’s ruling does not affect the current collection and disbursement of state impact fees, which are also governed under the law.
Learn more: Power Source > High Court strikes down Pa. law on shale gas
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Shale FAQ
How often do royalty payments come?
Depending on the company, royalty payments can arrive monthly or quarterly.
Are my royalty payments transferable?
Yes. If you plan on selling your property, notify the gas company that is leasing your land and your realtor. They will make arrangements to allow the royalty payments to transfer to a different land owner.
What are royalties?
Royalties are payments from the gas company to the landowner as part of a lease agreement. Royalties payments cannot begin until production begins. The payments are dependent upon the market price of the resource.