The Little League World Series recently concluded in Williamsport, PA, which also happens to sit at the center of the Marcellus Shale activity in north central Pennsylvania and serves as a first hand example of the real and potential impact of the orderly development of the Marcellus Shale in Pennsylvania.
Although the debate continues as to the environmental impact of the drilling, all indications point to an economic boom in Williamsport that is directly attributable to the development of the Marcellus Shale.
Let’s take a look at what has happened in Williamsport over the last 18 to 24 months: over 60 new companies have established a presence in the area, drilling wells, treating waste water and providing materials and services related to the drilling activities. Some are multinational corporations well known on Wall Street; others are privately owned, entrepreneurial enterprises. Hotels and motels in the area are reporting higher occupancy rates; new hotels and motels are under construction or in the planning stages. Demand for housing (single family homes and rentals) has increased. Money received by farmers from gas leases has provided an opportunity to add or replace equipment. Opportunities for job creation in areas directly and indirectly related to the Marcellus Shale, from drilling to transportation to food service, are all on the upswing.
It is very early in the life cycle of the Marcellus Shale, and there are many questions to be carefully considered, including critical environmental and tax issues. What cannot be reasonably denied, however, is that the Marcellus Shale offers a uniquely promising economic opportunity for Pennsylvania and for companies inside and outside of the oil and gas community that should be closely examined and carefully navigated.
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As a native Pennsylvanian I hope that if this development proceeds, that Pennsylvanians are happy about the results in 20 years, including economic and environmental consequences. I hope that these companies know what they are doing; I hope they will not spoil Pennsylvania. Jobs are certainly good right now, but only sustainable development will pay off in the long run.
Comment by inafutureage September 10, 2010 @ 2:15 PM