Pennsylvania will collect about 3 percent less in shale drilling impact fees this year due to a decline in the price of natural gas, according to figures released by the Public Utility Commission this week.
The PUC projects it will collect about $198 million in fees for shale wells drilled through the end of 2012 - compared to the $204 million collected last year when the fee debuted - even though the fee is being levied on about 1,200 more wells.
The 2012 fees were due April 1 and about $197 million had been received through Thursday, according to a PUC tally.
The impact fee is tied to the average price of natural gas and it dipped in 2012 to $2.78 per thousand cubic feet. In 2011, the average price was above $3 per thousand cubic feet and drillers paid $5,000 more for most wells.
Fees are also based on a scale that decreases annually during the life of a well. This year, drillers paid $45,000 for each new horizontal well and $35,000 for each horizontal well they drilled through 2011. Vertical wells that produce enough gas are assessed a smaller amount: $9,000 for wells drilled in 2012 and $7,000 for earlier wells.
The fees are being paid on a total of 5,219 horizontal wells and 288 vertical wells drilled in the Marcellus Shale or other unconventional gas sources, according to the PUC's count. More wells - and more money - might be added because payments for some wells are still being challenged by drillers, the PUC said.
The agency has until July 1 to distribute funds to the counties and municipalities that share about half of the proceeds from the fee.
Pennsylvania's shale wells produced more than 2 trillion cubic feet of gas last year, which was worth about $5.7 billion with the year's average price of natural gas.
Contact the writer: llegere@timesshamrock.com