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PA Bulletin, Doc. No. 20-129

NOTICES

PENNSYLVANIA PUBLIC
UTILITY COMMISSION

Act 13 of 2012; Producer Fees for Calendar Year 2019

[50 Pa.B. 623]
[Saturday, January 25, 2020]

 Average Annual Price of Natural Gas for Calendar Year 2019:(1)     $2.628

 Consumer Price Index (CPI), Urban Consumers, PA, NJ, DE and MD:(2)     2.4%

Number of Spud Wells for
Calendar Years 2018 and 2019

2018   2019   
Number of wells spud   777   613   

 CPI adjustment to spud well fees is not applicable in 2019. See 58 Pa.C.S. § 2302(c) (relating to unconventional gas well fee).

Unconventional Gas Well Fees for
Calendar Year 2018

Year of Well(3) Horizontal Vertical—Producing
Year 1 $45,700 $9,100
Year 2 $35,500 $7,100
Year 3 $30,400 $6,100
Year 4—10 $15,200 $3,000

(1) Source: www.business.directenergy.com

(2) Source: www.bls.gov

(3) Horizontal unconventional gas wells pay the yearly fee upon spudding plus 2 subsequent years. Fees after the first 3 years are based on production levels as defined in 58 Pa.C.S. § 2302(b.1). Vertical wells producing gas levels above a 90,000 cubic feet average in any one given month during the current reporting year are subject to 20% of the applicable horizontal well fee rounded to the nearest $100.

ROSEMARY CHIAVETTA, 
Secretary

[Pa.B. Doc. No. 20-129. Filed for public inspection January 24, 2020, 9:00 a.m.]



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