Expedited permitting brings a competitive edge
CHARLESTON—In April, Gov. Jim Justice signed an executive order to expedite the permitting process for business and industry in the state. This was a move roundly welcomed by representatives of the natural gas and oil industries.
“We hope that this will apply to projects related to the oil and gas industry, both upstream and downstream, so that we can take full advantage of the vast quantities of natural gas we are sitting on in West Virginia,” said Anne Blankenship, executive director of the West Virginia Oil and Natural Gas Association. “The executive order signals economic growth to come and a prioritization for job creation in our area, which is certainly consistent with [our members’] goals.”
For upstream operators, the move could lead to an uptick in permitting, which is again on the rise after a low point during the commodities downturn two years ago. Benefits also could extend to downstream projects that utilize natural gas, such as power plants and manufacturers. However, it remains to be seen how the state’s executive agencies will handle the mandate. The order requires those agencies, such as the West Virginia Department of Environmental Protection, which oversees the oil and gas industry, to “immediately review all completed permit applications upon receipt.” It also requires agencies to prioritize projects that are deemed of critical economic concern.
Many people are hopeful that the governor’s order will attract more companies to West Virginia.
“This isn’t about … having a lack of regulation,” West Virginia Chamber of Commerce President Steve Roberts pointed out after the announcement. “It’s about making sure the processes work. I frequently hear business owners say they can get permits approved more quickly in neighboring states. The delay in getting a permit approved can mean the difference between a company locating here or somewhere else.”
Pipelines under construction that may benefit from the order include the Mountain Valley Pipeline, Atlantic Coast Pipeline and Mountaineer Xpress project.