EPA starts oil, gas wastewater management study amid complexities

This article was updated Oct. 10.

The US Environmental Protection Agency is studying oil and gas wastewater management requirements and policies with the intention of producing a white paper early in 2019 that will help it determine if new federal regulations are necessary, officials said Oct. 9. They also acknowledged that it will be difficult.

“Dealing with wastewater from oil and gas extraction and turning it into useable water is not an easy matter, but it’s a critical issue we need to work through,” Deputy Assistant Administrator for Water Lee D. Forsgren observed at a public meeting at EPA’s headquarters.

EPA’s exploration and production effluent guidelines apply onshore at the wellhead and at centralized wastewater treatment sites, noted Jesse Pritts, an engineer in EPA’s water office and the study’s leader. Control measures include establishing and enforcing limits, using best management practices, and determining effective wastewater management techniques, he said.

Stripper wells, coalbed methane production, and discharges for beneficial reuse are exempt, Pritts said. “We have no regulations for reuse of water in the oil field or its disposal in Class II underwater injection control wells,” he said.

EPA undertook the study because new wastewater management approaches are emerging, and possible uses for treated production waste are emerging, suggesting they could be used in parts of the US where fresh surface water is scarce, Pritts said. One goal is to understand if broad support exists for potentially allowing broader wastewater discharges, he said.

“Some states support additional discharge options to add water to the hydrological cycle and reduce demand for freshwater,” Pritts said. EPA contacted several officials who cited possible reduced regulatory enforcement costs if existing management options are substantial, he said. “They said they could use more data, and lack technical expertise which leads them to rely heavily on EPA.”

More revenue for states?

Officials in states where there is little surface water expressed interest in converting produced water from a well into a useable fluid that potentially could provide increased tax revenue, he added.

Oil and gas industry officials from companies and trade associations expressed their commitment to reusing extraction wastewater and interest in new options beyond reinjection underground, Pritts said. There also are parts of the US where the ability to recycle and reuse produced water declines as E&P activity decreases, he said.

“Some basins, such as the Permian, are limited because of insufficient injection well capacity. Even if EPA allowed more options, there are still state requirements which could constrain management options,” Pritts said.

Indian tribes were concerned about potential impacts on their economies and living conditions, while environmental and other nongovernment organizations raised questions about ingredients in chemical compounds used in E&P that are proprietary, he said.

Academia’s researchers said there also are knowledge gaps arising from produced water’s variability, Pritts said. “Desalinization costs more than reusing the produced water in the oil field or injecting it into disposal wells,” he said.

Conservation, not disposal

Representatives from national and state oil and gas groups described what they would like to see the study accomplish as the session continued into the afternoon. “We want regulation that reflects the importance of conserving water resources, rather than incentivizing their disposal,” American Exploration & Production Council Pres. Bruce Thompson said. “We believe that resource protection need not come at the expense of conservation—particularly given that water availability concerns are no longer confined to the ‘arid West.’”

Amy Emmert, American Petroleum Institute senior advisor, said, “At the federal level, produced water should be treated like any other category of industrial effluent. Science and technology-based effluent criteria should be established that allow discharges that are protective of environment. States should continue to be the primary implementation authority for produced water discharges similar to other industrial categories.”

Independent Petroleum Association of America Executive Vice-Pres. Lee O. Fuller said treated wastewater from oil and gas production could be a valuable addition to US water supplies. “States are the primary managers of water assets within their boundaries,” he said. “EPA has the opportunity to provide states the options they need to improve their water assets. IPAA believes that the federal regulators should provide the framework that the states need.”

Petroleum Association of Wyoming Vice-Pres. John Robitaille said produced water there is entirely consumed in the state’s arid environment, is crucial to many agricultural operations, and has created significant wildlife habitat.

Texas Alliance of Energy Producers Pres. John Tintera said the state already has a vibrant water recycling industry with strong state regulatory oversight. “Texas also has more resources to permit, inspect, and ensure compliance than federal agencies,” he said.

Pennsylvania Grade Crude Oil Association Pres. David Clark also urged EPA to encourage flexibility between federal and state regulators, recognizing that many environmental solutions require regional solutions. “Pennsylvania has extensive regulations for both conventional and unconventional operators within a comprehensive framework of environmental laws,” he said. “Federal rulemaking is often a blunt instrument that should be exercised with restraint.”

Contact Nick Snow at [email protected].