Newspaper finds fracking jobs in PA have been overstated by state, and are declining [View all]

[JPZenger]

http://www.mcall.com/news/nationworld/pennsylvania/mc--marcellus-shale-jobs-20140223,0,7323897.story

Article on the front page of the Allentown Morning Call newspaper today.

Excerpts:

"But state records show the gas industry has not created as many jobs as state officials have claimed. In addition, the state's estimates of ancillary job growth have been inflated to include employment in places drilling isn't even taking place, further skewing the impact the natural gas industry has had on employment.

The number of jobs directly associated with Marcellus Shale's six "core industries," including drilling, extraction and pipeline construction, declined by 29 percent to 29,926 between the fourth quarters of 2010 and 2013, according to the state Department of Labor and Industry's January labor report. The report is based on employer surveys collected for federal unemployment data and has been produced using the same analysis since Gov. Ed Rendell's administration.

....But the state's ancillary jobs report is bloated and useless, Price said. The shale industry has led to more engineering and trucking jobs, he said. But it's hard to believe every engineer or trucker in the state is working in the gas industry as the State Labor Department reports, he said."

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Meanwhile, gas production in Pa has increased by 60% in the last year. However, the Republican gas impact fee system is not designed to raise revenue consistent with increased production. The Democratic proposal for a 5% tax would have definitely increased tax revenue with increased production.

http://www.lvb.com/article/20140224/LVB01/140229934/Pennsylvania-natural-gas-output-leaps-by-more-than-60-percent