Natural Gas Producers in PA Don’t Pay Their Fair Share

Stephen Herzenberg, Jon White |

In 2017, Pennsylvania’s legislature has shown renewed interest in enacting a severance tax on natural gas extraction as part of the state’s overdue revenue package to fund the state budget. In that context, the natural gas industry has maintained a steady drumbeat of communications claiming that Pennsylvania already has a tax on gas extraction because of its per well impact fee which does not rise with volume or value of gas drilled. This brief fact checks this claim and finds it represents the selective use of data by opponents of a natural gas severance tax.