Questions Local Leaders and Residents Should Be Asking
As oil and gas development activity expands across Ohio, it brings a wide array of issues and implications that may impact local communities, such as community service needs, population growth, environmental concerns and infrastructure impacts. Local communities must be prepared to understand and address these issues.
Potential Economic Impacts of Shale Oil and Gas Development
The development of shale gas brings with it an influx of activity and the potential of economic impacts, but the extent of this impact is a subject of debate. These recent studies conducted by The Ohio State University and other institutions address the predicted impact that oil and gas development will have on Ohio's economy.
- The Ohio State University Department of Agricultural, Environmental and Development Economics' study entitled The Economic Value of Shale Natural Gas in Ohio quantifies the economic value of the industry to Ohio.
- The Ohio Shale Coalition's Economic Potential for Shale Formations in Ohio study focuses on the overarching economic impacts of the industry on the state of Ohio.
- The Department of Agricultural, Environmental and Development Economics at OSU has released a report critiquing the above economic study prepared by the Ohio Shale Coalition: Ohio Shale Coalition Report Appears to Have Overestimated Ohio Shale Job Creation by About 400%.
- The Ohio Oil and Gas Energy Education Program's Ohio’s Natural Gas and Crude Oil Exploration and Production Industry and the Emerging Utica Gas Formation evaluates the impacts and value of the industry on several key economic areas.
The development of shale resources increases truck and equipment traffic on Ohio's roads, bridges and other physical infrastructure. Many areas where development will take place are rural, and are not prepared to accommodate the increased stress on local infrastructure. For this reason, Ohio legislators recently passed a provision in Senate Bill 315 to address rural infrastructure needs. The new law requires an operator to work with county officials to address roadway needs in the area where the operator will be utilizing public roadways. The new law is Ohio Revised Code Section 1509.06(11)(b), effective September 10, 2012.
OSU Extension Shale Fact Sheet Series