Pennsylvania’s fiscal year budget package creates a new tax credit for power plants that clean up and burn refuse coal piles; clarifies the state’s oil and gas conservation law and shifts funding for green buildings toward natural gas infrastructure development instead.
This year, Pennsylvania’s spending and revenue soup-making was more notable for the energy items that were dropped from discussion than for the low-profile items that made it into law last week.
Republican legislative leaders and Democratic Gov. Tom Wolf shed some controversial energy proposals — like a severance tax on natural gas production favored by Mr. Wolf — relatively early in negotiations. Also absent from the final revenue agreement was a proposal to raise about $500 million by reinstating a gross receipts tax on natural gas use that would have been paid by consumers.
Other proposals emerged and withered in recent days, including an effort to preempt three regulations for shale gas operators that are slated to take effect soon…