Texas voters elect conservative Craddick as oil regulator
Texas reelected Christi Craddick, a conservative incumbent in her third term as the state's chief oil regulator. This is a victory for the industry which has seen its production increase during her tenure.
According to the most recent government statistics, Texas, which is home to the Permian basin, is the United States' largest oil producer, producing around 5.8 million barrels of crude oil per day. The Texas Railroad Commission, which Craddick is set to chair for six more years, regulates this industry. It oversees everything from pipeline safety to well permitting.
Craddick defeated Democrat Katherine Culbert and Green Party member Eddie Espinoza. Hawk Dunlap, a Libertarian, also won the race. Richard McKibbin, an Independent, was also in the running.
Craddick was first elected in 2012, at the start of the U.S. Shale Revolution, which helped propel the U.S. to the top spot for oil production worldwide.
According to the Energy Information Administration, Texas oil production has risen from 1.98 million barrels per day (bpd) to a record 5.8 million in August of this year.
Craddick, in her third term, will be under increasing pressure from landowners as well as environmentalists and industry groups to address the issue of abandoned orphaned wells.
According to the RRC there were 8,376 orphaned wells in Texas as of October 31. However, the real number could be much higher.
Reed Goodman is the owner and operator of JayBird Resources in South Texas, a company that operates near the Eagle Ford Shale Play.
Railroad Commission was also criticized recently for a number of well blowouts that were caused by so-called "zombie wells". The Railroad Commission has also been criticized recently after so-called zombie wells caused a series of well blowouts.
Environmental groups want RRC to put an end to the routine flaring of oil wells. They also want to increase the fees for permits to make oil companies pay the cleanup costs of orphaned wells rather than the taxpayers.
(source: Reuters)
