Pennsylvania local governments have been receiving a payday from the state’s natural gas industry. The commonwealth’s Independent Fiscal Office has estimated that the state’s natural gas impact fee collections will come in at $239.9 million for 2025 — an increase of 46% over the previous year.
This fee (which is really just a tax on the industry) is unique to Pennsylvania. It is the only natural gas-producing state that has structured its taxation of the industry this way and designed the tax to directly benefit every county within its borders. Regardless of whether drilling is located within its borders or not, every single one of Pennsylvania’s 67 counties receives a portion of the annual impact fee revenues.
These funds have paid for countless local community projects over the years, including infrastructure upgrades, road and bridge improvements, grants for firefighters and first responders and community green spaces and parks.
The impact fee is a win for the commonwealth and the people who live here.
Mike Davies
Lower Swatara Township
Dauphin County
Publication: LNP | LancasterOnlinehttps://lancasteronline.com/opinion/letters_to_editor/natural-gas-impact-fee-is-a-win-for-all-pennsylvanians-letter/article_fb492969-fc64-45dc-b0ed-f94d8b8c3084.html