In Michigan, oil and gas fees again fail to cover cost of oversight

Energy News Network: Michigan officials for the third year in a row are asking for public funding to cover the cost of regulating oil and gas drilling in the state, as revenue from an industry fee continues to fall short.

The state Department of Environmental Quality’s Oil and Gas Program — which reviews drilling permit applications, inspects active wells and oversees permanent sealing of retired ones — is funded by a “surveillance fee” capped at 1 percent of the value of companies’ gross production.

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