“Water, Water everyone, nor any drop to drink”
-Rime of the ancient mariner by Coleridge

We’ve all heard or read that “water is the new oil”, often as a pundit’s shorthand for some market prediction. Drinking water, we are told by analysts and environmentalists, is a rare, limited resource which the world is (more…)

In its 2009 annual report, Cabot Oil and Gas named a field in Texas and another in Dimock, Pa., as its two largest fields of production. But yesterday the Pennsylvania Department of Environmental Protection ordered Cabot to plug at least three of its gas wells in Dimock and pay hefty fines after contaminating local drinking water.

More than 15 months after natural gas drilling contaminated drinking water in Dimock, Pa., state officials are ordering the company responsible — Houston-based Cabot Oil and Gas — to permanently shut down some of its wells, pay nearly a quarter million dollars in fines, and permanently provide drinking water to 14 affected families.

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A federal study of hydraulic fracturing set to begin this spring is expected to provide the most expansive look yet at how the natural gas drilling process can affect drinking water supplies, according to interviews with EPA officials and a set of documents outlining the scope of the project. The research will take a substantial step beyond previous studies and focus on how a broad range of ancillary activity – not just the act of injecting fluids under pressure – may affect drinking water quality.

The oil and gas industry strongly opposes this new approach. The agency’s intended research “goes well beyond relationships between hydraulic fracturing and drinking water,” said Lee Fuller, vice president of government affairs for the Independent Petroleum Association of America in comments (PDF) he submitted to the Environmental Protection Agency.

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Responding to reports of environmental contamination in gas drilling areas across the country, the U.S. Environmental Protection Agency will conduct a nationwide scientific study to determine if the problems are caused by the practice of injecting chemicals and water underground to fracture the gas-bearing rock.

The study, announced Thursday but hinted at for months, will revisit research the agency published in 2004, which concluded that the process of hydraulic fracturing did not pose a threat to drinking water. The 2004 report has been widely criticized, in part because the agency didn’t conduct any water tests in reaching that conclusion.

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“Whiskey is for drinking; water is for fighting over.” Often attributed to Mark Twain, whoever said that seemed to have quite a bit of foresight, something the mainstream cleantech community is only recently warming up to.

The fights over water use facing utility scale solar thermal projects in the desert Southwest may have a lot to do with opening the eyes of the clean-tech community, but the sector’s challenges and opportunities are much broader than that, as scores of Californians, Middle Easterners, and Australians will attest.  So why, with the problems so immediate and demand remaining strong in the $58 billion annual market for water technologies, has water investment as a percentage of venture investment declined since 2005?

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In the slums of Kibera in Nairobi, Kenya, about 1 million poor people pay up to 30 times more for water of dubious quality brought to them in old tanker trucks than middle-class citizens pay for clean and safe water provided by the local public water utility via standard household connections.

Some may be shocked by these disturbing disparities in the developing world, but a lack of access to safe, affordable and clean water is also an issue in California, particularly in the Central Valley and along the Central Coast. In these communities, more than 90 percent of drinking water is sucked from contaminated groundwater sources. All told, more than 150,000 California residents lack safe water for drinking, bathing and washing dishes; even more have water service disconnected because they cannot afford to pay their bill.

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In 2005 the U.S. Bureau of Land Management offered up thousands of acres of federal land in Colorado to drilling. Because the land was in the heart of an area that supplies drinking water to 55,000 people in the western part of the state, the plan drew strong opposition from local communities.

The concerns they raised — that the disruption and chemicals used in drilling might ruin their water — foreshadowed similar concerns that have since rippled across the country as drilling operations expand from Wyoming to New York. And their solution may be a lesson that ripples to those communities as well.

The communities — the city of Grand Junction and the neighboring town of Palisades — began by making their concerns clear: drilling is important, but protecting the water supply is paramount.

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The New York Times’ latest story in its series on water contamination might make you think twice before filling up your glass from the tap. Although the law probably deems your water safe, it could still be — legally — teeming with chemicals that cause health problems “from upset stomachs to cancer and birth defects.”

The Safe Drinking Water Act, which regulates tap water, is dangerously out of date, according to the Times. The list of chemicals it regulates stalled at 91 in 2000 — even though water pollution has picked up since then and hundreds of chemicals have been associated with a risk of cancer when found in drinking water. Efforts to tighten water standards have been thwarted by industry lobbyists, according to the Times.

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As environmental concerns threaten to derail natural gas drilling projects across the country, the energy industry has developed innovative ways to make it easier to exploit the nation’s reserves without polluting air and drinking water.

Energy companies have figured out how to drill wells with fewer toxic chemicals, enclose wastewater so it can’t contaminate streams and groundwater, and sharply curb emissions from everything from truck traffic to leaky gas well valves. Some of their techniques also make good business sense because they boost productivity and ultimately save the industry money — $10,000 per well in some cases.

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Pennsylvania residents whose streams and fields have been damaged by toxic spills and whose drinking water has allegedly been contaminated by drilling for natural gas are suing the Houston-based energy company that drilled the wells. A worker at the company is among the 15 families bringing suit.

The civil case, filed Thursday in U.S District Court in Scranton, Pa., seeks to stop future drilling in the Marcellus Shale by Cabot Oil and Gas near the town of Dimock. It also seeks to set up a trust fund to cover medical treatment for residents who say they have been sickened by pollutants. Health problems listed in the complaint include neurological and gastrointestinal illnesses; the complaint also alleges that at least one person’s blood tests show toxic levels of the same metals found in the contaminated water.

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