By DEBORAH BAKER , 03.25.09, 06:20 PM EDT
"New Mexico was dealt a blow to its oversight of the oil and gas industry with the state Supreme Court's recent ruling that a regulatory division may not directly impose penalties on operators.
The high court said the Oil Conservation Division must instead go through the attorney general, who would have to sue to try to collect penalties for alleged violations of regulations or the law.
The high court said the Oil Conservation Division must instead go through the attorney general, who would have to sue to try to collect penalties for alleged violations of regulations or the law.
The lawsuits would have to be filed in the counties where the alleged violations occurred.
Mark Fesmire, director of the division, said that will make it more difficult, time-consuming and costly to regulate oil and gas activity.
"We'll go back to where the oil and gas industry is basically unregulated in New Mexico," he said. "And if we do that, more and more counties are going to do what Santa Fe County did."
The county enacted an ordinance in December that the industry complained amounted to a drilling moratorium." More>>>>
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