IDEAS home Printed from https://ideas.repec.org/a/eee/ecolec/v197y2022ics0921800922000982.html
   My bibliography  Save this article

Does Unconventional Energy Extraction Generate More Wastewater? A Lifetime Perspective

Author

Listed:
  • Xu, Minhong
  • Xu, Yilan
  • Khanna, Madhu

Abstract

Unconventional energy extraction has been accompanied by a faster increase in aggregate wastewater generation compared with conventional practice. Understanding the extent to which it is due to technologies, energy production, or geological characteristics has implications for reducing the associated environmental risks. We analyze how wastewater generation patterns differ between unconventional wells and conventional wells, accounting for differences in well configurations and local geology. Using the 2008–2016 monthly production data from 50,039 wells, we show that unconventional wells generated more wastewater in the first 12 months of production but less cumulative discharge than conventional wells. Unconventional oil wells had a lower wastewater-to-energy ratio throughout their lifetime than their conventional counterparts, whereas no efficiency gap existed among gas wells. We find both an increasing initial discharge gap and growing efficiency gains between unconventional wells and conventional wells starting production in more recent years, likely due to increased penetration and persistent improvements of unconventional technologies over time. Our findings call for targeted strategies to balance the short-term disposal burden and the long-term efficiency gains of unconventional energy extraction.

Suggested Citation

  • Xu, Minhong & Xu, Yilan & Khanna, Madhu, 2022. "Does Unconventional Energy Extraction Generate More Wastewater? A Lifetime Perspective," Ecological Economics, Elsevier, vol. 197(C).
  • Handle: RePEc:eee:ecolec:v:197:y:2022:i:c:s0921800922000982
    DOI: 10.1016/j.ecolecon.2022.107436
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0921800922000982
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.ecolecon.2022.107436?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Shih, Jhih-Shyang & Swiedler, Elaine & Krupnick, Alan, 2016. "A Model for Shale Gas Wastewater Management," RFF Working Paper Series dp-16-44, Resources for the Future.
    2. repec:aen:journl:eeep4_1_krupnick is not listed on IDEAS
    3. Xu, Minhong & Xu, Yilan, 2020. "Fraccidents: The impact of fracking on road traffic deaths," Journal of Environmental Economics and Management, Elsevier, vol. 101(C).
    4. Zhongmin Wang and Alan Krupnick, 2015. "A Retrospective Review of Shale Gas Development in the United States: What Led to the Boom?," Economics of Energy & Environmental Policy, International Association for Energy Economics, vol. 0(Number 1).
    5. James Feyrer & Erin T. Mansur & Bruce Sacerdote, 2017. "Geographic Dispersion of Economic Shocks: Evidence from the Fracking Revolution," American Economic Review, American Economic Association, vol. 107(4), pages 1313-1334, April.
    6. Kuwayama, Yusuke & Roeshot, Skyler & Krupnick, Alan & Richardson, Nathan & Mares, Jan, 2017. "Risks and mitigation options for on-site storage of wastewater from shale gas and tight oil development," Energy Policy, Elsevier, vol. 101(C), pages 582-593.
    7. Muehlenbachs, Lucija & Staubli, Stefan & Chu, Ziyan, 2021. "The accident externality from trucking: Evidence from shale gas development," Regional Science and Urban Economics, Elsevier, vol. 88(C).
    8. Loomis, John & Haefele, Michelle, 2017. "Quantifying Market and Non-market Benefits and Costs of Hydraulic Fracturing in the United States: A Summary of the Literature," Ecological Economics, Elsevier, vol. 138(C), pages 160-167.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Blemings, Benjamin T. & Bock, Margaret & Scarcioffolo, Alexandre, 2022. "Hoggin' the Road: Negative Road Externalities of Pork Slaughterhouses," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322466, Agricultural and Applied Economics Association.
    2. Boslett, Andrew & Hill, Elaine, 2022. "Mortality during resource booms and busts," Journal of Environmental Economics and Management, Elsevier, vol. 115(C).
    3. Hitaj, Claudia & Boslett, Andrew J. & Weber, Jeremy G., 2020. "Fracking, farming, and water," Energy Policy, Elsevier, vol. 146(C).
    4. Hill, Elaine L., 2018. "Shale gas development and infant health: Evidence from Pennsylvania," Journal of Health Economics, Elsevier, vol. 61(C), pages 134-150.
    5. Diemer, Andreas, 2020. "Spatial diffusion of local economic shocks in social networks: evidence from the US fracking boom," LSE Research Online Documents on Economics 105868, London School of Economics and Political Science, LSE Library.
    6. Muehlenbachs, Lucija & Staubli, Stefan & Chu, Ziyan, 2021. "The accident externality from trucking: Evidence from shale gas development," Regional Science and Urban Economics, Elsevier, vol. 88(C).
    7. Hess, Joshua H. & Manning, Dale T. & Iverson, Terry & Cutler, Harvey, 2019. "Uncertainty, learning, and local opposition to hydraulic fracturing," Resource and Energy Economics, Elsevier, vol. 55(C), pages 102-123.
    8. LaPlue, Lawrence D., 2022. "Environmental consequences of natural gas wellhead pricing deregulation," Journal of Environmental Economics and Management, Elsevier, vol. 116(C).
    9. Meza, Abel & Koç, Muammer & Al-Sada, Mohammed Saleh, 2022. "Perspectives and strategies for LNG expansion in Qatar: A SWOT analysis," Resources Policy, Elsevier, vol. 76(C).
    10. Ferdinando Monte & Stephen J. Redding & Esteban Rossi-Hansberg, 2018. "Commuting, Migration, and Local Employment Elasticities," American Economic Review, American Economic Association, vol. 108(12), pages 3855-3890, December.
    11. Boslett, Andrew & Hill, Elaine & Ma, Lala & Zhang, Lujia, 2021. "Rural light pollution from shale gas development and associated sleep and subjective well-being," Resource and Energy Economics, Elsevier, vol. 64(C).
    12. Katie Jo Black & Shawn J. McCoy & Jeremy G. Weber, 2018. "When Externalities Are Taxed: The Effects and Incidence of Pennsylvania’s Impact Fee on Shale Gas Wells," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 5(1), pages 107-153.
    13. Arezki, Rabah & Fetzer, Thiemo & Pisch, Frank, 2017. "On the comparative advantage of U.S. manufacturing: Evidence from the shale gas revolution," Journal of International Economics, Elsevier, vol. 107(C), pages 34-59.
    14. Backstrom, Jesse, 2019. "Strategic Reporting and the Effects of Water Use in Hydraulic Fracturing on Local Groundwater Levels in Texas," Center for Growth and Opportunity at Utah State University 307177, Center for Growth and Opportunity.
    15. Winters, John V. & Cai, Zhengyu & Maguire, Karen & Sengupta, Shruti, 2019. "Do Workers Benefit from Resource Booms in Their Home State? Evidence from the Fracking Era," GLO Discussion Paper Series 400, Global Labor Organization (GLO).
    16. Grant D. Jacobsen, 2019. "The impact of energy booms on local workers," IZA World of Labor, Institute of Labor Economics (IZA), pages 468-468, November.
    17. David Popp & Jacquelyn Pless & Ivan Haščič & Nick Johnstone, 2020. "Innovation and Entrepreneurship in the Energy Sector," NBER Chapters, in: The Role of Innovation and Entrepreneurship in Economic Growth, pages 175-248, National Bureau of Economic Research, Inc.
    18. Becker, Sascha O. & Heblich, Stephan & Sturm, Daniel M., 2021. "The impact of public employment: Evidence from Bonn," Journal of Urban Economics, Elsevier, vol. 122(C).
    19. Nida Cakir Melek & Michael Plante & Mine Yucel, 2021. "Resource Booms and the Macroeconomy: The Case of U.S. Shale Oil," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 42, pages 307-332, October.
    20. Liang, Yuanning, 2023. "Do Safety Inspections Improve Safety? Evidence from the Roadside Inspection Program for Commercial Vehicles," 2023 Annual Meeting, July 23-25, Washington D.C. 335618, Agricultural and Applied Economics Association.

    More about this item

    Keywords

    Oil and Natural Gas; Unconventional Energy Extraction; Wastewater Management;
    All these keywords.

    JEL classification:

    • Q33 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Resource Booms (Dutch Disease)
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:197:y:2022:i:c:s0921800922000982. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecolecon .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.