There’s often a misconception that regulation is a purely federal affair. However, the heart of regulation is local. State governments, not the federal government, have significant and primary oversight over the oil and gas operations that occur within each state. There are a few exceptions, of course. There are cases where the federal regulators do attempt to enforce regulatory control over state oil and gas operations normally left to state control. Recently, the Bureau of Land Management attempted to enforce new regulations on fracking, for example.
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