GILLETTE - Wyoming remains embroiled in multiple legal and philosophical discussions about what are the true beneficial uses of water produced in association with coal-bed methane - one of Wyoming's main economic engines.

Two state entities are involved in coming up with answers to the question, but there's some disagreement about whether they are working with or against each other.

The Coalbed Natural Gas Water Use Task Force, formed in February, is a 15-member board of legislators, industry and agriculture representatives. The group meets today in Douglas to discuss, among other things, the beneficial uses of coal-bed methane water.

At the same time, the state Environmental Quality Council is considering the same question. The citizen-appointee council, which regularly reviews the rules and regulations of the Wyoming Department of Environmental Quality, is proceeding with a rules that could more sharply define "beneficial use" as it applies to DEQ's authority over coal-bed methane water management.

Rep. Pat Childers, R-Cody, is chairman of the task force. He noted that his group is charged with making recommendations to the Legislature, which has ultimate authority in drafting state statutes. The petition before the Environmental Quality Council, Childers said, seems to be working toward statutory considerations outside its authority to set DEQ's rules and regulations.

"We are approaching it from a state's authority, looking at which agency is best suited to handle this, and how (state agencies) should work together," Childers said.

At issue is whether a landowner has the right to refuse coal-bed methane water on his property. In coal-bed methane production, significant volumes of groundwater are pumped to the surface.

The Powder River Basin Resource Council, which successfully petitioned the Environmental Quality Council to take on the rulemaking process, argues that the state's current view of "beneficial use" is applied too broadly and doesn't recognize a right of refusal.

That group would like the state to move beyond an assumed beneficial use and require some sort of inventory of how much water is actually put to a specific productive use. This, according to the petitioners, might give a landowner a better shot at refusing the water if he doesn't want it.

Attorney Kate Fox is representing the group in its petition at the Environmental Quality Council. She said opponents of the proposal have tried to mischaracterize the petition as an attempt to change Wyoming water law and take away the ability to use coal-bed methane water where it can be put to an agricultural, municipal or industrial use.

"The issue is to allow development so that the state and gas companies can make money, and to allow water development to the extent that people want the water," Fox said. "But the state should also recognize that some people don't want the water, and we should have a system that accommodates their interest, too."

Shortly after the Environmental Quality Council decided to proceed with rulemaking, Attorney General Pat Crank issued an opinion that many in the coal-bed methane industry thought would put a halt to the process. But Fox said she believes there's enough room in Crank's opinion to force the DEQ to recognize that it can make decisions that affect how much water can be discharged on the surface.

She said the opinion included language indicating that if the volume of coal-bed methane water has an impact on the quality of water, then DEQ can make permit requirements based on both volume and water quality considerations.

In response to Crank's opinion, Fox submitted two amendments to the petition on behalf of her clients: one that specifies such a rule would not prevent people from using oil- and gas-associated water if they want it, and another that would bring the rulemaking within the scope of the opinion on the matter of DEQ's authority.

"I thoroughly understand why a rancher might not want (the water)," Childers said. "But I'm still not convinced that's the right thing, what (the EQC) is doing."

Gov. Dave Freudenthal has said that if the council comes up with a rule that Crank determines does not fit his written opinion, the governor will kill it.

Energy reporter Dustin Bleizeffer can be reached at (307) 682-3388 or dustin.bleizeffer@casperstartribune.net.