The Associated Press

COLUMBUS - The state would become the sole regulator of oil and gas drilling, removing local control of exploration and operation of wells, under a bill headed for Gov. Bob Taft.

The Senate passed the bill 25-6 Tuesday. The House passed it in January.

It would give the Ohio Department of Natural Resources' division of mineral resources management authority over the development and operation of the wells.

The bill also requires the division's chief to include public safety and the protection of private and public water supplies before issuing a permit to drill.

The bill was needed to keep Ohio's gas and oil businesses on par with other states, said Sen. Larry Mumper, a Marion Republican and chairman of the Senate Agriculture Committee, which recommended the bill last month.

He said West Virginia and Pennsylvania are among the states that have taken that step.

Ohio's wells produce oil and gas worth nearly $466 million annually, according to the Department of Natural Resources. The state has about 70,000 active wells and 498 wells were drilled in 40 counties in 2002, the agency said.

Under current law, counties, townships and municipalities can enforce local health and safety standards for drilling and exploration as long as they are not less restrictive than state standards. The bill would require all wells to adhere to the state standards.

Senate President Doug White, a Manchester Republican, agreed that the industry needs uniform regulation to remain competitive.

The state taking over all regulation could lead to lower prices, he said.

"Natural gas prices are way too high," White said. "Agriculture demands huge natural gas usage for manufacturing fertilizer to raise our crops. ... Ohio has great reserves of gas."

Tapping those reserves could lead to environmental damage, said Jack Shaner, a lobbyist for the Ohio Environmental Council.

He said local communities will be more at risk if Taft signs the bill. He said he was surprised that the Republican majority in the Senate would take away local control.

Taft and natural resources officials are reviewing the bill and the governor has not made a decision on whether to sign it, spokesman Orest Holubec said.