Breaking ground: Government signals possible change on fracking quake limit
The government could relax rules on fracking amid pressure from shale gas drillers to defend the future of the controversial industry in the UK.
The Business, Energy and Industrial Strategy department (Beis) said today it would look at data gathered at Cuadrilla’s Lancashire fracking site after an assessment from the Oil and Gas Authority.
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“Shale gas could be an important new domestic energy source reducing the level of gas imports while delivering broad economic benefits, including through the creation of well-paid, quality jobs,” a government spokesperson said.
“It could also support our transition to net zero emissions by 2050.”
Industry insiders have long called the rules draconian, and among the strictest in counties which allow fracking. They have argued that the regulations risk strangling the UK sector before it can get off the ground.
Francis Egan, the chief executive of fracker Cuadrilla, today called the government’s new signals “encouraging”.
“We seem to have moved on to something a bit more positive,” he told City PM
Beis will review the so-called traffic light system (TLS), which forces energy companies to immediately cease fracking if instruments detect tremors above 0.5 on the Richter scale. At its launch in 2014 Beis said it would review the system when new data was available. However, earlier this year the department said it had no intention of doing so and today’s announcement signals a return to a less hardline position.
The change in tone comes after new Prime Minister Boris Johnson appointed Andrea Leadsom as business secretary.
Ken Cronin, the head of the industry body UK Onshore Oil and Gas, said Leadsom could trigger a spike in investment into the UK by easing the TLS.
“We would find it very difficult to do hydraulic fracturing within the current limits,” Cronin said. “We’ve always taken some comfort from the fact that the original level was set with the premise that that would be a review.”
Facing opposition from local groups and environmental campaigners alike, the last government was reluctant to change the rules.
“Whether or not to raise the threshold is a decision that is best placed to be made by the professionals and the regulator, rather than politicians,” said Natascha Engel, the former shale commissioner who resigned in protest against the government’s position in April.
“Until now we’ve been in an impasse waiting to see whether the review happens … rather than being able to get on with it,” she added.
The industry points to other sectors, such as construction and quarrying, that are allowed to cause stronger tremors that can be felt at the surface.
The industry points to other sectors, such as construction and quarrying, that are allowed to cause stronger tremors that can be felt at the surface.
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However, campaigners have called for the government to abandon an industry that is still unproven in the UK.
“There is a booming renewables industry which really does create jobs and growth, and really does cut emissions,” said Rosie Rogers at Greenpeace.
Main image credit: Cuadrilla