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I am sure that the hon. Gentleman would like every Government to follow everything that New York state does, but we are an independent country and we make our own decisions. He will know that the Government’s policy on fracking is to support it through a robust and strong regulatory regime to ensure that health and safety and environmental concerns are fully taken into account, but also that we can exploit this important resource.
I am sure that the hon. Gentleman would like every Government to follow everything that New York state does, but we are an independent country and we make our own decisions. He will know that the Government’s policy on fracking is to support it through a robust and strong regulatory regime to ensure that health and safety and environmental concerns are fully taken into account, but also that we can exploit this important resource.
What is the Secretary of State’s position on fracking, particularly following the news that New York state has decided to ban it?
Of course we are looking at all issues around future devolution of energy policy following the referendum and the commitments made by the Prime Minister and the Deputy Prime Minister. On fracking, it is often not understood that the Scottish Government, the equivalent of the Environment Agency in Scotland and local planning authorities in Scotland already have a huge role to play in the development of fracking in Scotland.
Of course we are looking at all issues around future devolution of energy policy following the referendum and the commitments made by the Prime Minister and the Deputy Prime Minister. On fracking, it is often not understood that the Scottish Government, the equivalent of the Environment Agency in Scotland and local planning authorities in Scotland already have a huge role to play in the development of fracking in Scotland.
As part of the discussions on further devolution, it has been suggested that the powers of the Department to grant licences for fracking in Scotland should be devolved to the Scottish Government. That seems an eminently sensible suggestion and I support it. Will the Government support it?
To ask the Secretary of State for Energy and Climate Change what estimate he has made of the volume of water required in shale gas extraction for (a) a single hydraulic fracture and (b) over the course of a well's lifetime.
To ask the Secretary of State for Energy and Climate Change what estimate he has made of the volume of water required in shale gas extraction for (a) a single hydraulic fracture and (b) over the course of a well's lifetime.
The recent Strategic Environmental Assessment for further onshore oil and gas licensing, carried out by AMEC on behalf of the Department of Energy and Climate Change, estimated that between 10,000 and 25,000 cubic metres of water would be required for hydraulic fracturing of each well and it is predicted that each well might be re-fractured once during its lifetime.
In this context, Water UK, which represents the water industry, and UK Onshore Operators Group have signed a memorandum of understanding (MOU) which ensures their respective members will cooperate throughout the shale gas exploration and extraction process in order to minimise adverse effects on water resources and the environment.
I am grateful for my hon. Friend’s question, because I was very much involved in those discussions with the European Commission and European colleagues. The House needs to be clear that the European Commission
is talking about something that we proposed—namely, publishing guidance about how existing European directives on things such as emissions, water and mining should apply to the new shale oil and gas industry. It is also worth noting that our regulations, which we have updated and ensured are fit for purpose, are the strongest in the world.
I am grateful for my hon. Friend’s question, because I was very much involved in those discussions with the European Commission and European colleagues. The House needs to be clear that the European Commission
is talking about something that we proposed—namely, publishing guidance about how existing European directives on things such as emissions, water and mining should apply to the new shale oil and gas industry. It is also worth noting that our regulations, which we have updated and ensured are fit for purpose, are the strongest in the world.
The potential value of shale gas to our economy and to communities up and down our country is immense. Will my right hon. Friend therefore join me in congratulating the Government on having headed off the attempts by the European Union to regulate this sector? Does he agree that our success in heading off that attempt is very much due to the fact that we have among the safest regulation in this sector of any country in the world?
In 2016, we will be the first country to set a decarbonisation target, so the idea that we are being slow on that is preposterous. On shale gas, we are behind other countries—she may have noticed that the US has already gone into it. We are determined to see whether this country can benefit from shale gas, but we will ensure that we protect the environment and take the public with us. That is the right way to get the benefits for the country that shale gas might well offer.
In 2016, we will be the first country to set a decarbonisation target, so the idea that we are being slow on that is preposterous. On shale gas, we are behind other countries—she may have noticed that the US has already gone into it. We are determined to see whether this country can benefit from shale gas, but we will ensure that we protect the environment and take the public with us. That is the right way to get the benefits for the country that shale gas might well offer.
On some energy issues, such as setting a date for a decarbonisation target, the Government appear to be extremely slow, but on others, such as the exploitation of shale gas, they want to rush ahead at great speed without looking at environmental and safety considerations.
Will the Secretary of State commit to looking properly at those considerations before any extraction takes place?
Shale gas may prove to be a useful addition to the UK’s diverse portfolio of energy sources, and would be particularly valuable in replacing declining North sea supplies, with benefits to energy security as well as to the economy and employment—but its exploitation will be acceptable only if it is safe and the environment is properly protected.
Hydraulic fracturing operations for shale gas were suspended last year, pending consideration of seismic events in Lancashire. Based on the latest evidence and expert advice, and having considered the responses to a public consultation on that advice, I have concluded that, in principle, fracking for shale gas can be allowed to resume— subject to new controls to mitigate the risk of seismicity. I have made full details available to both Houses by means of a comprehensive written statement tabled this morning.
Shale gas may prove to be a useful addition to the UK’s diverse portfolio of energy sources, and would be particularly valuable in replacing declining North sea supplies, with benefits to energy security as well as to the economy and employment—but its exploitation will be acceptable only if it is safe and the environment is properly protected.
Hydraulic fracturing operations for shale gas were suspended last year, pending consideration of seismic events in Lancashire. Based on the latest evidence and expert advice, and having considered the responses to a public consultation on that advice, I have concluded that, in principle, fracking for shale gas can be allowed to resume— subject to new controls to mitigate the risk of seismicity. I have made full details available to both Houses by means of a comprehensive written statement tabled this morning.
I agree that shale gas has an important part to play in our energy mix and in our economy, and I also agree that we must ensure that communities benefit and that there is proper environmental regulation. I have been very impressed by the way in which Members in all parts of the House have contributed to the debate and to the Department’s thinking, but I pay particular tribute to the hon. Member for Fylde (Mark Menzies), who, along with the independent experts, has really influenced our thinking. It is very important for us to take the public with us as we explore the potential for shale gas in the United Kingdom.
I agree that shale gas has an important part to play in our energy mix and in our economy, and I also agree that we must ensure that communities benefit and that there is proper environmental regulation. I have been very impressed by the way in which Members in all parts of the House have contributed to the debate and to the Department’s thinking, but I pay particular tribute to the hon. Member for Fylde (Mark Menzies), who, along with the independent experts, has really influenced our thinking. It is very important for us to take the public with us as we explore the potential for shale gas in the United Kingdom.
I want to see proper environmental safeguards and generous community benefits for the areas where fracking will take place, but does my right hon. Friend agree that shale gas has the potential not only to lead an industrial renaissance in this country but to play a serious part in dealing with fuel poverty?
Let me also pay tribute to the work that my hon. Friend has done for his constituents, who I know are concerned about shale gas. I can reassure him that the regulations that we already have in the United Kingdom are much stronger than those in many American states where fracking for gas has been taking place for many years. We have the regulations, controls and powers of the Environment Agency, the regulations, controls and powers of the Health and Safety Executive and the
regulations, controls and powers of my own Department, so we already have a strong regulatory regime. However, if the exploration suggests that there is potential for commercial development and we move in that direction, we will keep that regime under review, and will tighten and strengthen it if necessary. Today’s announcement is about new controls to ensure that seismicity is not a problem.
Let me also pay tribute to the work that my hon. Friend has done for his constituents, who I know are concerned about shale gas. I can reassure him that the regulations that we already have in the United Kingdom are much stronger than those in many American states where fracking for gas has been taking place for many years. We have the regulations, controls and powers of the Environment Agency, the regulations, controls and powers of the Health and Safety Executive and the
regulations, controls and powers of my own Department, so we already have a strong regulatory regime. However, if the exploration suggests that there is potential for commercial development and we move in that direction, we will keep that regime under review, and will tighten and strengthen it if necessary. Today’s announcement is about new controls to ensure that seismicity is not a problem.
Many of my constituents remain concerned about the parallels that they perceive between shale extraction in the United States and what is being planned in the United Kingdom. Will the Secretary of State say a little more about why he thinks that the regulatory environment here will be superior to that of the United States, thereby disproving many of the alarmist stories that are circulating?
I do not think that anyone has described me as a frackhead. My job is to make certain that the environmental and safety controls are there, and I believe that the work that we have done, particularly on the seismicity aspect but also on other aspects, can reassure the public in that regard. I am determined to ensure that the environment is properly protected, and as Members will see if they read my statement, I have also commissioned a study of the potential impact of shale gas exploration on greenhouse gas emissions. I hope that that will reassure people on the environmental side as well.
I do not think that anyone has described me as a frackhead. My job is to make certain that the environmental and safety controls are there, and I believe that the work that we have done, particularly on the seismicity aspect but also on other aspects, can reassure the public in that regard. I am determined to ensure that the environment is properly protected, and as Members will see if they read my statement, I have also commissioned a study of the potential impact of shale gas exploration on greenhouse gas emissions. I hope that that will reassure people on the environmental side as well.
I welcome the Secretary of State’s reassurance that environmental and safety concerns will be given a high priority, but some people fear that those whom the press have dubbed the frackheads in the Government are rushing ahead with tax incentives for shale gas exploration without taking the time to look into those concerns first. Can the right hon. Gentleman reassure me that no tax incentives will be introduced until we are 100% sure that it is safe to go ahead with fracking in this country?
I repeat my thanks to the hon. Gentleman. The way in which he has stood up for his constituents provides a model for all Members. I can reassure him that the Office for Unconventional Gas will be a strong office, and that it will be in my Department and accountable to Ministers, so that Members can hold us to account in the House. One of its jobs will be bringing together the various regulatory bodies so that they are properly co-ordinated, and our work as we approach potential commercial development in a few years’ time will include ensuring that we have all the regulatory controls that we need.
I repeat my thanks to the hon. Gentleman. The way in which he has stood up for his constituents provides a model for all Members. I can reassure him that the Office for Unconventional Gas will be a strong office, and that it will be in my Department and accountable to Ministers, so that Members can hold us to account in the House. One of its jobs will be bringing together the various regulatory bodies so that they are properly co-ordinated, and our work as we approach potential commercial development in a few years’ time will include ensuring that we have all the regulatory controls that we need.
I welcomed the announcement of the formation of the Office for Unconventional Gas last week, and I thank the Secretary of State and Ministers for all the work that they have done in that respect. However, some of my constituents have subsequently expressed concern about the possibility that the office is not fully independent. What assurances can the Secretary of State give that it will both improve regulations and be robust, transparent and able to respond to any concerns that Fylde residents may express?
The whole House listens to the hon. Gentleman closely on these issues because he is an expert on drilling and all aspects of the coal industry. I do not know the case to which he refers, but if he wishes to write to me, I am sure my officials can look into it. He makes an important contribution to this debate, because he highlights the fact that this country has had to tackle methane emissions in the coal and the oil and gas industries, so we have a lot of knowledge, experience and expertise to draw on to make sure we can control emissions from shale gas.
The whole House listens to the hon. Gentleman closely on these issues because he is an expert on drilling and all aspects of the coal industry. I do not know the case to which he refers, but if he wishes to write to me, I am sure my officials can look into it. He makes an important contribution to this debate, because he highlights the fact that this country has had to tackle methane emissions in the coal and the oil and gas industries, so we have a lot of knowledge, experience and expertise to draw on to make sure we can control emissions from shale gas.
Is the Minister aware that you cannot be too sure what happens once you start drilling a long way through strata? In my area, after a pit had closed a whole village had to be removed and rebuilt on the other side of the road because of the escape of methane and other gases. I have heard that a company is drilling within a mile of that area now. It may not be anything to do with this fracking business, but I hope that the Minister will tell people to keep their noses out, because otherwise there might be another explosion in the area.
First, I thank the right hon. Lady for saying she will look at our statement carefully. I know that her colleague, the hon. Member for Rutherglen and Hamilton West (Tom Greatrex), wrote to my hon. Friend the Member for Wealden when he was a Minister to set out the Opposition’s conditions. I believe that when the Opposition study the written ministerial statement—we gave a copy to the right hon. Lady before this Question Time, but she should have a chance to examine it—they will see that we have met all the conditions.
The right hon. Lady’s main question was on prices. I agree with my hon. Friend the Member for Wealden that we should not bet the farm on shale gas. I am absolutely clear that the most responsible and sensible way forward for energy policy is to have a diverse set of resources and sources for our energy. Some of the press and commentariat have got very excited about the possibility of gas prices falling, but the independent analysis and the International Energy Agency findings do not necessarily support that.
First, I thank the right hon. Lady for saying she will look at our statement carefully. I know that her colleague, the hon. Member for Rutherglen and Hamilton West (Tom Greatrex), wrote to my hon. Friend the Member for Wealden when he was a Minister to set out the Opposition’s conditions. I believe that when the Opposition study the written ministerial statement—we gave a copy to the right hon. Lady before this Question Time, but she should have a chance to examine it—they will see that we have met all the conditions.
The right hon. Lady’s main question was on prices. I agree with my hon. Friend the Member for Wealden that we should not bet the farm on shale gas. I am absolutely clear that the most responsible and sensible way forward for energy policy is to have a diverse set of resources and sources for our energy. Some of the press and commentariat have got very excited about the possibility of gas prices falling, but the independent analysis and the International Energy Agency findings do not necessarily support that.
I can see how excited Members on the Government Benches are about the potential for shale gas, but I wonder whether they will be equally excited if drilling starts in Wiltshire, Lincolnshire or other parts of the country. As the Secretary of State knows, we have always said fracking should go ahead only if it is safe and environmentally sound. We set out six conditions, and we will be looking to see if they are met in the Government’s written statement today.
On prices, last week the Chancellor said he did not want the British public to miss out if gas prices tumbled as a result of discoveries of shale gas, but does the Secretary of State agree with the former Energy Minister, the hon. Member for Wealden (Charles Hendry), as well as most experts, that
“betting the farm on shale brings serious risks of future price rises”?
I agree with my hon. Friend that we should proceed with caution, and we are doing so. The evidence so far suggests that the carbon footprint of shale gas exploration is only slightly higher than that for conventional gas, but I am determined that we in this country examine it seriously, which is why I have commissioned a study.
I agree with my hon. Friend that we should proceed with caution, and we are doing so. The evidence so far suggests that the carbon footprint of shale gas exploration is only slightly higher than that for conventional gas, but I am determined that we in this country examine it seriously, which is why I have commissioned a study.
I welcome my right hon. Friend’s statement that there will be some further environmental studies, because is it not the case that at present we simply do not know the environmental impact of shale gas exploration in relation to methane seepage and methane getting out into the atmosphere? Until we can be certain of the impact, we must proceed with a great deal of caution.
We liaise closely with the Environment Agency on this issue, and it confirms that volumes of water used in shale gas exploration are not exceptional compared with other industrial activities that routinely take place across the United Kingdom. Any operator who wishes to abstract water as an alternative to using public supplies will need a licence. Additional water abstraction will be authorised only where it is sustainable and no risks are posed to the rights of existing abstraction licence holders.
Shale gas exploration is at a very early stage in the UK, and its possible scale is as yet unknown. We have legally binding carbon budgets, and that should reassure
the hon. Lady. In addition, I hope that she will be reassured to know that I have announced today that I am commissioning a study of the possible impacts of shale gas development on greenhouse gas emissions.
We liaise closely with the Environment Agency on this issue, and it confirms that volumes of water used in shale gas exploration are not exceptional compared with other industrial activities that routinely take place across the United Kingdom. Any operator who wishes to abstract water as an alternative to using public supplies will need a licence. Additional water abstraction will be authorised only where it is sustainable and no risks are posed to the rights of existing abstraction licence holders.
Shale gas exploration is at a very early stage in the UK, and its possible scale is as yet unknown. We have legally binding carbon budgets, and that should reassure
the hon. Lady. In addition, I hope that she will be reassured to know that I have announced today that I am commissioning a study of the possible impacts of shale gas development on greenhouse gas emissions.
We have legally binding commitments under the Climate Change Act 2008, and our carbon budgets have been set out for people to look at. When we announce strategies it is not unusual for there to be a whole set of analyses, including sensitivity analysis. Yes, one analysis showed higher carbon intensities, but there was also an analysis that showed lower carbon intensities, and I think that people have missed that.
We have legally binding commitments under the Climate Change Act 2008, and our carbon budgets have been set out for people to look at. When we announce strategies it is not unusual for there to be a whole set of analyses, including sensitivity analysis. Yes, one analysis showed higher carbon intensities, but there was also an analysis that showed lower carbon intensities, and I think that people have missed that.
On the first part of my question, when one recognises the fact that 4 million gallons of water are needed for every single frack, the Minister’s answer about the water supply is very complacent. On the second part, on carbon emissions, why do the official scenarios published last week alongside his gas generation plan set out an option for carbon intensity that is four times higher than the maximum level compatible with meeting our carbon budgets?
I am grateful for the hon. Gentleman’s question. The Environment Agency will carry out the monitoring, but because we have increased the co-ordination of regulatory bodies, my Department will be aware of it. I hope that I assured him in my answer to the hon. Member for Brighton, Pavilion (Caroline Lucas) that the terms of any additional licences would have to ensure that the abstraction was sustainable and would not put at risk the rights of existing licence holders.
I am grateful for the hon. Gentleman’s question. The Environment Agency will carry out the monitoring, but because we have increased the co-ordination of regulatory bodies, my Department will be aware of it. I hope that I assured him in my answer to the hon. Member for Brighton, Pavilion (Caroline Lucas) that the terms of any additional licences would have to ensure that the abstraction was sustainable and would not put at risk the rights of existing licence holders.
Many of my constituents just to the west of the Singleton Well shale gas site draw their water from their own sink holes in the Bleasdale area and Bowland forest. Will the Minister’s Department monitor the exploration process throughout Lancashire, because if there is going to be a problem with the water supply, it will be in that part of my constituency?
I can certainly reassure my hon. Friend that communities will be fully consulted. We have made it clear that the regulatory regime is strong, and it will be strengthened if need be. We have put in the co-ordination that will give her constituents the reassurances that they need.
I can certainly reassure my hon. Friend that communities will be fully consulted. We have made it clear that the regulatory regime is strong, and it will be strengthened if need be. We have put in the co-ordination that will give her constituents the reassurances that they need.
In light of today’s announcement, does the Secretary of State agree that fracking is not appropriate for the Mendip hills? The water that feeds the aptly named city of Wells and the villages that surround it in my constituency takes 900 to
1,000 years to reach the spas of Bath. Will the Secretary of State ensure that communities are consulted fully about this issue?
Shale gas may prove to be a useful addition to the UK’s diverse portfolio of energy sources, and would be particularly valuable in replacing declining North sea supplies, with benefits to energy security as well as to the economy and employment—but its exploitation will be acceptable only if it is safe and the environment is properly protected.
Hydraulic fracturing operations for shale gas were suspended last year, pending consideration of seismic events in Lancashire. Based on the latest evidence and expert advice, and having considered the responses to a public consultation on that advice, I have concluded that, in principle, fracking for shale gas can be allowed to resume— subject to new controls to mitigate the risk of seismicity. I have made full details available to both Houses by means of a comprehensive written statement tabled this morning.
Shale gas may prove to be a useful addition to the UK’s diverse portfolio of energy sources, and would be particularly valuable in replacing declining North sea supplies, with benefits to energy security as well as to the economy and employment—but its exploitation will be acceptable only if it is safe and the environment is properly protected.
Hydraulic fracturing operations for shale gas were suspended last year, pending consideration of seismic events in Lancashire. Based on the latest evidence and expert advice, and having considered the responses to a public consultation on that advice, I have concluded that, in principle, fracking for shale gas can be allowed to resume— subject to new controls to mitigate the risk of seismicity. I have made full details available to both Houses by means of a comprehensive written statement tabled this morning.
Shale gas may prove to be a useful addition to the UK’s diverse portfolio of energy sources, and would be particularly valuable in replacing declining North sea supplies, with benefits to energy security as well as to the economy and employment—but its exploitation will be acceptable only if it is safe and the environment is properly protected.
Hydraulic fracturing operations for shale gas were suspended last year, pending consideration of seismic events in Lancashire. Based on the latest evidence and expert advice, and having considered the responses to a public consultation on that advice, I have concluded that, in principle, fracking for shale gas can be allowed to resume— subject to new controls to mitigate the risk of seismicity. I have made full details available to both Houses by means of a comprehensive written statement tabled this morning.