The Government cannot comment on individual planning applications. The Government’s position on shale gas policy remains unchanged, as set out in a Written Ministerial Statement on 4 November 2019, Official Report, HLWS68[1] . Planning authorities should continue to take national planning policy and guidance into account in considering any relevant applications.

[1] Energy Policy Update: Written statement - HLWS68: https://www.parliament.uk/business/publications/written-questions-answers-statements/written-statement/Lords/2019-11-04/HLWS68/

The Government set out its position in the Written Ministerial Statement of 4 November 2019, confirming that it will take a presumption against issuing any further Hydraulic Fracturing Consents, creating a moratorium. Future applications for Hydraulic Fracturing Consent will be considered on their own merits by the Secretary of State, in accordance with the law.

Companies may still apply for drilling licences and planning permission for development which includes hydraulic fracturing. However, the shale gas industry should take the Government’s position into account when considering new developments.

No further advice has been issued to licence holders subsequent to the Written Ministerial Statement.

The Government have no plans to revoke the moratorium on shale gas extraction.

The Government has always been clear that we will take a precautionary approach and only support shale gas exploration if it can be done in a safe and sustainable way, and that we will be led by the science on whether this is indeed possible.

It remains our policy to be guided by the evidence and to minimise disturbance to those living and working nearby to shale gas exploration sites, and to prevent the risk of any damage.

The moratorium will be maintained unless compelling new evidence is provided which addresses the concerns around the prediction and management of induced seismicity.

Cuadrilla has removed all its fracking equipment from the Preston New Road site and no work whatever is anticipated to continue there. The noble Lord will be aware that drilling can take place for a whole range of reasons, not just for the wider energy world. We will continue to monitor it to the highest possible standards where it can continue to be done.

When operations finish at shale gas sites, the licensees are responsible for safe decommissioning of their well(s) and for restoring the well-site to its previous state or a suitable condition for re-use. As set out, in the joint Written Ministerial Statement of 17 May 2018, as a matter of policy the financial resilience of all companies looking to hydraulically fracture is now assessed, including their ability to cover decommissioning costs.

Only three onshore wells have been hydraulically fractured in the UK and one of these, Cuadrilla’s site at Preese Hall, has been decommissioned and the site fully restored to its previous state. The groundwater at Preese Hall has been monitored post decommissioning in April 2015 and results have been supplied to the Environment Agency and the other regulatory bodies. There has been no evidence of environmental harm. The remaining two wells are at Cuadrilla’s Preston New Road site in Lancashire. As part of its application for Hydraulic Fracturing Consent, Cuadrilla was required to undergo a financial resilience check to ensure that it had sufficient funding to cover the full decommissioning of their site.

If, in the unlikely situation there was an issue with the well in the longer term, the Environment Agency would seek to identify the person(s) responsible for any pollution and has powers it can apply in specific circumstances, to remediate the issues.

The Department is considering whether any further mitigations might be appropriate.

My Lords, in case people are misled into thinking that there are hundreds of such wells at the moment, there are not. Once again, this was a policy introduced under the coalition Government. We believe that the technology is worth looking at, because methane presents a bridge between fossil fuels and renewables, and is the best of the

hydrocarbons in terms of pollution. But we are committed to ensuring that it is also safe and environmentally sound and that there is a strong regulatory system.

My Lords, the Government note the judgment and are considering their next steps.

There are no plans to make changes to the traffic light system for monitoring induced seismicity.

Prevent is about safeguarding vulnerable people from becoming terrorists or supporting terrorism. Political interest and protest, including in anti-fracking groups operating within the law, are entirely legitimate activities and are not of interest to Prevent. The Home Office and Police continually work together to improve the utility of Counter Terrorism Local Profiles (CTLPs).

Extraction of shale gas has not induced any earthquakes in Groningen.

The UK has over 50 years’ experience in regulating onshore oil and gas, and strong controls are in place to mitigate seismic risks. Operators have to use all available geological information to assess the location of faults before wells are drilled to avoid hydraulic fracturing near faults. They must then monitor seismic activity in real time, before, during and after operations, and halt injection if seismic activity exceeds a predefined level.

Operators must immediately stop injection if a tremor of magnitude 0.5 or greater is detected, reduce pressure of fluid in the well and then monitor seismicity for 24 hours to determine whether any later events are recorded before any further activity can take place.

This 0.5 threshold has been adopted as an initial precautionary level set on the basis of a report by a group of independent experts, and a tremor of this magnitude would only be detectable at the ground’s surface through the use of sensitive equipment.

Sand is used in the hydraulic fracturing process to keep the tiny fractures in the shale open. Sand itself does not pose a risk to health, but in some situations where sand is used on well sites the risk of occupational exposure to Respirable Crystalline Silica (RCS) should be considered by the employer. Occupational Health and Safety is under the remit of the Health and Safety Executive, who have issued guidance and advice to help employers manage risks and to raise awareness of the importance of controlling exposure to harmful materials at work.

Operators are required to disclose fully the composition of fracturing fluid additives as part of their application for environmental permits. The Environment Agency (EA) assesses the hazards presented by fracturing fluid additives or drilling muds on a case-by-case basis and will not permit the use of chemicals hazardous to groundwater where they may enter groundwater and cause pollution. The EA has the power to restrict or prohibit the use of any substances where they would pose an environmental risk.

Information on chemical substances and their maximum concentrations is included within the environmental permit. The permit is placed on the public register.

I refer the noble Lord to the written ministerial statements of 16 September, HLWS194 and HLWS195, which set out a number of measures to enable planning applications and appeals relating to shale gas and oil to be dealt with as quickly as possible.

These include a commitment by the Secretary of State to actively consider calling-in shale planning applications. Separately, a scheme has been put in place to identify local planning authority underperformance in respect of their determination of oil and gas planning applications. The scheme uses the same threshold of underperformance set out in the document ‘Improving planning performance – Criteria for designation’, of 50% or fewer applications being made within the relevant statutory time limit, or such extended period as has been agreed in writing by the applicant. The statutory time limit applies once an application has been validated by the local planning authority. Where an authority is identified as underperforming under the scheme, the Secretary of State for Communities and Local Government will actively consider calling-in for his determination oil and gas planning applications that are validated by that authority, in accordance with existing policy.

The decision on whether to call-in any application will be taken in line with current call-in policy. Any applications relating to shale gas that are called-in would be prioritised for urgent resolution.

If the Secretary of State were to grant a planning permission in respect of a called-in application, then any details of the scheme that are the subject of planning conditions would need to be submitted to and approved by the relevant local planning authority.

I refer the noble Lord to the written ministerial statements of 16 September, HLWS194 and HLWS195, which set out a number of measures to enable planning applications and appeals relating to shale gas and oil to be dealt with as quickly as possible.

These include a commitment by the Secretary of State to actively consider calling-in shale planning applications. Separately, a scheme has been put in place to identify local planning authority underperformance in respect of their determination of oil and gas planning applications. The scheme uses the same threshold of underperformance set out in the document ‘Improving planning performance – Criteria for designation’, of 50% or fewer applications being made within the relevant statutory time limit, or such extended period as has been agreed in writing by the applicant. The statutory time limit applies once an application has been validated by the local planning authority. Where an authority is identified as underperforming under the scheme, the Secretary of State for Communities and Local Government will actively consider calling-in for his determination oil and gas planning applications that are validated by that authority, in accordance with existing policy.

The decision on whether to call-in any application will be taken in line with current call-in policy. Any applications relating to shale gas that are called-in would be prioritised for urgent resolution.

If the Secretary of State were to grant a planning permission in respect of a called-in application, then any details of the scheme that are the subject of planning conditions would need to be submitted to and approved by the relevant local planning authority.

EY’s 2014 report, ‘Getting Ready for UK Shale Gas: Supply chain and skills requirements and opportunities’ identifies that over the period of 2016–32 c.£33bn of spend could be required to bring up to 4,000 wells into production. At peak this equates to around £3.3bn of spend and some 64,500 jobs (6,100 of which are direct roles).

The full report can be viewed at:

http://www.ey.com/Publication/vwLUAssets/Getting_ready_for_UK_shale_gas/$FILE/EY-Getting-ready-for-UK-shale-gas-April-2014.pdf

Due to the Secretary of State’s role in the planning process we are unable to comment on specific planning cases. We will keep all aspects of the regulatory regime for shale gas, including the planning system, under review as the industry develops to ensure it is proportionate and fit for purpose.

Petroleum Exploration and Development Licences (PEDLs) are not specific to shale gas. They grant exclusive rights to extract hydrocarbons, including shale gas but also other forms, within a particular onshore area. A separate consent is required before any drilling or hydraulic fracturing (fracking) can take place. So far the Government has granted hydraulic fracking consent for shale to Cuadrilla’s Lancashire operations.

The Oil & Gas Authority does not have any undetermined consent applications. Applications for new PEDLs under the 14^th Onshore Licensing Round are being considered – 95 applications for 295 licence blocks have been made.

Planning permission is a matter for the local Mineral Planning Authority. However, the applications submitted by Cuadrilla in Lancashire and by Third Energy in North Yorkshire are in the public domain.

The shale gas industry has made a commitment to the Community Engagement Charter, co-ordinated by its representative body UK Onshore Oil and Gas, which includes a commitment to provide benefits to local communities at the exploration/appraisal stage of a minimum £100,000 per well site where hydraulic fracturing takes place.

The Infrastructure Act 2015 introduced a range of further requirements that must be met before an operator can carry out hydraulic fracturing. Once these provisions come into force, the Government will not issue a hydraulic fracturing consent unless satisfied that a scheme is in place to provide financial or other benefit for the local area.

A Sovereign Wealth Fund would ensure that revenues from shale gas and oil are put to good use. Proposals will be brought forward in the next Parliament.

My Lords, the environmental, landscape and community impacts of any exploratory hydraulic fracturing for shale gas are already taken into account through the UK’s regulatory and planning regimes. These regimes also provide opportunities for the public to be consulted.

My Lords, the economic impact of shale, both locally and nationally, will of course depend on production. However, there will clearly be opportunities for the UK to benefit, particularly through being much more self-sufficient in energy production. On the wider issues that the noble Lord, Lord Greaves, mentioned, we need to make sure that, during the process, communities—the public—have opportunities to partake in the consultation at many junctures.