Shale drilling licensing launched
28 Jul 2014
The government this morning launched a new licensing round for onshore oil & gas exploration, aimed at encouraging the development of shale reserves.
In addition to those areas already licensed, developers will be able to apply to drill anywhere covered by its Strategic Environmental Assesment (SEA) carried out between December 2013 and March 2014. “Prospective Areas” such as the Weald Basin in southern England, the North West and Yorkshire have been identified as those areas where drilling is most likely to occur.
The government has also made a presumption against drilling in Areas of Outstanding Natural Beauty, World Heritage Sites, National Parks and the Broads, stating that “applications should be refused in these areas other than in exceptional circumstances and in the public interest”.
The new guidance published today will protect Britain’s great national parks and outstanding landscapes
Business and Energy Minister Matthew Hancock
Developers who do wish to apply for drilling licences in these areas will be required to produce Statements of Environmental Awareness in addition to their licence application.
On top of a licence and potential Statement of Environmental Awareness, any further drilling application will then require planning permission, as well as permits from the Environment Agency and sign-off from the Health and Safety Executive.
“We must act carefully, minimising risks, to explore how much of our large [shale oil & gas] resource can be recovered to give the UK a new home-grown source of energy,” said Business and Energy Minister Matthew Hancock.
“The new guidance published today will protect Britain’s great national parks and outstanding landscapes. Ultimately, done right, speeding up shale will mean more jobs and opportunities for people and help ensure long-term economic and energy security for our country.”
However, green groups claimed that by requesting Statements of Environmental Awareness in areas such as National Parks, the government had tacitly acknowledged that hydraulic fracturing (fracking) was harmful to the environment.
“By protecting national parks and other special places, ministers accept that fracking risks impacts on the local environment – this safeguard should be offered to communities too,” said Friends of the Earth energy campaigner Tony Bosworth.
“The benefits of UK shale gas have been seriously over-blown, and most experts agree that it won’t cut fuel bills. Fracking is not the answer to our energy problems. If we want to boost energy security, tackle rising fuel prices and cut carbon we should be investing in efficiency and renewable power.”
Firms wishing to obtain an onshore oil & gas licence must apply via the Official Journal of the European Union by October 28th.