Fracking gets the green light from the coalition

Energy Secretary Ed Davey says drilling for shale gas can resume subject to controls "to mitigate the risks of seismic activity".

Energy Secretary Ed Davey has just given the go-ahead for fracking, the technique used to extract shale gas, to resume in the UK, subject to controls "to mitigate the risks of seismic activity". Exploration was previously halted after test-drilling by the company Cuadrilla caused two minor earthquakes in Lancashire.

Davey said: "Shale gas represents a promising new potential energy resource for the UK. It could contribute significantly to our energy security, reducing our reliance on imported gas, as we move to a low-carbon economy. My decision is based on the evidence. It comes after detailed study of the latest scientific research available and advice from leading experts in the field."

However, he cautioned that "We are still in the very early stages of shale gas exploration in the UK and it is likely to develop slowly. It is essential that its development should not come at the expense of local communities or the environment. Fracking must be safe and the public must be confident that it is safe."

New controls to limit seismic risk include:

  • A prior review before fracking begins must be carried out to assess seismic risk and the existence of faults;
  • A fracking plan must be submitted to DECC showing how seismic risks will be addressed;
  • Seismic monitoring must be carried out before, during and after fracking;
  •  A new traffic light system to categorise seismic activity and direct appropriate responses. A trigger mechanism will stop fracking operations in certain conditions.

In addition, Davey announced that he was commissioning a study of the possible effects of shale gas development on greenhouse gas emissions and climate change, although green campaigners are questioning why this was not held before the latest annoucement.

Greenpeace's energy campaigner Leila Deen said: "George Osborne's dream of building Dallas in Lancashire is dangerous fantasy. He is not JR Ewing and this is not the US. Energy analysts agree the UK cannot replicate the American experience of fracking, and that shale gas will do little or nothing to lower bills. Pinning the UK's energy hopes on an unsubstantiated, polluting fuel is a massive gamble and consumers and the climate will end up paying the price."

It became clear that ministers were preparing to give fracking the green light after George Osborne's Autumn Statement promised tax incentives for shale gas industry and announced the establishment of the "Office for Unconventional Gas".

Labour has said that fracking should only go ahead "if it is shown to be safe and environmentally sound" and that it will "look carefully" at the government's proposals. Shadow energy secretary Caroline Flint added: "The idea that this form of gas extraction can have the same impact here in the UK as it has had on gas prices in the United States is considered wishful thinking by most experts."

We'll have more response to the announcement later on The Staggers.

General views of the Cuadrilla shale fracking facility in Preston, Lancashire. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Photo: Getty
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Can Philip Hammond save the Conservatives from public anger at their DUP deal?

The Chancellor has the wriggle room to get close to the DUP's spending increase – but emotion matters more than facts in politics.

The magic money tree exists, and it is growing in Northern Ireland. That’s the attack line that Labour will throw at Theresa May in the wake of her £1bn deal with the DUP to keep her party in office.

It’s worth noting that while £1bn is a big deal in terms of Northern Ireland’s budget – just a touch under £10bn in 2016/17 – as far as the total expenditure of the British government goes, it’s peanuts.

The British government spent £778bn last year – we’re talking about spending an amount of money in Northern Ireland over the course of two years that the NHS loses in pen theft over the course of one in England. To match the increase in relative terms, you’d be looking at a £35bn increase in spending.

But, of course, political arguments are about gut instinct rather than actual numbers. The perception that the streets of Antrim are being paved by gold while the public realm in England, Scotland and Wales falls into disrepair is a real danger to the Conservatives.

But the good news for them is that last year Philip Hammond tweaked his targets to give himself greater headroom in case of a Brexit shock. Now the Tories have experienced a shock of a different kind – a Corbyn shock. That shock was partly due to the Labour leader’s good campaign and May’s bad campaign, but it was also powered by anger at cuts to schools and anger among NHS workers at Jeremy Hunt’s stewardship of the NHS. Conservative MPs have already made it clear to May that the party must not go to the country again while defending cuts to school spending.

Hammond can get to slightly under that £35bn and still stick to his targets. That will mean that the DUP still get to rave about their higher-than-average increase, while avoiding another election in which cuts to schools are front-and-centre. But whether that deprives Labour of their “cuts for you, but not for them” attack line is another question entirely. 

Stephen Bush is special correspondent at the New Statesman. His daily briefing, Morning Call, provides a quick and essential guide to domestic and global politics.

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