Page 9 - Gi_May2022

industry & government news

ENGLAND FRACKING BAN for low carbon energy sources, including

wind, solar, nuclear and hydrogen.
Western countries have imposed
GOES UNDER REVIEW extensive sanctions on Russia, one
of the world’s largest exporters of
fossil fuels, and are looking at ways of
reducing their reliance on its energy
supplies. The UK is not as dependent as
many of its allies on Russian oil and gas.
Kwarteng, who had previously
CUADRILLA
resisted calls to revive fracking, said it
was “absolutely right that we explore
all possible domestic energy sources”
in light of the decision by Russian
president Vladimir Putin to go to war
with Ukraine. He added that there
would be “ongoing demand for oil and
gas over the coming decades as we
transition to cheap renewable energy
and new nuclear power”.
But Kwarteng cautioned that
unless the latest scientific evidence
showed shale gas extraction was “safe,
sustainable and of minimal disturbance
to those living and working nearby, the
pause… [would] remain in place”.
He also said fracking would not
COULD UK SHALE BE BACK IN BUSINESS? produce commercial quantities of gas for
many years “and would certainly have no
THE UK GOVERNMENT has ordered a series of earthquakes when fracking an effect on prices in the near term”.
scientific review into fracking just over exploration well at a site in Lancashire. Companies such as Cuadrilla, Ineos
two years after imposing an effective The strongest tremor measured 2.9 on and IGas have long argued that the UK
ban on the controversial technique as the Richter scale, with some residents has significant potential reserves of
it insisted “all possible” methods of alleging damage to their properties, shale gas and that fracking would open
producing energy domestically should according to The Financial Times. up a new source of domestic supply.
be kept on the table following Russia’s In March, Prime Minister Boris The technique has been responsible
invasion of Ukraine. Johnson paved the way for a review for an energy boom in the US but
Business Secretary Kwasi Kwarteng of the decision after coming under several leading scientists insist the UK’s
said he had asked the British Geological pressure from some of his own geology is unsuitable to support a shale
Survey (BGS) to assess whether there Conservative MPs to reconsider fracking gas industry.
had been any new developments in as part of a new Energy Security Strategy John Underhill, Director of the
the method used to extract natural gas in the wake of the invasion of Ukraine. Centre for Energy Transition at
trapped in shale formations that might The strategy aims to reduce the UK’s Aberdeen university, said the results
lead to the lifting of a 2019 moratorium exposure to international commodity of independent academic research
imposed in England on safety grounds. markets in response to the war, which has in recent years had demonstrated
The ban was imposed after the sent already the already high cost of gas that fracking sites in Lancashire were
private company Cuadrilla triggered a and oil soaring. It includes big new targets “geologically challenged”.

The new measures are “significantly
better than what we anticipated,” said
Richard Warren, Head of Policy and
External Affairs at the trade body UK
Steel, in an interview. However, the
industry is still awaiting details on
precisely how the compensation would
work in practice.
UK Steel Director General Gareth
Stace said in a statement that the
announcement “represents a major
step forward for the UK steel sector
and will provide some much-needed
relief in the face of extremely
challenging circumstances.” ENERGY CRUNCH FEARS FOR UK INDUSTRY

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21/04/2022 12:04
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News.indd 4 21/04/2022 12:04