Rees-Mogg examines better support for fracking

The government is looking at how to boost support for the gas fracking sector, Jacob Rees-Mogg has revealed as he lifted the government’s moratorium on the controversial activity.

The secretary of state for business, energy and industrial (BEIS) confirmed that the government is pressing ahead with prime minister Liz Truss’ recent pledge to end the shale gas extraction ban, which has been in place since 2019.

In a statement outlining the government’s decision to formally lift the pause, Rees-Mogg said the government would once again consider future applications for hydraulic fracturing consent, taking into account the need for gas and where local support for projects exists.

Rees-Mogg addeed that he will update the House of Commons on how the government can improve its support for the fracking industry throughout the different stages of its life cycle from initial exploration to large scale production.

The statement warned neighbours of gas fracking sites that the resulting disturbance from such activities is in the national interest if it means improved energy security.

“While government will always try to limit disturbance to those living and working near to sites, tolerating a higher degree of risk and disturbance appears to us to be in the national interest”, the statement said.

The decision comes alongside the publication of the British Geological Survey’s scientific review into shale gas extraction, which was commissioned by Rees-Mogg’s predecessor Kwasi Kwarteng earlier this year.

According to the statement, the review shows that current understanding of UK geology and onshore shale resources is “limited”, with only three test wells having been hydraulically fractured in the UK to date.

Lifting the pause on shale gas extraction will enable drilling to gather further data that will build a better understanding of UK shale gas resources and how they can be safely extracted.

Rees-Mogg’s statement also included a green light for fresh oil and gas exploration in the North Sea following a decision that the latest proposed licensing round would be compatible with the UK’s climate goals.

In a related announcement, the North Sea Transition Authority (NSTA) has said it has received 26 bids to create carbon capture stores.

The authority said a total of 19 companies have expressed interest in participating in the UK’s first carbon storage licensing round. The exercise covers 13 areas off the coasts of Aberdeen, Lincolnshire, Liverpool and Teesside.

The NSTA will evaluate the bids with a view to awarding licences for carbon stores in early 2023.

Ruth Herbert, chief executive of the Carbon Capture Storage Association, said the number of bids offered a “clear indication” of the level of interest in the UK’s storage potential

She said: “Opening up CO2 storage in the UK offshore space – both North Sea and East Irish Sea – is a vital step towards deploying CCUS clusters across the country and positioning the UK as the go-to place for clean inward investment, delivering new green jobs and significant economic benefits for our industrial heartlands.”