Released May 30, 2014 | GALWAY, IRELAND
en
Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland) - The U.K. government is hoping to drive through new legislation that will speed up the planning process for initiating shale gas drilling projects.
The Department of Energy & Climate Change (DECC) said that the new proposals being put forward by 'would simplify procedures which are costly, time-consuming and disproportionate for new methods of underground drilling'. If successful, oil, gas and deep geothermal companies will be able to 'explore their potential', and will in return provide a voluntary community payment for access.
The proposals are:
Underground right of access for shale gas and deep geothermal operations only below 300m (nearly 1000ft);
A voluntary community payment of £20,000 per lateral well; and
A clear notification system to alert local people.
"Britain needs more home-grown energy," argued Business and Energy Minister, Michael Fallon. "Shale development will bring jobs and business opportunities. We are keen for shale and geothermal exploration to go ahead while protecting residents through the robust regulation that is in place. These proposals allow shale and geothermal development while offering a fair deal for communities in return for underground access at depths so deep they will have no negative impact on landowners."
Today, companies must negotiate rights of access with every landowner living above underground drilling, even though the works take place far beneath the surface. The government said that the identification and negotiation process can require significant time and resource as there is no standardised process. Also, a single landowner has the power to significantly delay a development regardless of how others in the community feel about it, DECC stated.
The government's reasoning is that many other industries already access underground land beneath people's homes in order to lay cables and build infrastructure such as water pipes and tunnels which tend to be much closer to the surface.
The U.K. government is keen to spark a shale gas revolution as its own oil and gas reserves have been largely depleted over the past decade. Last summer, significant tax breaks were announced to attract investors to the sector by offering to halve the tax they pay on profits. For additional information, see August 2, 2013, article - Shale Gas Tax Breaks for U.K..
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
The Department of Energy & Climate Change (DECC) said that the new proposals being put forward by 'would simplify procedures which are costly, time-consuming and disproportionate for new methods of underground drilling'. If successful, oil, gas and deep geothermal companies will be able to 'explore their potential', and will in return provide a voluntary community payment for access.
The proposals are:
Underground right of access for shale gas and deep geothermal operations only below 300m (nearly 1000ft);
A voluntary community payment of £20,000 per lateral well; and
A clear notification system to alert local people.
"Britain needs more home-grown energy," argued Business and Energy Minister, Michael Fallon. "Shale development will bring jobs and business opportunities. We are keen for shale and geothermal exploration to go ahead while protecting residents through the robust regulation that is in place. These proposals allow shale and geothermal development while offering a fair deal for communities in return for underground access at depths so deep they will have no negative impact on landowners."
Today, companies must negotiate rights of access with every landowner living above underground drilling, even though the works take place far beneath the surface. The government said that the identification and negotiation process can require significant time and resource as there is no standardised process. Also, a single landowner has the power to significantly delay a development regardless of how others in the community feel about it, DECC stated.
The government's reasoning is that many other industries already access underground land beneath people's homes in order to lay cables and build infrastructure such as water pipes and tunnels which tend to be much closer to the surface.
The U.K. government is keen to spark a shale gas revolution as its own oil and gas reserves have been largely depleted over the past decade. Last summer, significant tax breaks were announced to attract investors to the sector by offering to halve the tax they pay on profits. For additional information, see August 2, 2013, article - Shale Gas Tax Breaks for U.K..
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. To contact an office in your area, visit the Industrial Info "Contact Us" page.
