Shale gas reserves far bigger than thought — UK

Britain’s reserves of shale gas are much larger than previously thought, it has emerged as the Government announced major investment in extracting the energy source. According to a Sky News report, new geological data from the British Geological Survey shows much more shale gas could be extracted from under the United Kingdom — as much as double earlier estimates at one site. There is now thought to be as much as 1,300 trillion cubic feet at the Bowland site in Lancashire. The findings were highlighted by Treasury Chief Secretary, Danny Alexander, when he announced a £100bn Government infrastructure package aimed at boosting sluggish economic growth. Tax breaks and fast-track permits for controversial shale gas exploration were at the centre of the announcement. Alexander is unveiling the controversial measures Alexander said, “Today this news from the Geological Society confirms the huge potential that shale gas has for the UK.” The measures would “kick-start the industry in a way that protects the environment and supports communities,” he added. Exploiting the natural resource is highly controversial as critics say the process of fracking — fracturing rock with high-pressure liquid to release the gas — can cause earthquakes, pollute water supplies, blight the countryside and affect house prices. But ministers believe the experience of the United States shows it could boost tax revenues, create jobs, reduce energy imports and drive down household bills. Setting out details of the latest round of capital spending in a Commons statement, Alexander told MPs the Treasury will now move quickly — consulting on a tax break and publishing detailed planning guidance within the next three weeks. It paves the way for the Environment Agency to offer permits for fracking projects more quickly and to set them to defined timetables in a further bid to encourage firms to invest. There will also be protection offered for communities affected — with each receiving at least £100,000 in benefits for each well and no less than one per cent of the overall revenues. Environmentalists expressed concern at the plans. Lawrence Carter, energy campaigner at Greenpeace, said, “The idea that shale gas is going to get the economy moving again is groundless. George Osborne spending cuts George Osborne delivering his spending review to MPs in the Commons “There’s a huge difference between the amount of gas in the ground and how much fracking companies will be able to commercially extract. “Even if they do manage to get some gas out, the fracking industry’s own research reveals that production wouldn’t reach meaningful levels until well into the next decade.” culled from Punch newspaper