Compilied by Frack Free Ryedale
The appealing “common sense” argument that if you increase the supply of a commodity – in this case natural gas, by fracking – then the price is bound to fall. It’s obvious, isn’t it?
FACT: Domestic gas prices are set by vast international markets, so any gas produced would have to be a significant percentage of global supply to affect pricing. Therefore, industry body UKOOG’s (no doubt optimistic) claim that in 5 years’ time fracking could provide 0.1% of current global production[i], is simply too small to make any difference. And we have proof of that: UK North Sea gas production increased by 26% in the first half of 2022[ii] – an amount equivalent to just under 0.2% of global supply and that hasn’t affected the global price at all. So why would a smaller amount have any impact on the global gas market?
The Government cannot prevent domestically produced gas from being sold abroad or control the price: if companies can earn more money by selling gas abroad at market rates, then they will.
[i] Updated shale gas scenarios March 2019 website.pdf (https://www.ukoog.org.uk/images/ukoog/pdfs/Updated%20shale%20gas%20scenarios%20March%202019%20website.pdf), Chart 23 –5 years after start point = 150bn cubic feet = 4.25bn cubic metres. BP’s 2021 Statistical Review of World Energy 2021 (https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/energy-economics/statistical-review/bp-stats-review-2021-natural-gas.pdf) – annual gas production = 3,853.7bn cubic metres
[ii] Energy supply crisis: UK gas producers boost domestic production by 26% in just six months (https://oeuk.org.uk/energy-supply-crisis-uk-gas-producers-boost-domestic-production-by-26-in-just-six-months/)
But if we have 50 years’ worth of natural gas right under our feet, surely that could be enough to make a difference to the international market?
FACT: Whether it’s 50 years or nothing at all, the truth is that nobody has a precise idea of accessible shale gas reserves in the UK. However, a joint 2019 paper by the British Geological Survey (BGS) and the University of Nottingham, published in the journal Nature[i], found that shale reserves are “~10 times lower than previously thought” (i.e. than the original 2013 BGS desk-based study which came up with the 50 year figure) and “considerably below 10 years supply at the current consumption”.
A 2018 paper by Durham and Newcastle Universities, which considered fracking’s surface development requirements and its impact on existing infrastructure (roads, buildings etc)[ii] found that fracking would provide the equivalent of less than 3 years’ gas usage.
To quote financial conglomerate Citicorp, it is “doubtful that there will be anything other than a cottage shale industry”[iii].
[i] https://www.nature.com/articles/s41467-019-11653-4.pdf
[ii] https://www.sciencedirect.com/science/article/abs/pii/S0048969717304096
[iii] https://www.proactiveinvestors.co.uk/companies/news/992297/uk-fracking-will-only-be-cottage-industry-says-citi-and-north-sea-even-more-doubtful-992297.html
Let’s say that the experts are wrong, and fracking can produce gas for us now when we need it – shouldn’t we get cracking with fracking?#
FACT: Even according to the industry’s own best-case scenario, fracking would produce only 5% of UK gas needs over the next 5 years.[i] And that assumes no issues with planning, a dismantling of the current regulatory regime, and support from communities. A more likely scenario, according to Mike Bradshaw, professor of global energy at Warwick University, is that “it would require up to 40 wells in different locations to arrive at a basic reserve estimate. That could take five or six years to complete.”[ii]
Chancellor Kwasi Kwarteng is on record as saying, “Even if we lifted the fracking moratorium tomorrow, it would take up to a decade to extract sufficient volumes – and it would come at a high cost for communities and our precious countryside”. Bear in mind that the UK spent the best part of a decade attempting to get a shale industry off the ground with policy, media and political support from the highest levels. And failed. Repeatedly doing the same thing and expecting different results is the definition of stupid.
[i] https://twitter.com/DrSimEvans/status/1500791327860133890?s=20&t=StjguTdtFxL4yVxIEkT_3w
[ii] https://www.marketplace.org/2022/03/10/could-u-k-fracking-wean-europe-off-its-addiction-to-russian-gas/
We’re all worried about climate change, so isn’t it better to use locally produced gas, rather than transporting it halfway round the world?
FACT. That could only be true if the displaced imports are not used elsewhere. In reality, the tankers would just go somewhere else, with our local fracked gas contributing to increased global emissions. And in fact shale gas may not even be that much better than imported LNG anyway.
Manchester University’s report on shale gas and the UK’s carbon transition says “Unfortunately there is relatively little robust data on the carbon footprint of LNG” and finishes with “Consequently, the idea that UK shale gas will reduce global emissions by substituting imported LNG should be treated with caution”[i]. The same report goes on to say that shale gas is preferable to only coal when compared with other options such as solar, wind and nuclear.
There’s a better solution, according to a 2015 report by Verco and Cambridge Econometrics[ii]: making this country’s homes highly energy efficient would reduce gas imports by 26%. Given that, according to Government statistics, in 2021 LNG made up 29% of our gas imports[iii], simply insulating homes would pretty much eliminate the need for any LNG imports. So if the question is “What’s the best way to address climate change?”, fracking is not the answer.
[i] 89490 SGUK Low Carbon Transition.pdf (http://www.ukuh.org/media/sites/researchwebsites/2ukuh/89490%20SGUK%20Low%20Carbon%20Transition.pdf)
[ii] Energy efficiency a ‘win-win’ for Chancellor’s Spending Review (https://www.endfuelpoverty.org.uk/energy-efficiency-a-win-win-for-chancellors-spending-review/)
[iii] Digest of UK Energy Statistics (DUKES): natural gas – GOV.UK (https://www.gov.uk/government/statistics/natural-gas-chapter-4-digest-of-united-kingdom-energy-statistics-dukes)
But even if fracking won’t transform our energy reserves, isn’t it sensible to take gas from all sources, to take steps to increase our domestic energy supply?
FACT. There are many other better measures we could take right now to reduce our reliance on gas imports. For example, simply getting UK residents to turn down boiler flow temperatures and lower thermostat settings by 1oC would have 6 times the impact of fracking scenarios promoted by the industry. And we wouldn’t have to wait 5 years. Add in acceleration of onshore wind and solar, home insulation rates and heat pump installations and we can do 10 times better than anything fracking can provide[i].
So if energy security is the question then fracking isn’t the answer. Indeed, supporting a shale gas industry would distract and divert investment from what we need to do to improve our energy security.
[i] https://www.carbonbrief.org/factcheck-why-fracking-is-not-the-answer-to-the-uks-energy-crisis/#evidence
In 2019, the Government paused fracking in the UK because of safety concerns. Presumably those concerns must have been addressed for the moratorium to be lifted?
FACT: According to the British Geological Survey, nothing has changed – to quote their 2022 review into safety issues “Earthquake forecasting remains a scientific challenge for the geoscience community”[i]. They go on to say that fracking is known to trigger earthquakes large enough to cause structural damage and that, based on experience from the USA and Canada, 1% of fracking wells can be linked to earthquakes with magnitude of 3 or greater. In some areas, this rises to over 30%.
In 2019, the Oil and Gas Authority (OGA) advised the government that “until further studies can provide clarity, they will not be able to say with confidence that further hydraulic fracturing would meet the government’s policy aims of ensuring it is safe”[ii]. This “further study” from 2022 shows that it still can’t be done safely.
So the government have simply changed their policy: people living near fracking sites will have to “tolerate a higher degree of risk and disturbance”[iii].Of course, this just considers safety as it relates to seismicity – you may also want to review what the latest research says on impacts on public health, air pollution, water pollution, noise disturbance and so on.
[i] Recent scientific advances in the understanding of induced seismicity from hydraulic fracturing of shales (https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1105675/BEISInducedSeismicityReportOR220501A.pdf)
[ii] Government ends support for fracking – GOV.UK (https://www.gov.uk/government/news/government-ends-support-for-fracking)
[iii] Government says people living near fracking sites should tolerate more risk and disturbance in the national interest (https://drillordrop.com/2022/09/22/government-says-people-living-near-fracking-sites-should-tolerate-more-risk-and-disturbance-in-the-national-interest/)
All those health scares associated with fracking have been debunked haven’t they?
FACT: There is a growing body of medical research highlighting concerns into the health impacts of fracking. There are simply too many papers to list them all here, but here’s a selection:
Young children living near fracking wells (within 2km) at birth are up to three times more likely to later develop leukaemia, and there are still raised levels up to 10km away. Jan 2022, American Chemical Society. Assessing Unconventional Oil and Gas Exposure in the Appalachian Basin: Comparison of Exposure Surrogates and Residential Drinking Water Measurements | Environmental Science & Technology (https://pubs.acs.org/doi/full/10.1021/acs.est.1c05081); https://www.theguardian.com/us-news/2022/aug/17/young-children-fracking-wells-leukemia-study
Elderly people (aged 65 and over) living near or downwind of fracking sites are at a statistically significant higher risk of early death. Jan 2022, Harvard TH Chan School of Public HealthLiving near or downwind of unconventional oil and gas development linked with increased risk of early death (https://www.sciencedaily.com/releases/2022/01/220127114329.htm)
Expectant mothers who live near natural gas fracking wells are 40% more likely to give birth prematurely and have a 30% increased incidence of ‘high-risk’ pregnancies. October 2015, John Hopkins Bloomberg School of Public Health.
55 human carcinogens determined to be potential water or air pollutants come from the fracking process. October 2016, Yale School of Public Health. Fracking Linked to Cancer-Causing Chemicals, New YSPH Study Finds (https://ysph.yale.edu/news-article/fracking-linked-to-cancer-causing-chemicals-new-ysph-study-finds/); Study underscores dangers of fracking (https://yaledailynews.com/blog/2016/11/08/study-underscores-dangers-of-fracking/)
FACT: The amount of gas produced by each fracked well declines exponentially, so sites will be subject to continued drilling and fracking to keep production going.
According to the US Energy Information Administration’s example of a typical decline curve, production declines to 12% of its initial value within 2 years, and then down to 0.2% after 4 years[i]. Drilling new wells and fracking must be a continuous process to keep the flow going.
Fracking is only viable if done on a vast scale requiring thousands of wells. Heavy plant and machinery for drilling and fracking must be transported to the site. Drilling is a 24hr process; thousands of tons of chemicals and millions of gallons of water must be carried to the site by HGVs, involving thousands of journeys. And then after fracking millions of gallons of contaminated waste water are taken by tanker away from the site.
Estimates about how many wells will need to be drilled and fracked in the U.K. vary but a study in 2018 concluded that to replace 50% of U.K. imports over 6,000 wells would be required[ii]. The industry trade body UKOOG say they expect to need 4,000 wells[iii].
[i] Production Decline Curve Analysis – Energy Information Administration (https://www.eia.gov/analysis/drilling/curve_analysis/)
[ii] https://cdn.friendsoftheearth.uk/sites/default/files/downloads/FOE-Frack-Import-Report_0.pdf
[iii] Updated shale gas scenarios March 2019 website.pdf (https://www.ukoog.org.uk/images/ukoog/pdfs/Updated%20shale%20gas%20scenarios%20March%202019%20website.pdf)
FACT: If a fracking company goes bust the landowner is left with the substantial costs of decommissioning and cleaning up the site. This was confirmed by the National Audit Office in 2019[i].
Plugged wells will remain in the ground in perpetuity and if they leak or become damaged at any time in the future, or if the company no longer exists, or cannot be traced or has insufficient funding, the landowner is legally responsible for clean-up costs. Many companies are structured to limit their exposure to such liability and many cease to operate after a number of years. Where there has been considerable onshore oil and gas drilling in North America this has become a significant problem[ii].
[i] Fracking for shale gas in England (https://www.nao.org.uk/wp-content/uploads/2019/07/Fracking-for-shale-gas-in-England.pdf)
[ii] Collapsed Alberta energy company leaves behind 401 ‘orphan’ wells in B.C., more than doubling total (https://www.cbc.ca/news/canada/british-columbia/orphan-wells-ranch-energy-bc-oil-gas-1.5618200)