Energy Voice | UK Government support package won’t boost fracking industry, analysts say

A new UK Government support package for fracking won’t give the shale gas industry much momentum, analysts said today.

Analysts from BMI Research said the measures would not help combat local opposition to fracking in the UK.

Last week the government vowed to “streamline and improve” the regulation process for shale applications.

It said a shale environmental regulator and a planning brokerage service would be established to focus on the planning process.

And a shale support fund would be set up with £1.6million at its disposal over the next two years to build capacity and capability in local authorities dealing with shale applications.

Energy and Clean Growth Minister Claire Perry said shale could lower bills and increase the security of the UK’s energy supply.

But BMI researchers said: “We believe the latest regulatory package from the UK government to support domestic shale exploration will not have a tangible effect on momentum within the industry.

“Extra funding and the allocation of an industry regulator is likely to help accelerate application timelines, but will not mitigate the significant hurdle of the need for local council approval, or persistent strong local opposition to fracking in the UK.”

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