1st August 2012
A study has been initiated by MP’s into the potential impact of shale gas on energy markets. This comes weeks after it was said that the controversial energy source could play a small but significant role in improving the UK’s energy security situation whilst lowering carbon emissions.
Earlier this week, The Energy and Climate Change Committee requested businesses and any other stakeholders to submit evidence to a new enquiry which will look at the impact of a possible “shale gas revolution” on energy markets across the globe.
The committee compiled a report earlier this year which probed into the process of hydraulic fracturing (fracking) to extract shale gas and the associated risks of contaminating water supplies or causing earthquakes. It was concluded that fracking could continue in a safe manner but said projects would need to require close monitoring. The committee stated that the aim of this study was to closely examine the environmental and economic issues raised by shale gas extraction.
“Large volumes of shale gas being discovered could lead to a global market in gas, as more opportunities for trade arise and the costs of LNG (liquid natural gas) fall,” said the committee in a statement.