Dáil Éireann Debate, Thursday - 1 December 2011
113 Deputy Éamon Ó Cuív asked the Minister for Communications, Energy and Natural Resources if he will provide details of the legislation that authorises him, as the regulatory body, to issue licences for the exploration phases associated with hydraulic fracturing; if further legislation will be required in this regard; and if he will make a statement on the matter. [38185/11]
View answerPetroleum exploration in Ireland, in common with most other jurisdictions, is carried out by private enterprise under licence from the State. Petroleum exploration authorisations are issued under the Petroleum and Other Minerals Development Act 1960 and the operational framework is set out in the Licensing Terms for Oil and Gas Exploration, Development & Production 2007.
I am aware that there has been a good deal of public interest recently on the topic of onshore gas exploration with considerable focus on the possibility of hydraulic fracturing technology being used following the award of onshore licensing options in February of this year. The Licensing Options are preliminary authorisations and are designed to allow the companies assess the shale gas potential of the acreage based on studies of existing data from previous exploration activity. This work is largely office/desktop based and does not involve exploration drilling or hydraulic fracturing.
By the end of the licensing option period in February 2013, the companies will have to decide whether to apply for a follow-on exploration licence or relinquish the acreage. In the event any of the companies involved decide to apply for an exploration licence that proposes the use of hydraulic fracturing, their application would be subject to an Environmental Impact Assessment that would include a public consultation phase. My Department would also seek and be guided by the expert advice of other relevant statutory authorities such as the Environmental Protection Agency (EPA), the National Parks and Wildlife Service (NPWS) and the Local Authorities. The outcome of the Environmental Impact Assessment would determine whether or not an exploration licence would be granted.
In the event that at some point in the future a commercial discovery of natural gas is made and an onshore gas extraction project is proposed then there is a comprehensive regulatory framework in place that would apply to any such proposal. The development of such a project would require a number of statutory consents including a planning consent from An Bord Pleanála under the Planning and Development (Strategic Infrastructure Act) 2006, an Integrated Pollution Prevention Control Licence from the Environmental Protection Agency (EPA), along with a Petroleum Lease, a Plan of Development consent and a Gas Pipeline consent from myself as Minister for Communications, Energy and Natural Resources. A core element of these consent processes would be to consider the potential environmental impact of any proposed development.
It is too early to conclude at this point whether or not these licensing options will proceed to the exploration licence stage and much too early to anticipate a commercial discovery that could potentially lead to a natural gas production project. Notwithstanding, this I have asked the EPA to examine the area and advise on the environmental implications of hydraulic fracturing as a means of extracting natural gas. The EPA has commenced research into the environmental considerations and impacts of shale gas exploration and extraction and into the regulatory approaches of other countries, with a view to helping to establish best environmental practice. The EPA proposes to commission a further and more extensive study in 2012 and is liaising with my Department. In the event that future studies on technological developments bring to light new issues, I will be happy to examine such matters and to consider the introduction of statutory measures if necessary.
