BARTONWILLMORE

UK Onshore Oil and Gas:

Planning and Environment Summit

Wednesday, 6th July, 2016

Manchester Conference Centre

BARTONWILLMORE

Paul Foster

Planning Director

“Speeding up the planning process for

shale gas whilst ensuring local

communities are fully involved in

planning decisions that affect them –

an impossible dream?”

What has the Government done to speed up the Planning System for

Shale Gas?

How does Cuadrilla’s and Third Energy’s experience of the planning

system compare to appealing against non-determination?

What are the public’s key concerns about shale gas extraction and

how they can they be addressed?

Can the system cope with the expected increase in planning

applications?

Is there a quicker and fairer way to determine shale gas applications?

The message from Government is clear …

“We need more secure home grown energy supplies – and shale gas must

play a part in that. To ensure we get this industry up and running we can’t

have a planning system that sees applications dragged out for months, or

even years on end. Oversight by the Health and Safety Executive and the

Environment Agency of shale developments makes our commitment to

safety and the environment crystal clear. We now need, above all else, a

system that delivers timely planning decisions and works effectively for

local people and developers”

Amber Rudd MP

Secretary of State Energy and Climate Change

13th August 2015

And more recently …

“We need to tackle the issue of extensive planning delays head-on if we are

to reap the benefits that shale gas offers to our energy security, jobs and

wider economy.

Firms that want to explore for shale need to be confident that their

applications will be processed in a timely way and examined purely on a

planning basis. The new measures we’ve introduced will help to make this

happen.

We are addressing a problem that causes unnecessary delays and benefits

no one.”

Andrea Leadsom MP

Minister of State for Energy and Climate Change

18th May 2016

What has the Government done to speed up the planning system

(in England) for shale gas development so far?

September 2015 Planning for Onshore Oil and Gas Written Statement

Identifying underperformance of

LPAs in respect of all onshore

oil and gas applications

50% or fewer applications made

within the statutory

determination period or agreed

extension on 3 or more

applications, in 2016 until 2019

SoS will take account of

exceptional circumstances

before naming and shaming for

1 year

SoS will consider calling in any

oil & gas applications during this

period.

Greg Clark MP

September 2015 Shale Gas and Oil Policy Written Statement

Clarity about a national need to explore shale gas and oil

Shale gas will be a bridge to support climate change targets and

help reduce high-carbon fuels such as coal.

Clear expectation that local planning authorities should ensure that decisions on

[shale gas] applications are made within the statutory timeframes: 16 weeks where

an application is subject to EIA

Appeals against refusals of planning permission or against non-determination will be

treated as priority for urgent resolution

Recovery criteria for appeals means SoS is likely to recover appeals for shale gas

Active consideration of calling in shale applications (but will this make a difference?)

April 2016 – amendments to Town and Country Planning General Permitted

Development Order 2016

Drilling of boreholes for groundwater and seismic monitoring no longer requires

formal planning application if up to 28 days with no notification to the MPA, and up to

24 months for groundwater monitoring where notification is given in advance,

subject to conditions and limits

Lord Bourne of

Aberystwyth

In reality …

Applications by Cuadrilla Bowland for

up to four exploration wells, hydraulic

fracturing, testing, gas pipeline and

connection to gas network

Application ref LCC/2014/0096 – Preston

New Road, Little Plumpton, Fylde

Application ref LCC/2014/0101 –

Roseacre Wood, Fylde

Submitted: 2 June 2014

Validated: 5 June 2014

Refused: 29 June 2015

Appeal submitted: 27 July 2015

Recovery letter: 26 November 2015

Planning Inquiry: 9 February-16

March 2016

Inspector’s Report to SoS: 4 July

2016

SoS’s decision: ?

2 years so far

Application by Third Energy UK Gas

Limited to hydraulically stimulate and

test the various geological formations

previously identified during the 2013

KM8 drilling operation, followed by the

production of gas from one or more of

these formations into the existing

production facilities, followed by wellsite

restoration.

Application ref NY/2015/0233/ENV –

KMA wellsite, Alma Farm, Kirby

Misperton

Submitted: 15 May 2015

Resubmitted: 29 July 2015

Validated: 29 July 2015

Permitted: 27 May 2016

1 year

Pushing the Non-Determination Appeal Button

What would a typical timetable for non-determination of appeal for hydraulic fracturing

operations look like?

o Week 1 – validation of planning application

o Week 17 – appeal against non-determination

o Week 25 – Appeal recovered by SoS

o Week 30 – Public Inquiry opens

o Week 32 – Public Inquiry closes

o Week 47 – Inspector Report submitted to SoS

o Week 60 – SoS issues decision

Public engagement

“The Government is committed to ensuring that local communities

are fully involved in planning decisions that affect them. . . It is

important that the public has objective information about shale and

that communities are effectively engaged.”

Greg Clark

Secretary of State for Communities and Local Government

16 September 2015

“Industry needs to engage early and often with local communities.

Local communities are at the heart of the developing shale gas

industry which will bring benefits for the whole nation. We must all

continue to challenge the myths and misconceptions about shale.”

Andrea Leadsom

Minister of State for Energy and Climate Change

18 May 2016

But it’s clearly still not working …

The key concerns

Lack of technical understanding hampering informed decision-making

Impact on aquifers and groundwater supply

Vehicle movements

Remediation

Impact on climate change

Induced seismicity

Total objection in principle to fracking

Source: Atlas

And the practical challenges for all parties

Scale and detail of information prepared, understood and digested

Costs in resources and time to monitor and respond to consultation

comments from stakeholders and the local community

Unending demands for more information to be provided by operators

Dissecting what is not material to the consideration in land-use planning

If there is a national need to explore for shale gas, what can be done to

make the process fairer and quicker and more certain for all concerned?

Fairer

o Earlier and regular engagement with stakeholders and community

groups to provide answers

o Transparency from the start

o Try to avoid technical language and jargon

o Use the screening and scoping stages to your advantage

o Be upfront at the start about the possibility of appealing against non-

determination

o Explain to communities what are material considerations and weight

attributed

Quicker

o Front load the process - no surprises when the application is submitted

to the MPA

o Upfront timeline agreed with operator and LPA – Planning Performance

Agreements?

o Consider the appeal route for hydraulic fracturing after 16 weeks

• Advantages

Priority for resolution by PINS

Prospect of more certainty about outcome if recovered by SoS

Comparable timeframe to determination by MPA (TEL and Cuadrilla)

Still incorporates public engagement

• Disadvantages

Costs of public inquiry

Takes the decision making out of the hands of the local authority

PINS resources and capability

Conclusions

A partnership approach between the operator, the MPA and stakeholders

will pay dividends in the future

Full and early engagement with the local community to explain and inform

but accept many will never be persuaded

Focus on the most relevant information and avoid jargon

Don’t be afraid to appeal against non-determination – that’s what it is there

for!

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