Unconventional on-shore shale gas development in England: stakeholder perspectives on the Social Licence to Operate

Energy security, the economic crisis, dwindling North Sea gas supplies are some of the drivers for the development of on-shore gas exploration in England. Shale Gas Development, also known as fracking, has become a divisive... [ view full abstract ]

Energy security, the economic crisis, dwindling North Sea gas supplies are some of the drivers for the development of on-shore gas exploration in England. Shale Gas Development, also known as fracking, has become a divisive issue in recent times with diametrically opposing views of both its economic benefits and environmental risks.   Thus the industry does not appear to have gained a Social Licence to Operate: an implicit contract between the operator and other stakeholders. Previous work suggests that the trust and acceptance implied by a social licence to operate can reduce socio-political conflict associated with the activities of companies, typically associated with extractive industries.  This research is investigating stakeholder perspectives on shale gas development in two key potential areas of exploitation in England, Yorkshire and Lancashire. Methods include semi-structured interviews with stakeholders including regulators, MPs, operators and residents near potential development sites.  Results suggest that there are very different understandings of the regulatory framework; the public do not accept the trustworthiness of checks within the regulatory system; while industry consider these excessive. Local authorities are required to undertake a period of public consultation prior to development, however local residents and NGO’s feel the standard of engagement is poor and non conciliatory. The image of the industry appears to override the regime in place to safeguard the public. This raises questions regarding the role of stakeholders and methods used to engage and include the public in development decisions. 

Keywords: Shale gas development, social licence, environmental governance, fracking