Tuesday 13 March 2012

Hydraulic fracturing: how technology outpaces legislation























What is fracking?

Induced hydraulic fracturing is a process whereby highly pressurized fluids are injected into a horizontal or vertical well in order to enhance recoverability of an oil or gas field by creating new flow channels in the rock. Vertical 'fracking' is an older technique which uses a relatively low volume of water in order to increase the lifetime of an oil field. On the other hand, the more recent and controversial technique, horizontal fracking uses very high volumes of water (of the order of millions of gallons per well) as well as many chemicals (up to 596 by one count, most of which are proprietary).

Why is it significant?

By 2035, world gas use is expected to rise by 50%, making up 25% of our energy usage according to the IEA. This achievement would be in no small part attributed to the availability of Shale Gas made possible by fracking. This application of fracking was enough to help turn the US from a net petroleum product importer to a net exporter (DOE, 2012). Further to this, liquid oil that is trapped in tight shale deposits is also now accessible. Both these achievements combined have contributed to making the US a net petroleum product exporter, after many decades of being a net importer.

China also stands to gain much from this new technology, as it seeks to transform its energy landscape by using now accessible shale gas to power its stations. Between 2015 and 2020, China says it wants to increase its shale gas output by a factor of ten (though admittedly their current production levels are low)!

Where is the problem?

In many US States there has been considerable opposition. Also, France became the first country to ban fracking, citing groundwater contamination concerns. There is an ongoing campaign in New York to place a moratorium on fracking, while countries such as the UK, Poland and Germany all have internal campaigns to ban the technique. The contamination arises when natural gas and/or some of the chemicals used in the fracking fluid, find their way into the water supply.

Regulation vs. a total ban

The opportunities that arise from hydraulic fracturing are simply too great to give up. Increased energy independence and access to cleaner burning natural gas is an attractive prospect for any country. An outright ban assumes that fracking is inherently a 'dirty' method. However, some environmentalists and many who are knowledgable on the issue, are coming to the realization that improvements in how fracking is actually done would drastically decrease the risk of contamination.

Shale gas and shale oil reservoirs are relatively deep (of the order of kilometres below the ground), whereas the aquifers we get our water from are shallow (several meters to ca. 100m below ground). So the issue isn't the fracking fluids not being removed from the gas/oil reservoir. Scott Anderson writes that "the groundwater pollution incidents that have come to light to date have all been caused by well construction problems". When the steel pipe casing or the well cement wall aren't placed properly or are not strong enough, fluids will leak out.

It seems that horizontal hydraulic fracturing suffers from the serious deficiency of evolving much more rapidly than any legislation that would seek to properly regulate it. If governments are concerned about the potential risks of fracturing, they should make sure that companies go through rigorous measures to place the steel casings properly and to let the cement settle before they test it for its durability. The required research and experience for drafting appropriate legislation is out there: It's been several years since this method first started to be used for shale gas and oil extraction, so there is definitely no deficiency in project and research data!

There has, admittedly, been some progress. Ohio, Pennsylvania and New York have introduced new industry standards for proper well drilling and completion, while the University of Texas Energy Institute has compiled a report detailing the required steps and technical data for appropriate legislation passage. On the other hand, the EU recently concluded that existing regulations on water and drilling are enough to regulate fracking. The main difference between the EU and US is that the US Clean Water Act exempts natural gas extraction from certain requirements.

But, at the end of the day, the public requires extra re-assurance. When it comes to the water we drink, it's always a sensitive issue. Many Americans and Europeans are not comforted by existing legislation, otherwise they wouldn't be so opposed to the technology. New pieces of legislation that would specifically address fracking safety standards - even if they were mostly based on existing laws - would offer re-assurance to the public but also guarantee the protection of aquifers.

If some governments and environmental groups were less reactionary, we all might have a lot more energy and cleaner water. Especially in the case of energy dependent countries, an outright ban on hydraulic fracturing is an immature and irresponsible response in a time when economic growth and new jobs are so vital. Hopefully, some bans are put in place so that they may one day be lifted.

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