Shale Gas Arises in France and Bulgaria

The once solid bans on fracking technology to extract shale gas in Bulgaria and France are weakening. Both countries have established committees to examine the technology and practices throughout the EU. The Bulgarian parliament has established an ad-hoc committee to examine EU practices, while the French Government will examine the technology and regulations. The closer look at the technology is not an indication of weakening environmental protection, rather it acknowledges the role shale gas can play in each country’s energy mix.

Exclusion of fracking technology only weakens a country's energy security. Gas deposits represent an effective source for domestic energy security. Just as gas storage and network interconnectors ballooned to a key security of supply concern after the 2009 Russian-Ukraine gas dispute, shale gas is emerging as another tool in the box of energy security.  In the EU, the contribution domestically tapped shale gas will be limited in each country, so there is no panacea of independence being held in the ground; however, it is not mana we are looking for in the ground – just a little bit for boosting energy security levels, which in a time of crisis can make a significant difference.

Domestically sourced shale gas, provides two elements for security of supply. It provides another source of gas, thus reducing foreign dependence and used as a bargaining chip to reduce pricing of Russian gas. It also boosts overall energy security. Therefore, ignoring the role that shale gas plays in a country’s energy supply is not in the interests of politicians. Gas pricing is an annual concern of politicians. Also, if a crisis occurs, there will be calls as to why shale gas was not explored and possibly exploited in the past. Providing the right regulatory and business environment becomes an action of self-preservation for smart politicians. Objections of environmentalists can be addressed for the wider public. Politicians will be able to cite other extraction and regulatory practices in other countries to demonstrate the safety of using the technology in their own backyard.

Fracking technology is not in or out in Europe. Most commentators have adjusted and are getting it right. There will be shale gas in Europe, although at mixed levels in different EU countries. It will only be a game changer in so-far that it contributes to overall energy security – at the same level as other diversified energy sourcing. Through an effective regulatory regime shale gas emerges as a useful technology to meet Europe’s growing appetite for a lower carbon fuel. As the extraction technology becomes cleaner, more transparent, and proven, older objections will drop away, and shale gas will emerge as a solid technology.

Michael LaBelle works for the Central European University Business School as a program developer and researcher on issues of innovation, sustainability and entrepreneurship. His research is focused on the European energy market and efforts to move to a post-carbon economy along with energy governance issues. He is a member of the Atlantic Council’s Emerging Leaders in Environmental and Energy Policy. His blog, energyscee.com, is focused on the geopolitics of gas, energy investment and sustainability in Central Eastern Europe.