Sunak accused of betraying fracking industry

Boss of Cuadrilla owner claims there is ‘no rational scientific basis’ for the ban and pledges to overturn it

‘Given the current energy crisis facing the UK we were shocked by the decision’

‘In light of a move to reintroduce the moratorium the industry is considering its position’

THE owner of fracking pioneer Cuadrilla has accused Rishi Sunak of betraying the industry after he reimposed a ban on the controversial method of extracting gas underground.

Brett Tredinnick, chief executive of Australian energy company AJ Lucas, said there was “no rational scientific basis” for the move and Cuadrilla would push for it to be lifted again.

Mr Sunak brought back the ban on fracking in late October about one month after it was lifted by Liz Truss as part of her plans to make the UK a “net energy exporter by 2040” and curb soaring gas prices.

He said he was honouring the Conservative Party’s 2019 manifesto pledge not to allow the practice, which involves pumping water and chemicals into the ground to release gas trapped in rocks, “unless the science shows categorically that it can be done safely”.

But the move has triggered fury among drillers who have invested heavily in trying to get a UK industry off the ground. AJ Lucas raised $19.7m (£17bn) to invest in areas including its UK operations in October when the ban had been lifted.

In a letter to shareholders ahead of AJ Lucas’s annual general meeting yesterday, Mr Tredinnick said: “Given the current energy crisis facing the UK we were shocked by the decision.

“There is no rational scientific basis for the reimposing of the moratorium, and it is a betrayal of an industry that has the potential to create tens of thousands of jobs across the North of England, generate billions in private sector investment and provide local councils with much-needed tax revenue.

“Our UK team, led by Francis Egan, will continue to push for the removal of the moratorium to ensure shale gas can play a role in alleviating the UK’S energy crisis.”

Andrew Purcell, the chairman of AJ Lucas, also heavily criticised the “profoundly disappointing” decision from Mr Sunak, which he highlighted comes amid an increase in imports of gas fracked in the US to Britain. Despite efforts to curb the use of fossil fuels, gas still generates about 40pc of UK electricity and heats 85pc of homes.

Mr Purcell added of the ban: “One is forced to conclude that its real purpose is to provide a thin veil for a mindset of outsourcing fossil fuel production while loudly proclaiming green credentials to the domestic electorate.”

Fracking has helped revolutionise energy supply in the US and efforts to get a UK industry going were encouraged by David Cameron when he was prime minister. Commercial production had not yet been reached, however, when it was banned in 2019 following a series of tremors triggered by Cuadrilla during testing in Lancashire.

Fracking’s supporters argue UK reserves could keep the UK stocked with gas for decades. Gas shortages following Russia’s war on Ukraine have triggered economic chaos and greater concern over security of supplies.

AJ Lucas’s comments come after UK fracking hopeful Igas said the aboutturn was “totally unwarranted”, adding it reserved the right to try to recover its losses. Sir Jim Ratcliffe, the founder of chemicals giant Ineos, was among those asking Ms Truss to lift the ban, calling opponents an “ignorant minority”.

Charles Mcallister, of fracking trade group UK Onshore Oil and Gas, said: “Our preference is to develop the UK’S abundant shale gas resources, however, in light of the Government’s decision to reintroduce the moratorium the industry is considering its position.”

The Department for Business, Energy and Industrial Strategy did not respond to requests for comment.