Fracking ruling expected on Cuadrilla Lancashire applications

A government decision is expected later on two controversial applications to test frack for shale gas in Lancashire.

Permission to drill at two sites on the Fylde coast have been the subject of an appeal by the the energy firm Cuadrilla, after the plans submitted in mid-2014 were rejected by the county council last year.

Following a six week public inquiry earlier this year, a planning inspector submitted their report to Communities Secretary Sajid Javid, who will take the final decision.

It will be closely watched by other companies looking to carry out fracking in the UK.

Environmentalists and residents are opposed to the applications amid pollution and health concerns.

Campaigners also argue fracking for fossil fuels is not compatible with tackling climate change and the focus should be on renewables.

But the Government has previously said it is going "all out for shale" arguing it can boost the UK's energy security and economy.

When she took over as Prime Minister, Theresa May launched a consultation which could see homeowners receive individual payments for fracking wells drilled nearby.

Although estimates of UK shale resources vary, Britain may have 20 trillion cubic feet of technically recoverable gas, or about eight times consumption in 2014, according to the US energy (NasdaqCM: USEG - news) department.

Fracking involves pumping liquid deep underground at high pressure to fracture rock and release gas.

Cuadrilla said in 2011 it was "highly probable" test drilling had triggered two small earthquakes, after which the UK implemented a one-year ban to study the impacts of the extraction method.

The moratorium was ended in December 2012 when the then Energy Secretary Ed Davey said it could go-ahead with strict monitoring and safety regulations.

Cuadrilla technical director Andrew Quarles has said he is "confident" the applications will be approved.

If given the go-ahead, production work could start within 18 months.

Cuadrilla's permits will be the second fracking permissions ruled on this year.

Third Energy UK Gas Ltd was granted an application to frack an existing well in North Yorkshire in May.

Friends of the Earth requested a judicial review of the approval, which will be decided in November.