by
Martin Banks
The 60 page report, by the Paris-based Institute for Sustainable Development and International Relations (IDDRI), was presented in the European Parliament on Thursday.
It looks at the economic, rather than environmental, impact of shale gas extract which involves a controversial process known as fracking.
Fracking, as it is known, is a controversial technique for recovering gas and oil from shale rock. But, the conference was told, how concerned should people be about the environmental impacts?
Hydraulic fracturing is widely used across the US to exploit reserves of oil and gas that were once believed to be inaccessible.
Many people have concerns about the fluid used in fracking. It is normally a mixture of water, sand and some chemicals that is pumped into the well under high pressure to force the gas from the rock.
There have been worries that the fluid is dangerous - suspicions that were fuelled by the reluctance of many companies in the US to disclose what's exactly in the mixture. Democrats in the US Congress released a report that detailed some 750 different chemicals and other components used in fracking fluid.
The scale of active shale gas drilling in Europe - and number of people employed in the industry - is tiny compared with the US, the Brussels event was told.
The report's co-author, Thomas Spencer, told a conference that while shale gas production in the United States has risen sharply in recent years, the density of Europe's population mitigated against extraction on "anything like the same scale."
He said that contrary to what some believe, the growth of shale gas related sectors will be "small" and its macro economic impact will be "largely local."
The report, "Unconvential wisdom: an economic analysis of US shale gas and implications for the EU," says that despite its investment in shale gas exploration, America remains heavily dependent on oil imports.
It says that the belief that shale gas may lead to big cuts in greenhouse gas emissions was "wrong."
Spencer told the conference, "Shale gas is not the answer to Europe's energy security issues."
He said that at best it was a "transition fuel" on the road towards creating a true low carbon economy.
His comments were partly echoed by Torsten Wollert, of the European commission's climate action DG, who said, "Shale gas is not a miracle solution.
"What is need right now is fact based data and public acceptance for what is after all a very new technology."
"I am not saying shale gas should not be given a chance but we need to ask about the risks involved."
By: N. Peter Kramer
