Question

To ask the Secretary of State for Energy and Climate Change, what steps he is taking to ensure that the distribution of shale gas community benefit funds go to those households closest to potential drilling sites.

We have welcomed a package of community benefits that was put forward by industry. It is encouraging that industry will offer £100,000 per fractured well site during exploration, so communities can benefit early, as well as 1% of revenues at production.

The UK Onshore Operators Group has provided more information about the community benefits scheme and will be partnering with the UK Communities Foundation for two pilot schemes during the exploration stage. The UK Communities Foundation will work with local residents to use the funding according to their needs and priorities. UKOOG also announced further consultation on payments at production stage.