Dear Sir/Madam,
Nottinghamshire Minerals Local Plan - Draft Plan Consultation
Consultation Draft - September 2018
This response to the consultation draft of the Nottinghamshire Minerals Local Plan is prepared on behalf of IGas. IGas is British company listed on the Alternative Investment Market of the London Stock Exchange. It is a leading UK onshore oil and gas exploration and production business, holding a portfolio of production and exploration assets primarily focused on three regions: the North West, East Midlands and the Weald Basin in Southern England.
The business has more than thirty years' experience of successfully and safely extracting and producing hydrocarbons onshore in the UK working closely with local communities, regulators and MPAs. The UK is recognised globally as a leading example for oil and gas industry regulation.
IGas is committed to the protection of the environment and providing safe and healthy working conditions for its employees and contractors. It is also committed to maintaining close and responsive relationships with the communities in which it operates and has a long track record of engaging with local residents.
IGas has been operating its own Community Fund since 2008 which has, over the last decade, distributed almost £1 million to local projects that are charitable, educational or benevolent in purpose.
IGas holds a number of onshore UK licence interests in the three regions many of which it both owns and operates:
* North West: EXL273 and PEDLs 056, 145, 147, 184, 188, 189, 190,193, 293 and 295.
* East Midlands: AL009, EXL288, ML, 3,4,6 and 7, PEDLs 006, 012, 139, 140, 146,169, 200, 210, 273, 278, 305, 316, 317 and 337 and PLs162,178,179,199 and 220.
* Weald Basin: DL002 and 004, ML 18 and 21, PEDLs 021, 070, 233, 235, 257 and 326 and PLs 182, 205, 211, 233, 240 and 249.
The East Midlands area is comprised of two primary production centres: Welton and Gainsborough.
The Welton area is made up of six fields and a gathering centre where the produced oil, gas and water are separated. The produced oil is transported to Conoco Immingham via road tanker; gas is used for power generation and exported to the National Grid; produced water is pumped for reinjection.
The Gainsborough area is made up of 10 fields and a processing facility. Oil is transported to Phillips 66 via road taker, gas is piped to Gainsborough 1 for power generation and produced water is pumped for reinjection.
More recently IGas has obtained planning permission at Springs Road, Misson to develop a hydrocarbon wellsite and drill up to two exploratory boreholes with Shale Gas being targeted. Development has commenced, and construction of the well pad is nearing completion prior to drilling of a vertical and then horizontal well.
Planning permission for a hydrocarbon well site to drill an exploratory borehole at Tinker Lane, near Bawtry has also been obtained. Development has commenced at Tinker Lane with construction of the well pad nearing completion prior to drilling of a vertical well to target the shale resource.
Our response to the MLP focusses on the Vision and Strategic Objectives; Policy MP12 Hydrocarbons and the supporting text; and the general development management policies.
Initial comment.
Para 1.2 sets out the range of minerals within Nottinghamshire. The plan identifies sand and gravel, gypsum and clay as being all of national importance. Paragraph 1.2 should also reflect the national importance of a shale gas. This is most recently outlined in a Joint Ministerial Written Statement (G Clark (Secretary of State for Business, Energy and Industrial Strategy) and J Brokenshire (Housing, Communities and Local Government)) 17 May 2018. The Joint Ministerial Written Statement (JMWS) states:
Shale gas development is of national importance. The Government expects Mineral Planning Authorities to give great weight to the benefits of mineral extraction, including to the economy.
Policy SP1 - Sustainable Development:
Question 2 - What do you think of the draft strategic policy for sustainable development?
Policy SP1 at point 2 says applications will be approved and point 3 says planning permission will be granted. Whilst such a strong position could be supported, it is incorrect as the approval and/or granting of planning permission is a matter for the determining person / committee and there is no certainty of outcome. For points 2 and 3 the policy should be amended so that applications will be supported.
We question whether the specific reference to the NPPF at point 3 is relevant. The NPPF will be a material consideration in the determination of all planning applications but it is not the only material consideration. The recent JWMS is also a material consideration in the development of planning policy and determination of planning applications for hydrocarbons.
Policy SP2 - Minerals Provision
Question 3 - What do you think to the draft strategic policy for minerals provision?
As a strategic policy applying to all minerals it is very aggregate orientated. The policy needs to be more flexible in supporting other mineral types or perhaps needs to specifically refer to aggregates.
SP2 (2) The reference to 'avoidance' should be replaced with 'minimisation' as avoidance may not be possible in the event national need may prevail.
Policy SP5 - Sustainable Transport
Question 6 - What do you think of the draft strategic policy for sustainable transport?
IGas agree that minimising traffic movements in the development of minerals is sound, where it is practical to do so. The onshore industry aims to maximise the reuse and recycling of materials and waste products from its operations, wherever it is feasible to do so, but the policy must align with the principal that minerals, including oil and gas, can only be worked where they are found. This may not explicitly align with policy SP5 - 2(b), which states, 'within close proximity to the County's main highway network and existing transport routes in order to avoid residential areas, minor roads, and minimise the impact of road transportation'. Site specific traffic management plans will address local impacts, should they be identified, and that this policy is over restrictive in its current form. The policy must also recognise the short-term traffic impacts of some mineral developments, where there may be more intense periods of traffic activity but only for a very limited time. SP5 - Point 1 should also include reference to other forms of transport; for example, conveyors and pipelines etc.
Policy SP6 - The Built, Historic and Natural Environment
Question 7 - What do you think of the draft strategic policy for the built, historic and natural environment?
Policy SP6 is onerous and does not recognise the weighting of all facets of sustainable development that should be applied when considering applications for development. Regarding hydrocarbon development, whilst there may be potential for environmental impact, the economic benefit of mineral extraction
should be afforded 'great weight' (paragraph 205 of the NPPF). This is further ratified by the JMWS (17 May 2018).
The significance of impact depends on the significance of the asset it affects. Paragraph 171 of the NPPF states that Plans should, 'distinguish between the hierarchy of international, national and locally designated assets.' Paragraph 184 of the NPPF recognises a similar approach for the historic environment in that assets should be conserved in a manner appropriate to their significance.
Policy SP7 - The Nottinghamshire Green Belt
Question 8 - What do you think of the draft strategic policy for the Nottinghamshire Green Belt?
The final bullet point of Policy SP7 states:
Within the Green Belt, minerals developments will be supported:
* Where the highest standards of development, operation and restoration will be undertaken to enhance the beneficial use of the Green Belt.
The policy needs to provide for temporary uses that may have an impact on the openness of the Green Belt. The final bullet point does not conform with NPPF and should be amended, a requirement for higher standards of working is unnecessary as is restoration to enhance the beneficial use of the Green Belt. Policy SP7 fails to meet the tests of soundness within paragraph 35 of NPPF as it is not consistent with national policy. Ensuring that the operation and restoration is compatible with Green Belt objectives is a more appropriate strategy and reflective of the NPPF.
Policy MP12 - Hydrocarbons
Question 21 - What do you think of the draft policy to meet demand for hydrocarbon minerals over the plan period?
We do not believe that the approach being taken at MP12 Hydrocarbon Minerals in the MLP is positively prepared and does not reflect the advice within NPPF or the JMWS of 17 May 2018.
Paragraphs 4.104 to 4.105 of the draft Plan set out the background and approach for shale gas. It is acknowledged within the MLP that there is a potentially significant shale gas resource within Nottinghamshire but the Plan fails to make reference to the potential benefits of a shale gas industry within the UK or the Government support within the Planning Practice Guidance to the NPPF or recent ministerial statements. Para 4.105 of the MLP simply makes reference to the fact that shale gas extraction is a very intensive activity. This is in itself is not backed up by any evidence or experience. For example, the footprint taken up by the site at Springs Road, Misson, is very small in comparison to a colliery or a
sand and gravel quarry. With the operation themselves having far less environmental impacts than a standard quarrying operation.
There is a clear promotion of a shale gas industry at the national level and for consistency this should be reflected within the MLP.
The Planning Practice Guidance (PPG), originally published by the Department of Communities and Local Government (DCLG) in March 2014, at Minerals paragraph 91 (reference ID: 27-091-20140306) states that "as an emerging form of energy supply, there is a pressing need to establish - through exploratory drilling - whether or not there are sufficient recoverable quantities of unconventional hydrocarbons such as shale gas ......present to facilitate economically viable full scale production."
A Government supported Ernst and Young supply chain report (Getting ready for UK shale gas, April 2014) indicated 'there could be significant benefits for jobs and growth from a successful UK Shale industry: over 64,000 jobs at peak could be supported across the wider economy, with more than 6,000 jobs on shale pads themselves. Many of these would be highly skilled, high quality jobs, with above average pay.'
A combined shale gas and oil policy statement by DECC and DCLG (15 August 2015) stated the following:
A national need to explore and develop our shale gas and oil in a safe, sustainable and timely way.
Exploring and developing our shale gas and oil resources could potentially bring substantial benefits and help meet our objectives for secure energy supplies, economic growth and lower carbon emissions.
The Government therefore considers that there is a clear need to seize the opportunity now to explore and test our shale potential.
These comments have now been reiterated within the JMWS (17 May 2018) which provides specific advice on planning policy and guidance, stating:
This Statement is a material consideration in plan-making and decision-taking, alongside relevant policies of the existing National Planning Policy Framework (2012), in particular those on mineral planning (including conventional and unconventional hydrocarbons).
Shale gas development is of national importance. The Government expects Mineral Planning Authorities to give great weight to the benefits of mineral extraction, including to the economy. This includes shale gas exploration and extraction. Mineral Plans should reflect that minerals resources can only be worked where they are found, and applications must be assessed on a site by site basis and having regard to their context. Plans should not set restrictions or thresholds across their plan area that limit shale development without proper justification. We expect Mineral Planning Authorities to recognise the fact that Parliament has set out in statute the relevant definitions of hydrocarbon, natural gas and associated hydraulic fracturing. In addition, these matters are described in Planning Practice Guidance, which Plans must have due regard to.
Consistent with this Planning Practice Guidance, policies should avoid undue sterilisation of mineral resources (including shale gas).
The Government has consulted on a draft revised National Planning Policy Framework (NPPF). The consultation closed on 10 May 2018. In due course the revised National Planning Policy Framework will sit alongside the Written Ministerial Statement.
We intend to publish revised planning practice guidance on shale development once the revised National Planning Policy Framework has been launched ensuring clarity on issues such as cumulative impact, local plan making and confirmation that planners can rely on the advice of regulatory experts.
There is a clear intention at Government level to seize the opportunity now to explore and test our shale potential and this support should be explicit within the MLP.
We object to Policy MP12: Hydrocarbon Minerals as currently written. For all four phases of hydrocarbon development Policy MP12 states that development does not give rise to unacceptable impacts on the environment or residential amenity. Such an approach is not in accordance with the NPPF as there is no weighting provided on the level of environmental asset - is it of international, national or local significance. Similar concerns are raised to individual Development Management Policies below.
On a point of clarity:
At para 4.111 it states that the, 'PEDL licences allows a company to pursue a range of oil and gas exploration activities ...'. The PEDL licences actually place an obligation on the holder to explore and develop for hydrocarbons.
Development Management Policies
Policy DM5: Landscape Character
Question 26 - What do you think of the draft policy wording for DM5: Landscape character?
Policy DM5 is seeking to place a weight on the impacts upon landscape character comparable to that of nationally designated landscapes (of which there are none in Nottinghamshire).
The NPPF states at paragraphs 171 and 172:
171. Plans should: distinguish between the hierarchy of international, national and locally designated sites; allocate land with the least environmental or amenity value, where consistent with other policies in this Framework53; take a strategic approach to maintaining and enhancing networks of habitats and green infrastructure; and plan for the enhancement of natural capital at a catchment or landscape scale across local authority boundaries.
172. Great weight should be given to conserving and enhancing landscape and scenic beauty in National Parks, the Broads and Areas of Outstanding Natural Beauty, which have the highest status of protection in relation to these issues. The conservation and enhancement of wildlife and cultural heritage are also important considerations in these areas, and should be given great weight in National Parks and the Broads54. The scale and extent of development within these designated areas should be limited. Planning permission should be refused for major development55 other than in exceptional circumstances, and where it can be demonstrated that the development is in the public interest. Consideration of such applications should include an assessment of:
a) the need for the development, including in terms of any national considerations, and the impact of permitting it, or refusing it, upon the local economy;
b) the cost of, and scope for, developing outside the designated area, or meeting the need for it in some other way; and
c) any detrimental effect on the environment, the landscape and recreational opportunities, and the extent to which that could be moderated.
For the Plan to be sound, Policy DM5 needs to be amended to correctly reflect the guidance within NPPF.
Policy DM6: Historic Environment
Question 27 - What do you think of the draft policy wording for DM6: Historic environment?
Policy DM6 is not consistent with the NPPF nor is it positively prepared. Chapter 16 of the NPPF sets out the approach for Conserving and enhancing the historic environment.
Para 197 of NPPF states:
The effect of an application on the significance of a non-designated heritage asset should be taken into account in determining the application. In weighing applications that directly or indirectly affect non-designated heritage assets, a balanced judgement will be required having regard to the scale of any harm or loss and the significance of the heritage asset.
For the plan to be sound it is recommended that Policy DM6 is amended in line with the guidance of NPPF.
Policy DM10 - Airfield Safeguarding
Question 31 - What do you think of the draft policy wording for DM10: Airfield safeguarding?
The first part of the policy should include reference to proposed exploration and appraisal.
I trust that the above is self-explanatory and useful. Please don't hesitate to get in touch should you wish to discuss any of the content of this letter.