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France's Mistake In Bowing To The Greens
Published in AL HAYAT on 16 - 10 - 2013

France, which imports all of its natural gas and oil, and which is experiencing an economic crisis with a high unemployment rate, has banned the production of shale oil and gas. This ban was affirmed by the country's Constitutional Court. It is a strange decision, one that resulted from pressure by France's Green Party, which frightens its partner in the Socialist government even though it does not wield large electoral power at large. France has banned this technology without conducting studies on whether there is a possibility to create energy by using it, and without any environmental impact assessment. France is paying for importing energy while European countries such as Britain and Germany have begun to use this technology. Moreover, it is striking that the Greens in Germany have more of an impact on domestic policy than in France. This summer, opponents of this technology in a British village halted the work of a company in West Sussex that was using fracking, prompted by the Green MP and town residents. Even so, Britain did not ban this technology, which has experienced considerable growth since it has been used and developed by American and western big firms.
At the beginning of the shale oil and gas revolution in the United States, small firms were involved, and they were not successful in developing it until large companies entered the scene to improve and use this technology. Because these giants are important on the stock exchange and have a bright international reputation, they developed this technology considerably in environmental terms. They were able to achieve a true revolution in the US, which might soon become free of imported oil and perhaps become an exporter one day. Based on the information, large-scale fracking operations are taking place in many parts of the world, not only in the US but also China, Latin America, Saudi Arabia and Algeria. However, according to an expert, in some of these places it will be difficult to extract oil and gas from shale as in the US, because not all shale deposits are the same. In addition, the relevant territory in most countries is owned by the government, while the private sector in the US owns the areas for extracting shale oil and gas, which has prompted its development. In any case, it is a big loss for a country such as France, where the giant Total is extracting oil and gas in Poland using fracking technology, to ban this activity without a study of French regions.
A report by BP says the total production of shale gas will triple by 2030 and "tight oil," whose extraction is difficult, will increase by six times. The US will remain the primary producer of shale oil for the next 20 years. Some, like Russia, are trying to enter the fields of drilling and production. The Russian government has introduced tax discounts to encourage investment, despite the problematic geological situation in some areas of the country.
Public opinion in the world remains very cautious about this technology despite the rapid development made in the US, while Green parties are heavily lobbying politicians in a number of European countries. However, France quickly bowed to the pressure, although it is in the interest of the country's economy to allow companies to undertake studies to assess the deposits and develop a technology that is daily outpacing all others in the field of energy extraction.
The French government might come to regret its tardiness in this sector, even if it is in the interest of oil producers who sell energy it needs. But France's declining economy will not benefit from this progress in shale extraction technology for oil and gas.


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