A conceptual model of the socioeconomic impacts of unconventional fossil fuel extraction

Abstract

As global energy demand increases, the rapid expansion of the unconventional fossil fuel sector has triggered an urgent need for social, economic and policy research to understand and predict how this sector affects host communities and how governance systems can respond to changes presented by this sector. In response to this need, this paper addresses three linked objectives. The first is to review the literature on regional impacts of energy extraction, presented in the form of a framework of hierarchical effects. The second is to consider how these are playing out differently in the context of conventional compared with unconventional fossil fuels. The third is to draw attention to the institutional avenues for addressing these impacts, including an overview of the lessons from existing research on the human and policy dimensions associated with conventional energy industries. In particular, we consider the importance of multistakeholder dialogue, which plays an important role in how regions respond to the challenges brought about through extractive industries. Overall, we demonstrate that experiences from conventional energy development provide a useful starting point for navigating the human and policy dimensions of unconventional energy for host communities and discuss how these experiences differ when unconventional energy seeks to co-exist with other land uses such as agriculture. The paper draws attention to the dispersed nature of impacts (positive and negative) and how this may shape winners and losers from unconventional energy development, particularly in regions with pre-existing land uses such as agriculture.

UK public beliefs about fracking and effects of knowledge on beliefs and support: A problem for shale gas policy

“…Regarding jobs, if shale gas extraction proceeds similarly to conventional energy developments, local people and especially women may fail to gain high-paying jobs in the industry, which demands particular experience and skills, attracting a male-dominated workforce from beyond the region (Measham et al, 2016). This could lead to significant local income inequalities between those working in the shale gas industry and other businesses and services.…”

“…This could lead to significant local income inequalities between those working in the shale gas industry and other businesses and services. Regions where fossil fuel extraction occurs often have lower income growth than those that don't, due to over-specialisation and limited growth in alternative sectors; additionally, a concentrated male workforce on short-term contracts can lead to social problems (Measham et al, 2016).…”

Risk Society and Anti-Politics in the Fracking Debate

“…The jobs created by the fracking industry are usually highly specialised, so the industry is unlikely to stop rural population loss in fracking areas, as young qualified workers go elsewhere to work (Mayer et al 2018). There would be temporary in-migration of predominantly male workers, which can strain the local community because it changes the relationships between people and place (Measham et al 2016). In addition, there are aesthetic (visual, auditory, and olfactory) concerns which also reduce well-being (Wynveen 2011).…”

Ethics and ‘fracking’: a review of (the limited) moral thought on shale gas development

“…For example, regulation can increase transparency and include members of the general public more concertedly via two‐way communication in decision‐making processes, addressing concerns about procedural justice . Distributive justice concerns between industry and local communities can be remedied, at least in part, through taxes and impact fees that return an equitable share of wealth to the affected communities …”