German Chemical Producers Urge Liberal Fracking Rules

German chemical producers organized in the industry association Verband der Chemischen Industrie (VCI) are concerned about the impact of the new rules for fracking being debated in the Bundestag (parliament) starting this week.

In a statement, VCI general manager, Utz Tillmann, stressed once again that natural gas exploration in Germany has traditionally represented an integral part of the country's energy supply.

For companies to continue to be able to supply gas and remain competitive in their markets, legislators must allow hydraulic fracturing, or fracking, Tillmann said.

Fracking techniques have been used in Germany for more than 50 years without an incident, the VCI manger said, without commenting on whether companies would want to use conventional or unconventional fracking method.

At the same time, Tillmann praised the draft legislation presented by the German federal government that would allow shale gas exploration under strict conditions monitored by a scientific advisory panel.

BASF's oil and gas subsidiary Wintershall said earlier this year that due to the lack of a consensus on shale gas exploration, capital investments worth €1 billion are on hold, and jobs in the industry are at risk.

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