HOUSEHOLDS in the town could receive thousands of pounds to 'redress the balance' of fracking as the Government looks to progress its energy plans.

The Treasury has launched a consultation on how to use money from the £1 billion Shale Wealth Fund.

Funds may be distributed to residents opposing fracking but campaigners say it is an 'insult' to those fighting to 'protect' their environment and community.

It is estimated that individual households affected by future sites could receive up to £10,000.

Warrington South MP David Mowat has backed the latest developments.

He said: "I've long been a supporter of utilising our natural resources, particularly when the alternative is to burn more dirty coal or import gas from Qatar and Russia.

"If the world replaced all coal with gas, it would be the carbon reduction equivalent of increasing renewables by 500 per cent.

"That said, it must be recognised that those living close to sites where drilling is taking place do suffer increased disruption through noise and traffic.

"It's quite right that communities should benefit from having drilling in their area and these monies – which come out of the drilling companies' profits – are an attempt to redress that balance.

"It's also worth pointing out that unconventional gas drilling has been taking place in Warrington for six years already with no adverse effects whatsoever."

The town's Liberal Democrat leader Cllr Bob Barr admits the issue has 'concerned' him.

He said: "The Liberal Democrat policy is to oppose fracking. At the very least the decision in any area to frack should go through the normal democratic process.

"The Government's apparent intention to bypass those processes and offer incentives to affected households is quite wrong in my opinion.

"I fear that the energy gap that is developing will make fracking inevitable.

"If fracking decisions are imposed on communities, the highest levels of environmental and technical monitoring must be funded to ensure that operations stop as soon as any environmental issue is suspected.

"Fracking sites should be chosen to minimise the impact on amenity or greenbelt and any fracking premium should be made available for community investment and not to individuals or households."

Warrington Borough Council has set up a task group to look at fracking in 'greater depth'.

A spokesman said: "This is not a decision-making group but it will carry out a range of work to ensure the authority is more familiar with the issues.

"Until we have had a chance to fully consider the wider implications of fracking, we are not in a position to make representations to Government."

There is currently 'no fracking' taking place in Warrington but planning permission exists at three locations for 'activities related to the extraction of unconventional gas'.

The Doe Green site in Penketh is 'operational' for the extraction of coal bed methane, while land in Woolston, which is adjacent to the M6 junction 21, was granted planning permission for the 'exploration of boreholes' in 2010 – development commenced early last year.

Land off Waterworks Lane in Winwick has also been earmarked for work.