Social cost and benefit analysis (SCBA) of oil extraction in Schoonebeek

The Lower House, via the Bromet motion, asked the government to undertake a social cost and benefit analysis (SCBA) of oil extraction in Schoonebeek. The government was also asked, via the Kröger motion, to take into account recent developments regarding gas and the situation in Ukraine in the SCBA.

The Ministry of Economic Affairs and Climate Policy (EZK) requested the Netherlands Organisation for Applied Scientific Research (TNO) to prepare the SCBA together with an external consultancy agency. TNO commissioned CE Delft to undertake the SCBA as a subcontractor. In addition, the motion specifically requests that the local interests of Twente and Drenthe and the interests of future generations be considered. The central issues of the SCBA are the long-term impact on the Netherlands and on the regions of Twente and Drenthe. This is based on the concept of ‘broad-based prosperity’. This means that, in addition to the financial effects of oil extraction, the impact on the living environment, labour market, climate, environment and soil is also taken into account. The effect of oil extraction on groundwater and earthquakes was determined qualitatively.

The report was sent to the Lower House by the State Secretary for Economic Affairs and Climate Policy.