David Cameron's claim that areas which allow fracking to take place locally could "immediately" get ?1m was a slip of the tongue, Downing Street has said.
The prime minister told factory workers in Lancashire that it would be a "big mistake" to miss out on the benefits offered by shale gas drilling.
But he said communities had to be sure it was safe and could get ?1m upfront - and more if wells were successful.
The amount energy firms have agreed to pay when they start work is ?100,000.
Fracking uses high-pressure liquid pumped deep underground to fracture shale rock and release gas.
The prime minister said fracking in the US had brought down energy costs - encouraging businesses to return - while European countries were currently "missing out big time".
"I think we would be making a big mistake as a nation if we didn't think hard about how to encourage fracking and cheaper gas prices right here in the UK," he said.
But he said people had to feel fracking was "OK for them, their families and their communities" and nothing would happen "unless it is environmentally safe".
He added: "So there's no question of having earthquakes and fire coming out of taps and all the rest of it. There will be very clear environmental procedures and certificates you will have to get before you can frack."
BBC News - PM's ?1m fracking claim was slip of tongue
Must have cut his tongue he's such a sharp used car salesman. This will be so that money can be given to local councils to waste on large screen TV's and it must be ok because your elected council allowed it. A lot of good that is if your water gets contaminated or your house gets damaged by earthquakes. Will the companies pay, will theck ck, they'll expect you to claim on your insurance that you paid so much for. I wonder how much the premiums will go up in fracking areas. As for cheaper fuel
"North Sea oil will give Britain cheap fuel"....
The prime minister told factory workers in Lancashire that it would be a "big mistake" to miss out on the benefits offered by shale gas drilling.
But he said communities had to be sure it was safe and could get ?1m upfront - and more if wells were successful.
The amount energy firms have agreed to pay when they start work is ?100,000.
Fracking uses high-pressure liquid pumped deep underground to fracture shale rock and release gas.
The prime minister said fracking in the US had brought down energy costs - encouraging businesses to return - while European countries were currently "missing out big time".
"I think we would be making a big mistake as a nation if we didn't think hard about how to encourage fracking and cheaper gas prices right here in the UK," he said.
But he said people had to feel fracking was "OK for them, their families and their communities" and nothing would happen "unless it is environmentally safe".
He added: "So there's no question of having earthquakes and fire coming out of taps and all the rest of it. There will be very clear environmental procedures and certificates you will have to get before you can frack."
BBC News - PM's ?1m fracking claim was slip of tongue
Must have cut his tongue he's such a sharp used car salesman. This will be so that money can be given to local councils to waste on large screen TV's and it must be ok because your elected council allowed it. A lot of good that is if your water gets contaminated or your house gets damaged by earthquakes. Will the companies pay, will theck ck, they'll expect you to claim on your insurance that you paid so much for. I wonder how much the premiums will go up in fracking areas. As for cheaper fuel
"North Sea oil will give Britain cheap fuel"....
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