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Teesside's world-first clean gas project handed seven-figure boost by Government

 

Teesside's bid to build a major world-first power station, creating many thousands of jobs, has been handed a seven-figure boost by the Government.

The Clean Gas project on the former SSI steelworks site could become the world’s first gas-powered energy plant using technology that captures and stores carbon at scale.

The Government has awarded £26m to speed up the rollout of carbon capture utilisation and storage (CCUS) across the UK - and Teesside is one of nine areas to benefit.

It has been called a "critical first step" to ensuring the first CCUS projects are up and running by the mid-2020s.

Teesside's project was announced in November by a group of the world's biggest energy companies - collectively called OGCI Climate Investments - and could become a world first.

Phase one is a huge power plant, which will run on natural clean gas and could be operational as early as 2024 or 2025.

The Government has awarded £3.8m towards the £18m project.

The power plant alone will create around 1,500 jobs, once construction starts at the end of 2020.

But it will also help safeguard thousands of existing jobs in Teesside's chemicals and process industry, by giving existing companies a means to store their carbon dioxide.

Teesside will be a 'test case' for the world, Tees Valley Mayor Ben Houchen has claimed, and we have "just six years to upskill the workforce."

He said: “Last year we announced a new multi-billion pound energy plant on the former Redcar steelworks site, financed by energy giants BP, Shell and Total.

“The Clean Gas Project will be the world’s first energy plant with full-chain carbon, capture and storage provision - and it’s happening right here on Teesside. 

“Once the energy plant is up and running, CO2 will be captured and stored under the North Sea, or turned into more useful chemicals that can be used in the supply chain.  

“This extra £3.8m from Government is a welcome boost to develop the science behind CCS, and will ensure the new plant in Redcar will be carbon neutral.”

Dr Luke Warren, chief executive of the Carbon Capture and Storage Association, said: "This £26m of funding is critical first step to ensuring the first CCUS projects are up and running by the mid-2020s in a range of clusters across the country, and will help the Government meet its ambition to deploy the technology at scale in the 2030s.

"If the UK is serious about achieving net zero emissions by 2050, this is just the sort of action that is needed now.”

The Government has laid out plans for the UK to be a world-leader in the field of CCS, with its Clean Growth Strategy and last November’s CCUS Action Plan.

Energy and Clean Growth Minister Chris Skidmore said schemes like Teesside's will be "essential if we are to become a net zero emissions economy and end our contribution towards global warming".

He said: “Carbon capture, usage and storage has an essential role to play in our efforts to tackle climate change, helping us to meet our ambition to end our contribution to global warming entirely by 2050. 

"[These] plans demonstrate the enormous potential that CCUS has, reducing our emissions and helping companies to innovate and export products all around the world.  

“The funding the Government is awarding today puts the UK at the forefront of the rollout of this technology and demonstrates how our Clean Growth Strategy is delivering for all parts of the country.”

Other schemes to benefit include a CCS project at Tata Chemicals Europe in Cheshire.

 

Source: gazettelive.co.uk

Published: 27-06-2019
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