The closure of the Vivergo Fuels bioethanol plant at Saltend could derail the Humber’s green industrial revolution, industry leaders are warning.
In a joint statement, a number of leaders from across the chemicals and renewables industries have called upon the Government to help protect the Saltend bioethanol site.
Vivergo’s Saltend site is the largest bioethanol plant in the UK, however as a result of the US-UK trade deal announced earlier this year, the site is preparing for closure. The trade deal included the removal of the 19 per cent tariff on ethanol imports from the US. Domestic bioethanol companies, including Vivergo, say they this will put them out of business as they will become unable to compete with the cheaper, less regulated, imports from the States.
After months of campaigning, with help from local politicians from across the political spectrum, Vivergo have now teamed up with other big hitters in the Region’s renewables scene to once again call for Government intervention.
The joint statement warns that Vivergo’s closure would have consequences far beyond the single plant. It is said that the loss of the site would drive up costs for other Saltend businesses, damage confidence in the Humber’s future fuels cluster, and put new hydrogen and renewable fuel projects currently in development at risk.
The statement also says: “We are not calling for an indefinite subsidy. We are asking for swift, targeted action that gives domestic bioethanol a fair chance to compete and keeps Saltend’s integrated model intact. A stable regulatory framework and timely support today will help safeguard thousands of skilled jobs, protect Britain’s fuel security, emerging industrial decarbonised and sustainable markets whilst giving investors the confidence to press ahead with the next wave of green-industry projects on the Humber.
“The Government has an opportunity to show that it backs the UK’s chemicals, future-fuels and bioeconomy sectors. We stand ready to work with ministers to secure Vivergo’s future and unlock the full potential of the Saltend cluster for the region and for the country.”
Signatories:
Jo Dooley, Head of Business Investment, ERYC
Rob Fergie, Hull Site Manager, Ineos
Simon Green, CEO, Humber Freeport
Ben Hackett, Managing Director, Vivergo Fuels
Jonathan Oxley, Executive Director, HEB
Patrick Pogue, Group Director, px Group
Tom Reid, Chief Executive, Renewable Transport Fuels Association
Chris Smith, Founder and CEO, Meld Energy
A Government spokesperson said: “We recognise this is a concerning time for workers and their families which is why we entered into negotiations with the company on potential financial support last month.
“We will continue to take proactive steps to address the long-standing challenges the company faces and remain committed to working closely with them throughout this period to present a plan for a way forward that protects supply chains, jobs and livelihoods.”
By: Andrew Spence, LDRS
