Essar to play key part in regional decarbonisation partnership

Following a commitment of £72 million of funding, HyNet North West will transform the North West into the world’s first low carbon industrial cluster, playing a critical role in the UK’s transition to ‘net zero’ greenhouse gas emissions by 2050 and the global fight against climate change.

HyNet North West is essential for UK Government to deliver several objectives within its 10-point plan for a green industrial revolution, as well as the local net zero targets of Cheshire West & Chester in 2045, Liverpool City Region in 2040 and Greater Manchester in 2038.

The North West industrial cluster region stretches from Flintshire and Wrexham, through Cheshire, Liverpool City Region and Greater Manchester into Lancashire. It boasts the largest concentration of advanced manufacturing and chemical production in the UK and is home to a concentration of energy intensive users. The HyNet North West hydrogen and carbon capture and storage (CCS) project is being developed by a world-class consortium of regionally located partners, Progressive Energy, Cadent, CF Fertilisers, Eni UK, Essar, Hanson, INOVYN (part of the INEOS Group) and the University of Chester.

From 2025, HyNet North West will begin to convert natural gas into low carbon hydrogen at Stanlow Refinery, with carbon dioxide safely captured and stored offshore in the Liverpool Bay gas fields. A new pipeline network will transport the clean hydrogen to power industry, fuel buses, trains and heavy goods vehicles, to generate electricity, and to heat homes across North West England and North Wales.

Prashant Ruia, chairman, Essar Oil UK said: “This is excellent news and another important milestone in the development of a transformational North West hydrogen economy. Essar is committed to playing its part in the decarbonisation of the region and the two hydrogen production plants to be built at Stanlow are absolutely fundamental to the Hynet project. Together with our plans for the manufacture of biofuels from waste, HyNet North West will be key to our ambition of being a long term provider of sustainable energy solutions for the UK.”

HyNet North West will reduce regional carbon dioxide emissions by up to 10 million tonnes every year by 2030 – the equivalent of taking four million cars off the road. By then, HyNet North West alone will already be delivering 80% of the Government’s new UK-wide target of 5GW of low carbon hydrogen1 for power, transport, industry and homes.

The project will kick start a low carbon hydrogen economy, protecting and creating jobs, setting the region on course to be the world leader in clean energy innovation. In addition to creating over 6,000 new, permanent jobs, HyNet North West will protect and retain jobs in existing high value manufacturing industries. Workers will develop fresh skill sets and train in exciting new sectors, fostering regional growth and inward investment. By kick-starting the UK’s hydrogen economy, HyNet North West will help support up to 75,000 jobs across the country by 2035.

HyNet North West has been under development for four years with work so far including extensive engineering studies and demonstration projects. Environmental survey work, supported by funding from the Cheshire & Warrington Local Enterprise Partnership Growth Fund, has recently begun and consultation with stakeholders, including the general public, will begin later this year as the planning process to gain consent for development.

HyNet North West underpins a regional commitment to carbon neutrality with additional exciting opportunities being explored and advanced by Net Zero North West.

 

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