SCOTTISH Power owner Iberdrola is in negotiations with the UK Government over funding for its £1.2billion carbon-capture storage project at Longannet, it was reported today.
The Spanish utility giant wants to secure at least half of the upfront costs needed to build the plant, industry sources were reported saying.
The UK Government had earmarked £1billion in funding for Britain’s first carbon-capture storage project, but was only willing to provide £400million in upfront costs, the source said.
A spokesman for the Department of Energy and Climate Change said negotiations were ongoing and that the investment sum was part of what was being discussed.
