There is a “massive opportunity” for the Grangemouth industrial cluster after the oil refinery there closes next year, the Scottish Government’s acting Net Zero Secretary has said.
Gillian Martin said discussions are ongoing around the future of the site, but decisions have not yet been made on what other industries could be hosted there.
There are concerns for hundreds of jobs after owner Petroineos – a joint venture between PetroChina and Ineos – announced the oil refinery at Grangemouth would be shut after spring next year.
After this point, it would transition to being an import terminal for finished fuels. Other parts of the wider complex at Grangemouth would not be affected.
Ms Martin spoke as she launched the Government’s green industrial strategy on Wednesday, setting out five key areas were it seeks to drive investment.
The document notes that the Grangemouth cluster was responsible for 7.2% of Scotland’s total carbon emissions in 2022 saying it wants to see a “significantly decarbonised” future for the site.
Speaking to journalists at a drone manufacturing company in Midlothian, the minister was quizzed on what the future of the Grangemouth site would be once the refinery closes down.
She said: “I would say there’s a massive opportunity for Grangemouth as an industrial cluster.”
© Andrew Milligan/PA WireA number of options are being discussed, she said, including carbon capture and storage (CCS), hydrogen export – whether by ship or by pipeline – or as a “bio-refinery”.
Ms Martin said: “There’s a massive demand for sustainable aviation fuel.
“I had a really good conversation with one of the representatives from Heathrow, they were telling me the demand for sustainable aviation fuel from the airlines is more then they can supply.”
However, Ms Martin said the Government wants the refinery to continue “as long as possible”.
Both the UK and Scottish Governments are discussing the future of Grangemouth in a scheme called Project Willow.
Ms Martin said the discussions are around “what happens post-refinery in its current state”.
This work is just starting to get under way, she said, and is considering the technical feasibility of what can take place at the complex.
Recommended for you
