The Net Zero Teesside project, together with its associated Transportation and Storage project, the Northern Endurance Partnership, create a pathway to facilitate decarbonisation of the Teesside industrial cluster in the mid 2020s.
Net Zero Teesside and the Northern Endurance Partnership are led by bp and leverage world class expertise from across industry including CF Fertilisers, BOC Gases, ENI, Equinor, National Grid, Sembcorp, Shell and Total, with confirmed support from many more stakeholders and subcontractors.
The project anchor is a world first flexible gas power plant with Carbon Capture, Utilisation and Storage (CCUS) which will "compliment rather than compete with" renewables. It will capture ~2 million tonnes of CO2 annually from 2026, decarbonising 750MW of flexible power and enabling a reduction of Teesside's emissions by one third through partnership with industrial stakeholders including CF, BOC and Sembcorp.
CO2 will be permanently and safely stored in a well understood large geological aquifer located in the Southern North Sea.
NZT addresses widely accepted strategic national priorities - most notably to secure green recovery and drive new jobs and economic growth in regions most hit by the pandemic. NZT will also deliver on the Chancellor's pledge in the 2020 Budget to "support the construction of the UK's first CCUS power plant."
The Committee on Climate Change identified both gas power with CCUS and hydrogen production using natural gas with CCUS as critical to the UK's decarbonisation strategy, and gas power with CCUS has been independently estimated to reduce the overall UK power system cost to consumers by £19bn by 2050 (compared to alternative options such as energy storage).
The £61mn industry contribution coupled with £28mn grant funding should enable Teesside to subsequently build this billion-pound decarbonisation project. Private financing for CCUS projects and flexible gas power with CCUS will all be world firsts, transformative to the industry and playing a pivotal role in the UK's trajectory toward Net Zero.
In conjunction with the Northern Endurance Partnership, the development is estimated to support and safeguard between 35% and 70% of existing manufacturing jobs in Tees Valley, with an annual gross benefit of up to £450mn for the Teesside region and the support of up to 5,500 direct jobs during construction.
NZT would showcase a broad range of decarbonisation technologies and underpin the UK's Clean Growth strategy, securing green recovery, driving economic growth in regions hit by the pandemic and kickstarting a new market for CCUS.
The Zero Carbon Humber Partnership (ZCH) has brought together world-leading organisations with a goal to turn the Humber, the UK's most carbon-intensive region, into a net zero cluster by 2040\.
ZCH will deliver first-of-a-kind low-carbon infrastructure, comprising CO2 and hydrogen transmission pipelines linking the region's major emitters, providing a pathway to deliver at-scale decarbonisation. The infrastructure will be anchored by the H2H-Saltend project (reducing emissions by ~1Mtpa) and will unlock further private sector investment in mature deep decarbonisation projects, enabling the transition to net-zero before 2040\. This infrastructure enables Hydrogen production/CO2 capture at Uniper's site in Immingham (c.7Mtpa), clean steel production at British Steel (2-4Mtpa), SSE Keadby-3CCGT+CCS (c.2Mtpa) and Bioenergy-with-CCUS (BECCS) at Drax (16Mtpa). Collectively these projects will transform this industrial heartland, safeguarding and creating jobs as the 'Energy Estuary' transitions to net-zero.
The low-carbon infrastructure's parallel CO2 and H2 pipelines will enable CO2 emissions to be captured and transported and fuel-switching of end-users to hydrogen for a long-term sustainable transition to low-carbon energy. The onshore infrastructure will be linked to the 'Northern Endurance Partnership (NEP)' offshore project providing CO2 transport and geological storage for both Humber and Teesside clusters (together over 50% of UK Industrial Cluster emissions (15.5Mtpa)). This aligns with UK government's ambition and the Committee on Climate Change (CCC) recommendations, having at least two clusters storing 10Mtpa of CO2 by 2030 and Government's ambition to reach 20Mtpa by 2035 progressing towards the deployment levels required by 2050\.
Anchoring the infrastructure is the H2H-Saltend project which, in-line with Government's ambitions, will kick-start large-scale low-carbon hydrogen deployment. H2H-Saltend will develop a blue hydrogen production facility (600MW), providing hydrogen to fuel-switch Saltend Chemicals Park, reducing emissions by circa 1.0Mtpa. The fuel switch will include Triton's CHP station, decarbonising power and steam to the Chemicals Park, whilst fuel-switching another large user on the site. Additionally, H2H-Saltend will develop a low-carbon ammonia export product and partially decarbonise all other products produced on-site. This will position the UK at the forefront of the expanding international low-carbon products market.
The project will be led by Equinor, Europe's leading CCUS operator, and National Grid. These partners will be joined by Advanced Manufacturing Research Centre, ABP, British Steel, Centrica Storage Limited, Drax Group, Mitsubishi Power, px limited, SSE Thermal, Saltend Cogeneration Company Limited and Uniper. ZCH aims to take a Final Investment Decision before March 2024, and be operational in 2026-27\.
Together, the Humber and Teesside represent almost half of the UK's industrial CO2 emissions.
The Northern Endurance Partnership will create an offshore CO2 Transport and Storage system connecting two innovative First-of-a-Kind onshore capture projects, Zero Carbon Humber and Net Zero Teesside into one initial geological store facilitating decarbonisation of both industrial clusters in the 2030s.
This bp led project leverages world class expertise from across industry including ENI, Equinor, NGV, Shell and Total with confirmed support from many more stakeholders and subcontractors.
The combined onshore anchor projects initially aim to capture ~3 million tonnes of CO2 annually from 2026, decarbonising 750MW of flexible power at Teesside and reducing emissions by 1 million tonnes annually in Humber through fuel switching the Saltend chemicals park to Blue Hydrogen. CO2 will be permanently and safely stored in Endurance, a well understood large geological aquifer located in the Southern North Sea.
The projects address widely accepted strategic national priorities -- most notably to secure green recovery and drive new jobs and economic growth in the regions which have been most hit by the pandemic.
Developing gas power generation with Carbon Capture, Utilisation and Storage (CCUS) will deliver on the Chancellor's pledge to "support the construction of the UK's first CCUS power plant" (Budget 2020). In addition, the Committee on Climate Change identified both gas power with CCUS and hydrogen production from gas with CCUS (Blue Hydrogen) as critical to the UK's decarbonisation strategy -- this project will enable both.
The £41mn industry contribution coupled with £24mn grant funding should enable Humber and Teesside to subsequently build these multi-billion-pound decarbonisation projects. Gas power with CCUS, large scale Blue Hydrogen and a combined offshore CCUS scheme will be world firsts playing a pivotal role in the UK's trajectory to net-zero. This project has the potential to underpin over 25,500 jobs in the Humber/Teesside area, showcasing a broad range of decarbonisation technologies, globally unparalleled in scale, optionality and ambition.
This partnership will underpin the UK's Clean Growth strategy, securing green recovery and kickstarting a new market for CCUS and Hydrogen, with potential for trade across mainland Europe developing into the future.
The Humber Local Enterprise Partnership and membership organisation CATCH will work with industrial partners across the Humber to develop the Humber Cluster Plan (HCP) that will enable the Humber industrial cluster -- the UK's largest by carbon emissions -- to achieve net zero by 2040\.
The Humber emits more CO2 than any other industrial cluster (30% more than the next largest), whilst the area is one of the most vulnerable to climate change. A quarter of the Humber's GVA and 1 in 10 jobs depend on these industries, making safeguarding their competitiveness imperative for the local economy as well as strategically important for the UK.
The HCP will be informed by ongoing work on proposed industry-led decarbonisation investments and will have access to world-class industrial expertise to demonstrate how decarbonisation can be achieved at the same time as ensuring the local economy continues to thrive. The plan will provide a blueprint for clean growth to drive a green recovery in the Humber.
A phased approach will prioritise near-term deliverable investments that will see quick results, significantly reducing the Humber's emissions by 2030, mapping out how CCS and hydrogen infrastructure can be scaled up over time, and identifying the full range of interventions required to achieve net zero by 2040\.
HCP will also outline the potential for the Humber's industrial decarbonisation to support decarbonisation beyond the industrial cluster, including maritime in the UK's largest ports complex, road/rail transport and decarbonisation of the gas supply (25% of the UK's supply passes through the Humber). Linked opportunities and implications for renewable energy, especially BECCS and offshore wind (both of which the Humber leads on and are integral to decarbonising industry), will also be identified.
Supporting UK leadership of decarbonisation technologies and the creation of local jobs and supply chains are crosscutting themes where HCP will identify future actions the Humber can take to accelerate the green recovery, including identifying opportunities for inward investing businesses and those looking to diversify to take advantage of low carbon infrastructure.
HCP and the evidence base that will be assembled through its development will provide a clear way forward for industry, Government and local leaders to work together to achieve rapid decarbonisation of the UK's largest cluster, whilst maximising opportunities for local people and businesses to benefit from the transition.
Awaiting Public Project Summary