Ellesmere Port: £22billion for Hynet North West carbon capture project

The significant milestone was announced by the Prime Minister, Chancellor and Secretary of State for Net Zero and Energy at Encirc, an international glass production plant and partner of HyNet.

The government has pledged £22billion in support of HyNet - a low carbon cluster which will implement carbon capture and storage and low carbon hydrogen infrastructure at large scale, enabling industry to decarbonise.

Delivering HyNet will secure £5 billion of private sector capital to enable re-industrialisation of the region, allow companies to successfully compete in international low carbon markets and attract new industries to the UK.

Bottle manufacturer, Encirc, is situated at Elton, near Ellesmere Port, will create the world’s first net zero glass bottles at scale, by 2030.

Encirc, part of the HyNet industrial decarbonisation cluster (Image: Progressive Energy) HyNet said it will position Britain as a world leader in the global net zero economy. The creation of 6,000 construction jobs and long-term operational roles will build a strong base of skills for those wanting to retrain as well as those beginning their career.  In addition, the region’s economy will be bolstered by a burgeoning supply chain. 

HyNet said its blueprint can be replicated across the globe, enabling widespread decarbonisation of hard to abate sectors and allowing the export of skills.  

Subsequent phases of HyNet will underpin delivery of the Governments Clean Power 2030 mission. This will include hydrogen storage to boost energy security and to fuel flexible power generation, providing us with power when the wind doesn’t blow and the sun doesn’t shine.

A map of the planned Hynet hub (Image: Hynet) David Parkin, Chair of the HyNet Alliance said: “HyNet was formed to meet the demands of industry wanting to decarbonise to deliver sustainable products and compete in the global low carbon economy. We need to decarbonise, not by de-industrialising, but by investing in the industries of the future that we rely on for the everyday products in our lives - from the glass bottles we use for our food and drink to the cement we use to build roads and buildings.

“Government’s commitment to HyNet will also enable generation of resilient low carbon power, right here in the industrial North West and North Wales, supporting its Clean Power 2030 Mission.

“This will create new roles and safeguard existing jobs, attracting investment and catalysing growth.”

The Encirc initiative is in partnership with global drinks group, Diageo. It will be powered by zero carbon electricity and hydrogen, from the Vertex (HyNet) plant in Cheshire.

Expected to be fully operational by 2027, the plant, which employs more than 1,000 staff, will produce up to 200 million Smirnoff, Captain Morgan, Gordon’s and Tanqueray bottles annually by 2030.

The government’s funding also covers the granting of an Economic License for the Liverpool Bay CO2 transport and storage (T&S) project at the Point of Ayr gas terminal in Flintshire.

(Image: Newsquest) The project is reusing the depleted gas fields, operated by Italian energy company, Eni, in the Irish Sea at Liverpool Bay to store captured carbon. 

Once operational, the project will remove up to 10 million tonnes per year after 2030 of CO2 from the atmosphere, equivalent to storing emissions from about two million UK households. This will help the UK’s decarbonisation ambitions, significantly boosting progress towards the target of capturing and storing 20-30Mt of CO2 per year by 2030.

Secretary of State for Energy Security and Net Zero, Ed Miliband, said: “On Monday, 150 years of coal in this country came to an end. Today, a new era begins. By securing this funding, we pave the way for securing the clean energy revolution that will rebuild Britain’s industrial heartlands.

“I was proud to kick-start the industry in 2009, and I am even prouder today to turn it into reality. This funding is a testament to the power of an active government working in partnership with businesses to deliver good jobs for our communities.”

Eni CEO, Claudio Descalzi, said: “Today’s news is an important step towards the creation of a new business chain linked to the energy transition. On our side, it reaffirms Eni’s role as a key partner with the UK in enabling its journey towards Net Zero.”