Permission granted for gas power station with carbon capture at Teesworks

Net Zero Teesside, a joint venture between Equinor and bp, is a proposed gas power station with enormous carbon capture, utilisation and storage (CCUS) facility which could potentially be used by other carbon-creating companies both at Teesworks, and across the wider Teesside area.

The CCUS element will trap harmful by-product gases, compress them, and store them in huge underground tanks beneath the North Sea. The fledgling technology is touted as an alternative to releasing carbon into the atmosphere.

As a Nationally Significant Infrastructure Project, Net Zero Teesside was not subject to the regular planning process via local authorities, but instead went through a two and a half year process with the government’s Planning Inspectorate.

The gas power station will be built on land where the Redcar steelworks blast furnace stood until Autumn 2022. Following accusations of “corruption” at the site, it was reported in May last year that Equinor and bp had added extra legal guarantees in their tenancy agreements which guaranteed assets had not been acquired through “an unacceptable act”.

An independent government review found no evidence of illegality at the site, but highlighted serious concerns around governance, transparency and the ability to ascertain whether or not the public sector - which has invested more than £500m into the regeneration project - has achieved value for money.

Around 3,000 construction jobs are expected to be created when building work begins later this year.

Teesworks Chief Executive Chris Musgrave said: "Net Zero Teesside Power is a key part of the puzzle to our carbon capture and storage ambitions, feeding into the net zero ambitions of existing businesses and becoming a prime asset for others looking to relocate here."

The Planning Inspectorate’s Chief Executive, Paul Morrison added: “Local people, the local authority and other interested parties were able to participate in this examination.

“The Examining Authority listened and gave full consideration to all local views and the evidence gathered during the Examination before making its recommendation to the Secretary of State.”