Report on Industrial Cluster Decarbonisation offers a plan to deliver significant regional jobs, growth and decarbonisation benefits
Industrial Decarbonisation Challenge's 'Enabling Net Zero: A Plan for UK Industrial Cluster Decarbonisation' report addresses the challenges facing UK's world-leading clusters, to deliver both decarbonisation and clean growth.
The report provides five key recommendations including calling for an Industrial Decarbonisation Advocate, a focus on skills and a streamlining of permitting processes.
Report outlines the actions and conditions needed to establish at least four low-carbon clusters by 2030 and the world's first net zero industrial cluster by 2040.
The next phase of industrial emission reductions has the potential to power prosperity - delivering high quality jobs, increasing innovation, and driving energy security, if challenges are addressed.
The UK has the potential to harness the power of its industrial clusters and drive the next phase of emissions reductions while contributing to a stronger economy and energy security, according to a new report from the UK Research and Innovation (UKRI) Industrial Decarbonisation Challenge.
Titled 'Enabling Net Zero: A Plan for UK Industrial Cluster Decarbonisation', the report synthesises the individual plans from six industrial clusters around the UK - the Humber, North West, Black Country, Scotland, South Wales, and Tees Valley. It identifies the steps needed for the industrial clusters to achieve their net zero targets through nationally coordinated decarbonisation, whilst also delivering material regional, economic benefits.
For the UK to realise its industrial decarbonisation potential and contribute to a stronger economy, enhanced energy security and greater innovation, Enabling Net Zero has outlined a series of recommendations for both government and industry to collaborate on and enact.
This includes providing measures to support investors, both by providing clear market signals to facilitate the transition from interim deployment targets to full net zero across all clusters by 2050 and to address slow and inefficient permitting of shared net zero infrastructure.
Industrial cluster decarbonisation also requires significant change from both industry and across government. Enabling Net Zero recommends the appointment of an 'Industrial Cluster Advocate' to bridge the gap between industry and government and facilitate the two-way exchange of market signals and industry feedback.
The report highlights the need to plan for the development of a sizeable, skilled workforce to deliver industrial decarbonisation projects, programmes, and initiative across the regions, alongside the requirement for consistent reporting around jobs and emission reduction to support evaluation and delivery.
Dr Bryony Livesey, Industrial Decarbonisation Challenge Director, said: "Industrial cluster decarbonisation is a vital part of the UK's push towards net zero and our Enabling Net Zero report outlines the actions we must take to establish at least four low-carbon clusters by 2030 and the world's first net zero industrial cluster by 2040.
"The plan recognises that true success in industrial cluster decarbonisation will be measured by the future strength of the UK economy, the sustained success of industrial communities across the country, and the global competitiveness of the UK as a provider of low-carbon products and services. We have a huge opportunity to decarbonise our world-leading industrial clusters whilst exporting our knowledge globally, but we must act fast if we are to capitalise on our expertise.
That's why we are calling for clearer market signalling, the acceleration of permitting for common decarbonisation infrastructure, an Industrial Cluster Advocate, more emphasis on developing a skilled workforce and a standard approach to calculating impact."
Andy Lane, VP Hydrogen and CCUS UK, bp said: "Industrial clusters have the potential to be a core part of the transition to net zero and to create a huge opportunity for people both locally and across the whole country - but we need the right talent and skills in place.
"We believe that Teesside, for example, has the potential to become a world-class, low-carbon energy hub - with local people at the heart of that transition. That's why we are partnering with education institutions, such as Redcar and Cleveland College to invest in young Teessiders and provide the training they need to access high-quality low carbon jobs that will help sustain the region for decades to come."
The report, which was launched during an industry event at the Institution of Civil Engineers in London, can be viewed and downloaded here.
Black Country Industrial Cluster: Matthew Rhodes, chief executive of Camirus
"The Black Country Industrial Cluster has distinct decarbonisation needs compared to the other clusters because it consists of a large number of smaller energy-intense firms rather than a small number of major emitters. However, we strongly support the wider UK Cluster Plan and continuation of the Industrial Decarbonisation Programme because it has exposed a critical need for UK industry as a whole to engage with the energy sector and the decarbonisation agenda and the benefits to all sides of doing so.
"We think it's vital that this broader perspective is retained nationally and in policymaking, even more so for the mid-sized energy intense firms that are the bedrock of supply chains not just in the Black Country but across the economy as a whole."
Tees Valley Cluster: Andy Lane, VP Hydrogen and CCUS UK, bp
"Industrial clusters have the potential to be a core part of the transition to net zero and to create a huge opportunity for people both locally and across the whole country - but we need the right talent and skills in place.
"We believe that Teesside, for example, has the potential to become a world-class, low-carbon energy hub - with local people at the heart of that transition. That's why we are partnering with education institutions, such as Redcar and Cleveland College to invest in young Teessiders and provide the training they need to access high-quality low carbon jobs that will help sustain the region for decades to come."
North West Cluster: Chris Manson-Whitton, chief executive of Progressive Energy
"From bottles to bicarb, cement to cereal, the things we buy and materials we use have a hidden carbon footprint. Our UK Industrial Decarbonisation Clusters, such as HyNet, provide global blueprints; unlocking carbon savings, driving inward investment and sustaining high-quality livelihoods."
Scottish Cluster: Mark Hughes, operations manager at NECCUS
"The five key recommendations are key to the Scottish Cluster taking advantage of its unique benefits - legacy skills and infrastructure and ultimately reducing the timeframe to storage. The benefits of collaboration and shared learning with other Clusters on common issues such as supply chain engagement, and skills are immeasurable, as the Report highlights."