Vale of Clwyd MP Dr James Davies has welcomed an announcement from the UK Government that HyNet will be one of two ‘Track 1’ Industrial Decarbonisation Clusters.
The announcement means that the project, which operates in North Wales and the North West of England, will be able to access a £1 billion pot of funding to develop technology and commence operations. The ‘East Coast’ cluster has been announced as the other Track 1 cluster, with the Scottish cluser currently being held in reserve.
It is estimated that HyNet, and its associated supply chains, will create up to 6,000 jobs, many of them locally.
As Chair of the Mersey Dee North Wales Group in Parliament, James has repeatedly pushed for the cluster to be prioritised, both Parliament and through direct communication with the Secretary of State for Business, Energy and Industrial Strategy. Cooperation between the Parliamentary Group, UK Government and HyNet will continue as the project enters its next phase.
Greg Hands MP, Minister for Energy, Clean Growth and Climate Change commented:
“The Prime Minister’s 10 Point Plan established a commitment to deploy Carbon Capture, Usage and Storage (CCUS) in a minimum of two industrial clusters by the mid-2020s, and four by 2030 at the latest. Our aim is to use CCUS technology to capture and store 20-30 MtCO2 per year by 2030, forming the foundations for future investment and potential export opportunities. CCUS will be crucial for industrial decarbonisation, low carbon power, engineered greenhouse gas removal technologies and delivering our 5GW by 2030 low carbon hydrogen production ambition.
“I am today, confirming that the Hynet and East Coast Clusters have been confirmed as track 1 clusters for the mid-2020s and will be taken forward into Track-1 negotiations. If the clusters represent value for money for the consumer and the taxpayer then subject to final decisions of Ministers, they will receive support under the government’s CCUS Programme.”
Following the announcement, James said
“I am delighted that HyNet has been announced as a Track 1 cluster and will be in line for UK Government funding. The sustainable development of this project will create thousands of jobs and help promote North Wales as a hub for clean energy innovation. From as soon as 2025, the project will enable our manufacturing sector across the region to decarbonise, as well as providing the opportunity to transition the way we travel and how we heat our homes.
“I will continue to support HyNet in their negotiations with the UK Government and look forward to further positive news in the years ahead.”
