The Prague Post - Scottish refinery closure spells trouble for green transition

EUR -
AED 4.29814
AFN 80.739901
ALL 98.052062
AMD 449.160419
ANG 2.094318
AOA 1073.079199
ARS 1513.681829
AUD 1.792628
AWG 2.106372
AZN 1.992419
BAM 1.962873
BBD 2.359904
BDT 142.152228
BGN 1.96108
BHD 0.441221
BIF 3483.307019
BMD 1.170207
BND 1.499183
BOB 8.075928
BRL 6.502803
BSD 1.168812
BTN 100.842079
BWP 16.699819
BYN 3.824833
BYR 22936.051241
BZD 2.34773
CAD 1.602265
CDF 3377.216853
CHF 0.933006
CLF 0.029283
CLP 1123.621202
CNY 8.399686
CNH 8.39281
COP 4703.002201
CRC 589.725002
CUC 1.170207
CUP 31.010477
CVE 110.663763
CZK 24.625808
DJF 207.914753
DKK 7.463602
DOP 70.69474
DZD 152.106522
EGP 57.635136
ERN 17.5531
ETB 162.429525
FJD 2.632673
FKP 0.872335
GBP 0.866801
GEL 3.171255
GGP 0.872335
GHS 12.21375
GIP 0.872335
GMD 83.671849
GNF 10141.543806
GTQ 8.976345
GYD 244.433475
HKD 9.185936
HNL 30.588221
HRK 7.540462
HTG 153.370686
HUF 399.02702
IDR 19079.225502
ILS 3.921181
IMP 0.872335
INR 100.92787
IQD 1531.117193
IRR 49280.319192
ISK 142.438015
JEP 0.872335
JMD 186.903484
JOD 0.829679
JPY 172.452776
KES 151.003505
KGS 102.334345
KHR 4688.795327
KMF 495.348171
KPW 1053.186493
KRW 1618.899626
KWD 0.357299
KYD 0.973989
KZT 619.634835
LAK 25206.289264
LBP 104719.908107
LKR 352.676305
LRD 234.329371
LSL 20.737625
LTL 3.455316
LVL 0.707846
LYD 6.343859
MAD 10.566575
MDL 19.86315
MGA 5198.666117
MKD 61.782626
MMK 2457.286386
MNT 4195.957769
MOP 9.449732
MRU 46.493534
MUR 53.467418
MVR 18.022239
MWK 2026.676903
MXN 21.818305
MYR 4.956412
MZN 74.846862
NAD 20.737625
NGN 1792.311946
NIO 43.014999
NOK 11.88648
NPR 161.347327
NZD 1.957948
OMR 0.449949
PAB 1.168787
PEN 4.167517
PGK 4.912702
PHP 66.793647
PKR 332.950177
PLN 4.244703
PYG 8889.030529
QAR 4.272194
RON 5.072497
RSD 117.164546
RUB 91.536704
RWF 1688.834998
SAR 4.390008
SBD 9.711366
SCR 16.552465
SDG 702.706015
SEK 11.202483
SGD 1.49842
SHP 0.919599
SLE 26.790291
SLL 24538.65393
SOS 667.898128
SRD 42.917255
STD 24220.915969
STN 24.588602
SVC 10.226851
SYP 15214.901917
SZL 20.730434
THB 37.711058
TJS 11.178948
TMT 4.107426
TND 3.433874
TOP 2.740739
TRY 47.262741
TTD 7.934489
TWD 34.360194
TZS 3060.090073
UAH 48.918873
UGX 4188.091272
USD 1.170207
UYU 47.190044
UZS 14700.97315
VES 136.873209
VND 30606.756133
VUV 140.178513
WST 3.097422
XAF 658.315093
XAG 0.030065
XAU 0.000344
XCD 3.162542
XCG 2.106363
XDR 0.821742
XOF 658.329208
XPF 119.331742
YER 282.07863
ZAR 20.74973
ZMK 10533.262438
ZMW 26.881289
ZWL 376.806079
  • CMSC

    0.0900

    22.314

    +0.4%

  • CMSD

    0.0250

    22.285

    +0.11%

  • RBGPF

    0.0000

    69.04

    0%

  • SCS

    0.0400

    10.74

    +0.37%

  • RELX

    0.0300

    53

    +0.06%

  • RIO

    -0.1400

    59.33

    -0.24%

  • GSK

    0.1300

    41.45

    +0.31%

  • NGG

    0.2700

    71.48

    +0.38%

  • BP

    0.1750

    30.4

    +0.58%

  • BTI

    0.7150

    48.215

    +1.48%

  • BCC

    0.7900

    91.02

    +0.87%

  • JRI

    0.0200

    13.13

    +0.15%

  • VOD

    0.0100

    9.85

    +0.1%

  • BCE

    -0.0600

    22.445

    -0.27%

  • RYCEF

    0.1000

    12

    +0.83%

  • AZN

    -0.1200

    73.71

    -0.16%

Scottish refinery closure spells trouble for green transition
Scottish refinery closure spells trouble for green transition / Photo: Andy Buchanan - AFP

Scottish refinery closure spells trouble for green transition

Andrew Petersen is a third-generation oil refinery worker from a small, industrial Scottish town.

Text size:

When he was growing up, working at Grangemouth refinery meant you "had a job for life".

But last month "everything changed", Petersen told AFP near the refinery, its giant cooling towers looming in the background.

On April 29, owner Petroineos announced it had ended operations at the refinery after more than a century, triggering the first of a phased wave of redundancies, including Petersen's.

The closure of the UK's oldest and Scotland's only refinery will result in more than 400 job cuts, which locals say the impoverished adjoining town of Grangemouth can ill afford.

Petroineos -- a joint venture of British chemical giant Ineos and the Chinese state-owned PetroChina -– says the refinery was losing around $500,000 (£376,600) a day as a result of changing market conditions and carbon-cutting measures.

It will be replaced by an import terminal, employing just 65 of the workforce including Chris Hamilton, who currently works as a refinery operator.

Since Petroineos announced its intention to wind down operations in 2023, workers like Petersen and Hamilton who are members of the Unite trade union have been campaigning to "Keep Grangemouth Working".

The campaign was not against ending polluting refinery work, but sought to "future-proof" the site and transition to low-carbon options such as Sustainable Aviation Fuel (SAF) without job losses, explained Hamilton.

However, Petroineos told AFP the "existing regulatory, policy and fiscal framework did not support low-carbon manufacturing" at Grangemouth, or any of the UK's other industrial clusters.

A recent report by Scotland's Just Transition Commission (JTC) concluded that Grangemouth had seen an "accountability breakdown" on the part of the government and Petroineos.

As a result, for the last six months, Petersen and his colleagues have been shutting down the refinery's units one-by-one.

"It was really tough," said Petersen. "You got the feeling you're almost digging your own grave."

- Just transition -

Located between Glasgow and Edinburgh on the Firth of Forth, the refinery, which first opened in 1924, is part of a sprawling industrial site.

Petroineos and the UK government this year published Project Willow, a feasibility study into low-carbon futures for the site.

However, its suggestions -- including SAF production or plastic recycling -- would take years to implement and billions of pounds of investment.

And £200 million pledged by the UK government for the site is contingent on private investment, which is not yet forthcoming.

"With the refinery closing... workers can't wait a decade," Grangemouth's Westminster MP Brian Leishman told AFP.

"A real, proper, just transition means that you take the workers and their communities along with you," he added.

JTC commissioner Richard Hardy told AFP that the refinery's "car crash" closure was a "litmus test for just transition".

He argued that the UK and devolved Scottish governments needed to do more to bridge the gap between shuttering polluting industries and the transition to greener energy -- which will accelerate closer to Britain's 2050 net zero target.

Just last month, the UK had to step in to save hundreds of jobs at a British Steel plant after its Chinese owners decided to shut down the furnaces.

Leishman had called for the government to do the same for Grangemouth.

One of the UK's six remaining crude refineries, Grangemouth was the primary supplier of aviation fuel to Scotland's main airports and a major petrol and diesel supplier in the central belt.

"Being in charge of our own destiny, for me, that's just plain common sense," said Leishman.

- 'Ghost town' -

Built around the refinery and once known as Scotland's "boomtown", Grangemouth has seen a steady decline in recent years.

The population has fallen in the last decade to about 16,000 residents, with more expected to leave with the refinery's closure.

Petersen said he would likely move elsewhere, and had even considered the Middle East.

There are options there, he said: "But just not here.

"It's going to turn into a ghost town," he added.

In the run-down town centre dotted with half-shuttered shop fronts, the local butcher Robert Anderson said he was already losing business.

"We don't see them anymore", he said of the workers in their high-visibility vests.

Hannah Barclay, a homelessness support worker, told AFP that the refinery employed many of her friends.

For a "lot of people here, uni and college and further education, it is not an option," said the 19-year-old.

The refinery closing is "taking away so much opportunity for people", and leaving behind an "uncertain" future.

"It's just quite disheartening to see all these young people who should be really excited for the future, who are just scared."

M.Jelinek--TPP