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EfW plant delayed in wake of Air Products withdrawal

The Department for Communities and Local Government has delayed its decision on Peel Environmental’s Bilsthorpe Energy Centre, reports Construction News’ sister title Materials Recycling World, because of concerns that its 95,000-tonnes-a-year plasma gasification plant uses similar technology to Air Products’ Tees Valley facilities, which were scrapped earlier this month.

The DCLG has now invited stakeholders to comment on any implications that Air Products’ withdrawal could have for the Nottinghamshire site so that communities secretary Greg Clark can make a “fully informed” decision.

A letter sent by Mr Clark yesterday (12 April) asserts that the delay “should not be read as any indication as to his attitude to the appeal proposal”.

He added: “It has very recently been drawn to [my] attention that Air Products announced on 4 April that it is exiting from its EfW business as it has failed to overcome the technological difficulties, and has abandoned its Tees Valley plasma and gasification plants due to ‘design and operational challenges’.

“In view of this announcement by Air Products, and the fact that it was not disputed at the inquiry that the Bilsthorpe Energy Centre would use the same technology, the secretary of state considers it appropriate to give the parties to the Bilsthorpe case an opportunity to comment on any implications which the reasons leading to this announcement might have for the Bilsthorpe scheme as currently proposed.”

Recipients of the letter have until 26 April to make comments, with Mr Clark making his decision “as soon as possible” after that.

A DCLG spokesman later confirmed to MRW: “We have received new evidence concerning this case which we must give due consideration and all parties the opportunity to comment. A decision will be issued in due course.”

The application was called in by previous communities secretary Eric Pickles in December 2014.

Air Products announced it was quitting the EfW sector on 4 April, pulling the plug on its two gasification facilities on Teesside.

A statement from the US-based company said leaving the sector would cost between $900m and $1bn (£630m to £700m) in writing down its EfW assets.

The initial facility in the North-east, TV1, was expected to be completed this year, while the identical but partially complete plant TV2 was mothballed in November because development of TV1 was taking longer than expected.

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BDC 316 : May 2024