Oil and Gas News from OilGasDaily.Com
OIL AND GAS
Scottish refinery closure spells trouble for green transition
Scottish refinery closure spells trouble for green transition
By Akshata KAPOOR
Grangemouth, United Kingdom (AFP) May 11, 2025

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

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 (GBP 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 GBP 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."

Related Links
All About Oil and Gas News at OilGasDaily.com

Subscribe Free To Our Daily Newsletters
Tweet

RELATED CONTENT
The following news reports may link to other Space Media Network websites.
OIL AND GAS
Trump announces informal cease-fire with Houthis
Washington DC (UPI) May 6, 2025
The Yemen-based Houthis have "capitulated" and stopped attacking commercial and military shipping, President Donald Trump announced after meeting with Canadian Prime Minister Mark Carney on Tuesday. "They've announced to us at least that they don't want to fight anymore," Trump told media. "They just don't want to fight, and we will honor that," Trump said. "They have capitulated. But, more importantly, they ... say they will not be blowing up ships anymore." Trump said Houthi rep ... read more

OIL AND GAS
Biogas Production from Alfalfa Enhanced by Fruit Waste and Microbes

Bacteria breathe electricity unlocking bioenergy and clean tech potential

Difficult energy transition looms without major EU investment in biomass

Turning wood waste into ultra strong material

OIL AND GAS
China's Renewable Energy Shift Faces Sustainability Challenges

Saharan dust clouds cast uncertainty on Europe's solar power growth

Saharan dust clouds pose growing risk to solar power stability across Europe

US solar tariffs could drive Asia transition boom

OIL AND GAS
Norway's Equinor slams 'unlawful' halt to US wind farm

US halts Equinor's huge New York offshore wind project

Chinese energy giant Goldwind posts annual growth as overseas drive deepens

Clean energy giant Goldwind leads China's global sector push

OIL AND GAS
Ontario Approves Construction of GE Vernova Hitachi's BWRX-300 Small Modular Reactor

Google agrees to fund three US nuclear plants

EDF complaint blocks Czech-Korean nuclear deal

AI driven algorithm streamlines next generation nuclear reactor shielding design

OIL AND GAS
Major US Cities Sinking Due to Groundwater Extraction and Other Factors

Scientists team up to publish climate assessment gutted by Trump

UK 'not ready' for effects of climate change, experts warn

US climate assessment thrown into doubt as Trump dismisses authors

OIL AND GAS
California leads lawsuit over Trump's EV charging funding change

AI-Driven Microgrid Control Enhances Renewable Stability and EV Integration

EU parliament backs emissions reprieve for carmakers

GM cuts shift at Canada plant over 'evolving trade environment'

OIL AND GAS
Iraq's judiciary acquits powerful former speaker of forgery

French FM says Iraq should not be dragged into regional conflicts

UN voices alarm over death of Iraqi in custody

Two injured in attack on Christians in north Iraq

OIL AND GAS
At UN, US slams Russia for 'cynically' protecting N.Korea

Iran slams Israeli strikes on Yemen port

Iran says 'has every right' to enrich uranium, dismissing US concerns

Iran denies aiding Yemen Huthis in Israel airport attack

Subscribe Free To Our Daily Newsletters




The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.