Latest news with #Petroineos
Evening Standard
2 days ago
- Business
- Evening Standard
Grangemouth closure hits Scottish economy, figures show
Owner Petroineos announced last year the refinery would be turning into an import terminal, leaving Scotland without its own refinery and posing one of the first major tests of both the UK and Scottish governments in their push for a just transition away from oil and gas.
The Independent
2 days ago
- Business
- The Independent
Grangemouth closure hits Scottish economy, figures show
The closure of the Grangemouth oil refinery has hit the Scottish economy hard, new figures show. Statistics released by the Scottish Government show a drop-off of 0.4% in GDP growth in the three months up to May – effectively wiping out the 0.4% increase seen in the first three months of the year. In May, estimates by the Government found GDP contracted by 0.2%, following a boost of 0.1% the month before. The biggest drop-off in the three months up to May was seen in the manufacturing sector, which was hit by the closure of the refinery. Owner Petroineos announced last year the refinery would be turning into an import terminal, leaving Scotland without its own refinery and posing one of the first major tests of both the UK and Scottish governments in their push for a just transition away from oil and gas. Repeated attempts to halt the closure ultimately failed, with the loss of around 100 jobs, though plans for future use of the site have been put in motion as both governments seek external investment. As a result of the closure, manufacturing output in Scotland reduced by 4.1% in May. Deputy First Minister Kate Forbes – who also has responsibility for the economy – said the figures show the UK economy to be 'less productive and more unequal than independent European countries comparable to Scotland'. 'While Scotland's GDP growth of 0.4% in the first quarter shows a positive start to the year, like the rest of the UK we have been affected by ongoing global challenges, including more difficult trading conditions,' she said. 'The latest monthly figure demonstrates the cessation of oil refining at Grangemouth has contributed to a reduced output in the manufacturing sector. 'Ministers are working closely to provide a just transition for the workforce and we have so far committed around £87 million to support the industrial cluster, including the £25 million Grangemouth just transition fund and up to £450,000 to support affected workers to transition into new roles. 'By pursuing new investment opportunities and supporting entrepreneurship, the Scottish Government is taking steps to grow Scotland's economy. 'But these and other economic statistics increasingly show that the UK's economy is less productive and more unequal than independent European countries comparable to Scotland. 'Ultimately, only the powers of independence will allow us to create a wealthier and fairer nation for everyone in Scotland.'
The National
2 days ago
- Business
- The National
Grangemouth closure hit Scottish economy hard as manufacturing plunges
THE closure of the Grangemouth oil refinery has hit the Scottish economy hard, new figures show. Statistics released by the Scottish Government show a drop-off of 0.4% in GDP growth in the three months up to May – effectively wiping out the 0.4% increase seen in the first three months of the year. In May, estimates by the Government found GDP contracted by 0.2%, following a boost of 0.1% the month before. The biggest drop-off in the three months up to May was seen in the manufacturing sector, which was hit by the closure of the refinery. READ MORE: Labour respond as 400k demand repeal of Online Safety Act Owner Petroineos announced last year the refinery would be turning into an import terminal, leaving Scotland without its own refinery and posing one of the first major tests of both the UK and Scottish governments in their push for a just transition away from oil and gas. Repeated attempts to halt the closure ultimately failed, with the loss of around 100 jobs, though plans for future use of the site have been put in motion as both governments seek external investment. As a result of the closure, manufacturing output in Scotland reduced by 4.1% in May. (Image: Andrew Milligan) Deputy First Minister Kate Forbes (above) – who also has responsibility for the economy – said the figures show the UK economy to be 'less productive and more unequal than independent European countries comparable to Scotland'. 'While Scotland's GDP growth of 0.4% in the first quarter shows a positive start to the year, like the rest of the UK we have been affected by ongoing global challenges, including more difficult trading conditions,' she said. 'The latest monthly figure demonstrates the cessation of oil refining at Grangemouth has contributed to a reduced output in the manufacturing sector. READ MORE: Scottish Labour silent on support for Sandie Peggie after racist jokes made public 'Ministers are working closely to provide a just transition for the workforce and we have so far committed around £87 million to support the industrial cluster, including the £25m Grangemouth just transition fund and up to £450,000 to support affected workers to transition into new roles. 'By pursuing new investment opportunities and supporting entrepreneurship, the Scottish Government is taking steps to grow Scotland's economy. 'But these and other economic statistics increasingly show that the UK's economy is less productive and more unequal than independent European countries comparable to Scotland. 'Ultimately, only the powers of independence will allow us to create a wealthier and fairer nation for everyone in Scotland.'
The Herald Scotland
2 days ago
- Business
- The Herald Scotland
Grangemouth oil refinery blow hits Scottish economy
Scottish onshore GDP is now calculated to have risen by 0.1% in April, having previously been estimated to have declined by 0.2%. UK GDP fell by 0.1% in May, after declining by 0.3% in April. The Scottish Government chief economist directorate said of today's figures for Scotland: 'In May, the largest negative contribution to headline GDP was in manufacturing, which contributed -0.4 percentage points to headline GDP. This was partly due to the cessation of oil refining activity at the Grangemouth oil refinery.' Crude oil processing at Grangemouth ended on April 29, owner Petroineos confirmed at the time. Read more In the three months to May, Scotland's economy is estimated to have contracted by 0.4% compared with the December to February period. Deputy First Minister Kate Forbes said: 'While Scotland's GDP growth of 0.4% in the first quarter shows a positive start to the year, like the rest of the UK we have been affected by ongoing global challenges, including more difficult trading conditions. 'The latest monthly figure demonstrates the cessation of oil refining at Grangemouth has contributed to a reduced output in the manufacturing sector. Ministers are working closely to provide a just transition for the workforce, and we have so far committed around £87 million to support the industrial cluster, including the £25 million Grangemouth Just Transition Fund and up to £450,000 to support affected workers to transition into new roles' She added: 'By pursuing new investment opportunities and supporting entrepreneurship, the Scottish Government is taking steps to grow Scotland's economy. 'But these and other economic statistics increasingly show that the UK's economy is less productive and more unequal than independent European countries comparable to Scotland. Ultimately, only the powers of independence will allow us to create a wealthier and fairer nation for everyone in Scotland.'
BBC News
15-06-2025
- Business
- BBC News
Grangemouth plans to be announced 'soon'
The UK government's energy minister has said there will be "announcements soon" on the future of Shanks, who is also the MP for Rutherglen and Hamilton West, said the government was exploring a range of "exciting and viable" projects to secure a long-term transition for the of the refinery, Petroineos, ceased crude oil processing in April, with a planned closure this summer resulting in the loss of 430 said more than 80 potential investors in the site had come forward, with Scottish Enterprise handling due diligence on proposed projects. However the Scottish Conservatives have criticised Labour's approach to Grangemouth, saying it is "managed decline".Both the UK and Scottish governments have pledged millions of pounds to support the site, while the results of a £1.5m feasibility study - looking at potential low-carbon alternative uses - was published in to the BBC's Sunday Show, Shanks said discussions with investors on Grangemouth's future was ongoing and that they were focused on the "long-term".He said: "We've had some really positive meetings around potential investors, in fact there's more than 80 investors who have come forward."I'm hopeful we will have some announcements soon. We have some really exciting, viable projects coming forward that will deliver jobs at Grangemouth long into the future." Earlier this week, Jan Robertson, Grangemouth director for Scottish Enterprise, said she had received a "mixture of inquiries" from businesses, including those interested in the site as well as some which "have a good opportunity to become projects in the relatively near-term"."What I mean by that is the next three to four years," she told Holyrood's economy and fair work committee."Our approach very much at the moment is working with those and working as closely and quickly as we can to make the progress that we want to see in Grangemouth."Scotland's Net Zero Secretary Gillian Martin said at the committee that the "door's not closed" to companies and inquiries could still be made about working at Grangemouth, adding that Petroineos had also received Martin said she was hopeful for the future of Grangemouth."We could look back five years and start pointing fingers, but the most important thing is that in the last year - actually the last six months - Project Willow and the task force have moved things along in a way that's been swift, agile, focused," she said."I am feeling so much more confident than I did this time last year in the prospects for that site." Shanks' remarks come days after the UK government confirmed £200m would be provided to progress the Acorn Carbon Capture and Storage scheme in said part of that investment – which it claimed would secure 18,000 jobs in the energy sector that would otherwise have been lost – would involve capturing CO2 at Grangemouth and transporting it to storage facilities under the North Energy Secretary Ed Miliband said the Acorn scheme – which will be based at the St Fergus gas terminal near Peterhead – would "support industrial renewal in Scotland". Shanks said the Acorn investment, announced as part of chancellor Rachel Reeves' spending review, was designed to lure in further funding from private described it as "development funding" and said he was "confident" other investors would come also said current North Sea oil and gas projects would be allowed to run to completion but reiterated that no further licenses for drilling would be spending review also committed £14.2bn of investment to build the new Sizewell C nuclear plant on the Suffolk coastline, creating 10,000 said that Scotland was missing out on similar investment, and repeated calls for the Scottish government to end its "ideological position" of presumption against nuclear SNP has long rejected calls to end its effective ban, saying investment would be "better placed in areas of renewable energy".Shanks said: "I'm not going to make any apologies for the government investing in nuclear where thousands of highly skilled jobs could be delivered including in Scotland if it wasn't for the ideological position of the SNP to block new nuclear."We could be delivering those well paid, skilled jobs here in Scotland but they've turned their face against that and they'll have to answer for that." 'Tone deaf' The Scottish Conservatives' energy spokesman, Douglas Lumsden, described Shanks' comments as "tone deaf," accusing the Labour government of "economic vandalism".He reiterated calls by Conservative leader Kemi Badenoch for new licences to be issued for oil drilling in the North said: "Labour has sold our oil and gas industry down the river – and the SNP's cheering them on."Michael Shanks talks about managing the transition, but this is managed decline. At this pace, we'll lose 400 jobs every two weeks, like shutting Grangemouth twice a month."We need to bin the Energy Profits Levy and lift the ban on new licences - before it's too late." The latest escalation in the Middle East has sent oil prices soaring with questions about what that could mean for the world UK energy minister Michael Shanks told the BBC's Sunday Show his department is "preparing for all scenarios" as there's concern motorists could be hit hard with a doubling of the price at the many focus on life "beyond oil", it's a stark reminder that it's still the vital fuel for the world have claimed this government doesn't back the North Sea enough and that increasing production locally could provide energy said it doesn't matter where the oil comes from as it's still subject to the volatility of international oil Scotland is steered into that post-oil world, the minister also expressed his support for the north-east sector to ensure there's a "just transition".He was once again critical of the SNP's stance against nuclear – but there's concern the UK government is directing too much of an investment towards that as part of the UK's energy as the pipeline at the former Grangemouth oil refinery runs dry as production ends there was some good Shanks is hopeful of an announcement soon on its government's made £200m available to try to create a long-term future for the area and Scottish Enterprise is conducting "due diligence" on potential remaining industry will watch with interest to see if this works – and judge how "just" this transition is.
