Stockton-on-Tees Borough Council

Big plans, bright future

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Cabinet Decision: 26th November 2009
Title of Item/Report
Tees Valley Low Carbon Economic Transition Plan
Record of the Decision
Consideration was given to a report on the Tees Valley Low Carbon Economic Transition Plan.

The report explained the issues and opportunities facing a major sector of the local economy. It also explained and further developed an action plan to combat the risks and secure the benefits of a move towards a lower carbon economy.

Tees Valley and in particular the Billingham/Seal Sands/North Tees area was home to the largest integrated chemical complex in the UK. Clearly related to the complex was the third largest port in the UK, the largest hydrogen network in the UK, a national pipeline network, a world-class engineering industry e.g. K Home Engineering, Aker Solutions, which specialised in oil and gas and the maintenance and construction of heavy industrial plant and machinery. Through the Centre for Process Innovation at Wilton there was world-class expertise in innovation.

The Tees Valley had seen considerable investment in biofuels, biomass power stations and energy from waste plants. Ensus were about to open Europe's largest bioethanol plant at Wilton and the biodiesel plant at Seal Sands was one of the largest in the UK. There was a pipeline of 4 billion of capital investment which had received planning consent and was looking to invest in the Tees Valley in the medium term. In Stockton examples were Thor and Conoco Phillips proposed investment into two combined heat and power plants (1 billion), 120 million expansion of the SITA Energy at Waste plant at Haverton Hill and two biomass power stations (Gaia and Clarence Works). It was important that the pipeline of investment was turned into reality.

The Low Carbon Transition Plan sought a partnership with Government, ONE and the industry to deliver this 4 billion pipeline of investment. Key projects were carbon capture and storage of carbon dioxide under the North Sea, and the generation of green petrochemicals from biological feedstocks. These projects needed to be implemented by 2013 when carbon emissions taxation would be introduced to give the industry in the area a major commercial advantage. To achieve this Government and regulatory frameworks policy needed to support the Tees Valley and new delivery vehicles were needed to deal with infrastructure notably access to the National Grid, the creation of a robust pipeline network and strategic land acquisitions.

The Low Carbon Transition Plan would be submitted to Government through the Regional Minister.


1. The content of the report be noted.

2. The Low Carbon Economy Transition Plan be developed further.
Reasons for the Decision
To explain and note the work underway to capitalise on the opportunities for a major part of the Stockton and Tees Valley Economy.
Alternative Options Considered and Rejected
Declared (Cabinet Member) Conflicts of Interest
Councillor Cunningham declared a personal, non-prejudicial interest in respect of the item entitled Tees Valley Low Carbon Economic Transition Plan as a result of his employment as a consultant to the energy industry.

Councillor Cook declared a personal, non-prejudicial interest in the item entitled Tees Valley Low Carbon Economic Transition Plan as a result of his employment within the chemical industry, the sector upon which the plan was aimed at.
Details of any Dispensations
Not applicable
Date and Time by which Call In must be executed
Not later than Midnight on Friday 4 December 2009

Date of Publication: 30 November 2009

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