The UK is increasing financial support to help transition Scotland’s Grangemouth oil refinery to a low-carbon future.The government announced an extra £200 million ($253 million) for the site, set to stop oil refining this year.
However, private sector investment is required to access the funds.As diesel and gasoline production ends, Grangemouth may shift to producing sustainable aviation fuel, made from used cooking oil and vegetable oils.
The UK mandates airlines use 2% of such fuel this year and aims to have five production plants under construction by 2025.On Sunday, Prime Minister Keir Starmer unveiled additional funding to support the transition of the Grangemouth oil refinery, building on previously committed financial assistance.
This latest investment underscores the government’s commitment to ensuring a smooth shift toward a low-carbon future for the site.As part of these efforts, a previously launched initiative known as Project Willow has been tasked with exploring and identifying commercially viable opportunities for Grangemouth’s future use.
According to an official government statement, the project is expected to present its findings in the spring, offering insights into potential new industries or energy solutions for the site.Meanwhile, Ineos, the company that operates the Grangemouth oil refinery, will continue its chemical manufacturing operations at the facility, maintaining a key industrial presence in the region even after oil refining comes to an end.
