Key north-east business leaders including Sir Ian Wood are joining forces to demand the UK Government helps unlock billions in private investment by fast tracking a major energy scheme.
They want quick approval of the Acorn “carbon capture” project in Aberdeenshire after frustration at similar schemes in England getting ahead in the queue.
“Without it, there is no route for Scottish industry to decarbonise, threatening jobs and investment,” the group wrote in a letter to Chancellor Rachel Reeves, seen by the P&J.
The project is seen as a crucial way to transport climate-harming levels of carbon dioxide, storing the gas under the sea in old offshore wells.
It is linked to plans for a gas-fired power station at Peterhead.
It is also seen as key to paving the way for a viable future for jobs at Grangemouth, where about 400 are at risk.
There is growing frustration among north-east industrial leaders at the time taken to get on with Acorn Carbon Capture and Storage (CCS) project in Aberdeenshire.
They say the failure to push on with Acorn will hit industries including energy, chemicals and manufacturing with higher costs and put jobs at risk.
Sir Ian, chairman of energy transition group ETZ, said: “Acorn CCS is a crucial catalyst needed to protect skilled jobs and unlock billions of pounds in investment.
“The UK Government must act now to develop this transformational opportunity that will support industrial decarbonisation across the UK as well as much needed economic growth.”
Thousands of jobs
Acorn estimates the full project will add £17.7 billion to UK GDP by 2050, create over 10,800 jobs during construction and sustain 4,700 long-term operational roles.
Environmental groups are sceptical of carbon capture. Friends of the Earth say it props up the fossil fuel industry, takes focus of renewable energy and only hides carbon emissions, rather than actually cutting them.
The letter to Ms Reeves is also signed by Dr Liz Cameron from the Scottish Chambers of Commerce.
She said: “Scotland cannot afford further delays on Acorn CCS. The government has pledged a just transition for our workforce, but those promises must now be matched with decisive investment.”
The letter is backed by Myrtle Dawes from the Net Zero Technology Centre and Jennifer Craw from Opportunity North East.
Russell Borthwick, of Aberdeen and Grampian Chamber of Commerce, also signed the letter. He had a private meeting with Energy Secretary Ed Miliband in London in recent days.
The letter is signed by Michelle Ferguson of CBI Scotland, Maggie McGinlay, of ETZ Ltd, Sara Thiam, from Prosper, Sandy Begbie of Scottish Financial Enterprise and Catherine McWilliam, from the Institute of Directors Scotland.
The UK Government was approached for comment.
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