Ineos faces possible loss of Emissions Trading Scheme allowances due to switching to hydrogen production at a UK plant.
In the world of gas, a leading publication for industry insiders, a significant development has arisen regarding the Saltend site in Hull, UK.
Following its acquisition by Ineos Acetyls from BP in 2021, the facility at Saltend has made headlines for its impressive strides in reducing emissions. With a switch to low-carbon hydrogen, the site has managed to cut its emissions by an impressive 75%. This transition to blue hydrogen, a form of hydrogen produced with carbon capture and storage technology, was expected to secure millions in Emissions Trading Scheme (ETS) allowances for Ineos Acetyls.
However, a potential reclassification of the Saltend site as a "new installation" by the UK Environment Agency has raised concerns for Ineos Acetyls. The reclassification could impact the site's eligibility for ETS funds, potentially leading to the loss of millions in allowances for two years.
The Emissions Trading Scheme (ETS) is a system used by the UK to control pollution by allocating or selling emission allowances to industries. The scheme allows companies to trade these allowances, providing a financial incentive for reducing emissions.
If reclassified, the Saltend site would not be eligible for ETS funds until 2028. This potential reclassification has sparked concern, with Ineos Acetyls claiming that the loss of ETS allowances could have significant financial implications.
Subscribing to gas world provides access to hundreds of features, including in-depth analysis and expert insights on developments like this one. To access the full article, a subscription is required. Whether you're a gas industry professional or simply interested in the latest developments, gas world offers valuable insights into the world of gas.
Read also:
- The Cost of Speech is Zero, True Strength Lies in Unity
- Aiming to simplify the move towards cleaner automobiles, the newly established ministry plans to take direct action with Pannier-Runacher, Létard, and Vautrin at the helm.
- "The imperfect yet essential documentary, "Planet of the Humans," raises challenging and uncomfortable inquiries"
- Exciting Escapades of Tintin
