Business
Carbon capture option Pembroke Power Station
RWE, who operates Pembroke Power Station, has signed a contract with Fluor – a global engineering and construction firm that specialises in carbon capture projects. The project will investigate the feasibility of retrofitting post-combustion capture of carbon at Pembroke Power Station. The study is expected to take six months, completing in early 2023.
This feasibility study is part of RWE’s ambitious decarbonisation plans centred around the Pembroke Net Zero Centre, which brings together knowledge and expertise from across RWE’s offshore wind, gas-fired generation and hydrogen businesses to develop green energy solutions for both Pembrokeshire and the South Wales region. This is the second project to come out of RWE’s Pembroke NetZero Centre (PNZC), which launched earlier this year.
This report will form part of the analysis required for RWE to participate in the UK Government’s carbon capture, usage and storage (CCUS) cluster sequencing process. This was a commitment to deploy CCUS in a minimum of two industrial clusters by the mid-2020s, and four by 2030 at the latest in support of the UK’s transition to net zero.
RWE is developing options for the decarbonisation of its 2.2 gigawatt gas-fired Power Station in Pembroke, among them post-combustion carbon capture and the introduction of hydrogen as a clean fuel. Pembroke’s South Wales location provides it with the unique advantages of being within an industrial hub and creating collaboration opportunities with partners from within the South Wales Industrial Cluster (SWIC) who together cover the full low carbon value chain, including – from the necessary ship transport and storage of CO2 to the supply of clean hydrogen.
Richard Little, Director of the Pembroke Net Zero Centre , said: “RWE is committed to decarbonising its business by 2040, a date that in the UK fits nicely alongside the Government’s ambition for a net zero power sector by 2035. Through our PNZC we will create a hub for our green energy projects, including the development of floating wind in the Celtic Sea, the development of a hydrogen electrolyser and decarbonisation of Pembroke Power station through a mixture of carbon capture and hydrogen fuel. We are already working with South Wales businesses to help them meet their decarbonisation targets, while supporting the Welsh Government to achieve its ambitions for Net Zero.”
Julian Marschewski from RWE Generation’s Strategic Development department , said: “Kicking off this technical feasibility study with Fluor is an important step towards creating tangible options for our lighthouse decarbonisation project at Pembroke. The experience gained will also give us a better understanding on how to decarbonise RWE’s wider fleet of gas-fired assets.”
RWE is at the forefront of green innovation and is aiming to invest £15 billion in the UK in green energy projects by 2030. The company has a wealth of knowledge and experience in the development of hydrogen projects across Europe, and at the same time creating skilled green jobs.
The feasibility study has been partly funded by South Wales Industrial Cluster; a consortium of Wales’s major industry, energy, infrastructure, law, academic and engineering organisations of which RWE is a key member. The cluster was successful in securing support from the public and private sector to develop a range of partner decarbonisation deployment projects for the region.
Business
Stena announces redundancy plan amid uncertainty for Pembrokeshire
FREIGHT carrier and ferry operator Stena Line, which runs services between Fishguard and Pembroke Dock, has announced plans to cut up to 80 staff members following an internal review.
Uncertainty looms over whether any of these redundancies will impact staff operating our local ferry services.
Stena CEO Paul Grant shared the news in an email to employees on Monday, citing a need to “future proof the company.” He explained that an internal assessment revealed the company’s current organisational structure as “too big and expensive” compared to its revenue.
The decision comes amid rising costs and increased competition in the freight and travel sectors.
According to Mr. Grant, “Cost pressure due to higher inflation has led to our customers having less money to spend, and with the introduction of the European Emission Trading Scheme (ETS), increasing our prices, we see a decline in volumes for both travel and freight.” Additionally, disappointing sales during the summer season and unmet market growth expectations for 2024 contributed to the restructuring.
The program, designed to strengthen Stena’s long-term business viability, includes a reduction of costs, prioritization of investments, and staff cuts that will primarily impact support functions and consultants. The workforce will be reduced by 80 positions by early 2025, along with 30 consultants also set to leave the company. Discussions with unions and work councils are expected to last several months, with all affected staff to be informed of their status by January 31, 2025.
In response to this announcement, the Transport Salaried Staffs’ Association (TSSA) has demanded a meeting with Stena Line to clarify the impact of these cuts, particularly on their members.
TSSA General Secretary Maryam Eslamdoust expressed disappointment over the handling of the announcement, stating: “Our members are shocked by this news and outraged that Stena has chosen to sidestep established industrial relations processes. Stena must meet with us urgently to clarify who is at risk and address the potential impacts on our members.”
The layoffs are part of a broader restructuring effort aimed at securing Stena Line’s future amid sustainability challenges. CEO Niclas Mårtensson acknowledged the difficult decision, stating, “Stena Line has been a successful company over the past few years; however, we need to ensure a lower cost base to be able to future proof the company. With 40 vessels in Europe and the Mediterranean, we have significant sustainability challenges ahead of us, and this program will enable us to make necessary investments for the future.”
The TSSA’s letter to Stena reiterates the union’s commitment to supporting affected employees and calls for an immediate discussion to clarify the situation, especially for staff at Fishguard who may be impacted.
Business
Wales powers ahead with approval of landmark onshore wind project
THE WELSH GOVERNMENT’S Cabinet Secretary for Economy, Energy, and Planning has granted approval for the Twyn Hywel Energy Park, a pioneering project by renewable energy developer Bute Energy. Set across the Caerphilly and Rhondda Cynon Taf County Boroughs, this development will feature 14 wind turbines generating 92.4 MW of clean energy—enough to power approximately 81,000 households annually.
Twyn Hywel Energy Park is part of Bute Energy’s ambitious network of energy parks across Wales, representing a £3 billion investment with the potential to generate over 2 gigawatts of renewable power. This clean energy output could supply 2.25 million homes and offset around 5.7 million tonnes of carbon dioxide emissions—equivalent to removing all cars from Caerphilly County Borough’s roads each year.
This project will mark Wales’s first onshore wind construction since 2020, symbolizing a renewed commitment to sustainable energy.
Stuart George, Managing Director of Bute Energy, said: “Onshore wind represents the cheapest, cleanest, and quickest route to generating clean energy and ending our reliance on fossil fuels. Wales is primed to lead and benefit from the shift to renewable energy through significant direct investment, new jobs, and investment in local communities. Bute Energy is dedicated to creating a lasting legacy of skills, opportunities, and investment for Wales. Our Community Benefit Fund, skills initiatives, and collaborative approach with communities will help keep as much of the investment in Wales as possible.”
Bute Energy has established a Community Benefit Fund worth over £30 million across the 40-year lifespan of its projects. Designed with input from local communities, the fund aims to support local groups, charities, and services in sustaining and growing their work to meet community needs. Additionally, the company has embedded a 2% Social Value Standard into every contract, ensuring investments flow into local economies during the energy park’s construction and beyond.
The project is anticipated to create hundreds of jobs in Wales, generating millions in local economic benefits. Construction is scheduled to commence in 2025, with completion targeted for 2027. Bute Energy plans to maintain ongoing consultation with local authorities and communities throughout the development process.
Business
Big change expected to be backed for Pembroke Power Station facility
PLANS for a green hydrogen production facility by Pembroke Power Station, which the applicants say “can establish Pembroke at the forefront of south Wales’ low carbon future,” and create new jobs are expected to be backed next week.
An application by Pembroke RWE Generation UK plc for the construction of a green hydrogen production facility with electrolysers, hydrogen gas storage, HV transformer and electrolyser control building, and hydrogen gas pipeline offtake; together with associated infrastructure, including water supply pipeline to the Pembroke Power Station and electrical supply connection to the National Grid Substation on land adjacent to Pembroke Power Station is recommended for conditional approval at the November 5 meeting of the county council’s planning committee.
The electrolyser site was previously occupied by the power station’s sports and social club.
A report for planners states: “A green hydrogen facility is proposed that would comprise the main electrolyser area, a hydrogen gas pipeline corridor, an electrical connection to a high voltage transformer and an area for connections into the Pembroke Power Station and a cable corridor for connection into the National Grid Substation.
“The electrolyser is planned to be powered with ‘low carbon electricity supplied primarily via grid connected renewables’ and will create ‘green hydrogen’ for use in industrial processes. Water for the electrolyser will come from existing power station supplies.
“The pipeline corridor would supply hydrogen gas to the Valero Refinery. The pipeline corridor would follow the route of an existing natural gas pipeline. Most of the pipeline corridor would be underground, passing across farmland and a wooded area. It will emerge above ground within the Valero Refinery. The working width of the construction area for the pipeline is expected to be approximately 30m.
“The applicant states that some of the final design aspects and features of the proposed development within the electrolyser site ‘cannot be confirmed at this design stage as these depend on the appointment of an Engineering, Procurement and Construction (EPC) contractor. This may include the heights of buildings, structures and plant and the arrangement of features defined by zones’, nevertheless the maximum height of the flare stack would be 25m and the electrolyser building and compressor building would be up to 17m in height. All other equipment would be of lower height than the electrolyser building.”
The report also quotes from the applicant: “The proposed development forms part of the Pembroke Net Zero Centre (PNZC) initiative which will see RWE diversify its energy generation portfolio to demonstrate a pathway towards decarbonisation.
“RWE’s vision for the PNZC has a critical role to play in Wales’ and the UK’s pathway to Net Zero. By decarbonising its current operations at the power station, while investing in new innovative technologies at the development site, RWE can establish Pembroke at the forefront of South Wales’ low carbon future. The proposals for RWE Pembroke Green Hydrogen form part of this ambition.
“By bringing together technologies such as hydrogen production, carbon capture and storage, battery storage and floating offshore wind to the Pembroke area, RWE can help to decarbonise the energy sector in Wales for generations to come. RWE’s ambitions will build on Pembrokeshire’s local energy heritage, safeguarding existing jobs at the development site, while delivering a significant local economic investment and creating new jobs throughout construction and operation.”
The facility is expected to take 24 months to build, subject to approval, an earlier consultation on the scheme said, and could be built by early 2027.
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