Warning as first bioethanol shipment despatched

Mar 1 2010 by Kelley Price, Evening Gazette

THE first shipment of bioethanol has been despatched by Europe’s largest wheat refinery on Teesside.

Tanker Clipper Nelly left Vopak’s North Tees terminal loaded with bioethanol product from Ensus.

As it set a course for a more prosperous future for Teesside’s biofuels industry, though, Ensus boss Alwyn Hughes warned that future expansion was unlikely in the UK if financial support was not forthcoming.

Ensus’s £300m plant at Wilton went into production last month, making green road fuel, valuable animal feed and for the drinks industry from surplus wheat supplies.

Bosses are hoping the 400 million litre plant will be operating at full capacity by the end of next month.

However plans to open a second plant could be realised in Europe, not the UK.

Mr Hughes said European authorities had come up trumps with offers of support if the company built a plant on the continent.

“We are running late and our cash is tight,” he said.

“If we are going to generate investment and move forward quickly, we’re going to need government help. We have been offered help from European governments.

“The UK Government has pledged £60m towards the green economy (on Teesside), but there has been nothing tangible yet. We would be very keen to invest in the UK. We’ve the capability to do so, but we will need clearly visible government support.”