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PD Ports secures £230 million investment to bring advanced waste-to-energy plant to the Tees Valley

Posted on 11 November 2020

PD Ports secures £230 million investment to bring advanced waste-to-energy plant to the Tees Valley

PD Ports, owner and operator of Teesport, has entered into an agreement with Wentworth Clean Power Limited (WCP) to bring a £230 million, state-of-the-art, waste-to-energy project to Teesside.

WCP, developers of advanced waste-to-energy projects in the UK, together with its partners, will develop, finance and deliver the project on Dockside Road, to the south of Teesport Commerce Park.

The advanced project, which will be named the Teesport Renewable Energy Centre, will sit on a 9-acre footprint and create between 250-300 full time jobs during construction, with a further 40 permanent jobs created when the plant becomes operational – which is expected to be in the second half of 2024.

The sustainable plant will utilise a variety of waste streams, characterised by rigorous environmental credentials, and employ proven technologies from first-class providers, positioning PD Ports, and the Tees Valley, at the forefront of the clean energy sector.

Michael McConnell, PD Ports Group Property Director, said, “We are delighted to have signed this agreement to bring such a large and important investment to the Tees Valley and look forward to working with WCP and its partners to progress the project and bring the waste-to-energy plant to fruition.

“This huge private investment from outside of the UK further demonstrates our trusted and proven track record when it comes to delivering large-scale projects, investments and real jobs to the region, whilst reinforcing our commitment to environmentally sustainable practices.”

The plant, when complete, will have an annual capacity of 300,000 tonnes of feedstock and deliver an electrical output of 30 megawatts – enough to power up to 27,000 homes with the potential to provide decentralise energy to existing and planned industrial users via combined heat and power.

Philip Spanos, CEO of WCP, commented, “WCP is truly delighted to enter into this partnership with PD Ports for the development of such an exciting project on their land.

“PD Ports is an extremely supportive, mature and experienced landowner, who fully understand the complexities of developing such projects.

“WCP looks forward to playing its role, alongside PD Ports and local stakeholders, in contributing to the realisation of the immense potential of the Tees Valley as host to this project and the pool of highly skilled labour for its construction and operation.

“We also hope, through the guidance of Redcar and Cleveland Council as the Local Planning Authority, to contribute actively to the local area.”

James Ramsbotham, Chief Executive of the North East Chamber of Commerce, said, “This announcement is such welcome news on many levels. Attracting such investment at this time of global crisis is a testament to the strength of the region and these jobs are so important to our community.

“Our collective commitment towards Net Zero remain a top priority and this project will bring us closer to delivering a more sustainable and greener economy for the future. We hugely congratulate PD Ports and everyone involved with this development - it will be a huge morale boost for our area.”

The next steps for the project is to hold discussions with Redcar & Cleveland Borough Council, the local Planning Authority, to formulate, prepare and submit a full application for consideration so that construction can commence.

Leader of Redcar & Cleveland Borough Council, Mary Lanigan, said, “This is a major investment proposal which has the potential to bring the kind of high quality jobs we need, subject to planning approval. We have a world-class port in our borough and it is wonderful to see its owners, PD Ports, securing further inward investment for our region.

“I’d like to congratulate both WCP and PD Ports and, as a very business-friendly authority, we look forward to continuing to work with everyone concerned.”

Throughout negotiations, which have taken place over the last 18 months, PD Ports was advised by Jacksons Law Firm whilst WCP was advised by Slater Heelis LLP, Manchester.