Published by Insider Media Limited
AGREEMENT REACHED FOR CO2 SUPPLY
The carbon dioxide industry has reached an agreement to ensure that UK businesses have access to a sustainable supply of CO2.
The deal will enable CF Fertilisers' Billingham plant to continue operating while global gas prices remain high, meaning that sectors including food processing and nuclear power are ensured supplies of CO2.
In September 2021, the government provided limited financial support for the Billingham company's operating costs for three weeks.
Industry then came to an agreement in October without taxpayer support to ensure CF Fertilisers on Teesside could continue to operate for 3 months.
The government said that, longer term, it would like to see the market take measures to improve resilience, and added that it is engaging on ways this could happen.
Tees Valley Mayor Ben Houchen said: "I am delighted that an agreement has been reached that will keep CF Fertilisers operational, this will be a huge relief for the hundreds of Teessiders that work for the firm at their Billingham plant.
"Since the company temporarily stopped production is September last year, I've been working closely with both CF and the government to reach a long-term sustainable solution and will continue to do so.
"Today's deal will give certainly to both local workers and those industries that rely on carbon dioxide, especially those involved with food production."