Vivergo: How US-UK trade deal could bring about collapse of huge renewable energy plant in Hull
The plant faces closure due to £3 million monthly losses and competition from 1.4 billion litres of tariff-free US ethanol under a recent trade deal, risking 160 jobs.
- The Vivergo bioethanol plant in Hull faces closure amid government talks as it struggles against a US-UK trade deal removing a 19% tariff on American ethanol.
- The plant's difficulties stem from cheaper, less regulated American imports allowed tariff-free to enter the UK market, severely undercutting British bioethanol producers like Vivergo.
- Vivergo, which processes over 3,000 tonnes of wheat daily from 4,000 farms into bioethanol that decarbonises transport, has ceased production and is losing about £3 million monthly.
- Managing director Ben Hackett warned that without swift government intervention, 160 employees could lose their jobs and the UK market would be dominated by producers based in the US.
- Closure would risk 80% of Britain's bioethanol output, threaten local jobs, and jeopardise a planned Sustainable Aviation Fuel facility, highlighting the need for urgent regulatory and financial support.
7 Articles
7 Articles
UK bioethanol business faces collapse after authorities rejects rescue
Simon Jack & Lucy HookerEnterprise editor & Enterprise reporter Vivergo The UK’s bioethanol business faces collapse, after a authorities choice to not provide the sector a rescue package deal. The nation’s two main producers, Hull-based Vivergo Fuels and the Ensus plant in Redcar on Teesside, had each beforehand warned that with out authorities help they’d be pressured to shut, after a deal to permit US ethanol to be imported tariff-free. Rela…
Vivergo: How US-UK trade deal could bring about collapse of huge renew
The smell of yeast still hangs in the air at the Vivergo plant in Hull but the machines have fallen quiet. More than 100 lorries usually pass through here each day, carrying 3,000 tonnes of wheat. It is milled, fermented and distilled. The final product is bioethanol, a renewable fuel that is then blended into E10 petrol. This is a vast operation. It took several years to build, with considerable investment, but it is on the verge of closing do…
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