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UK’s Energy Capital Maps Out Low Carbon Vision

16/06/2022

The Milford Haven Waterway Future Energy Cluster, representing the UK's energy capital, has outlined a vision for a low carbon future at the first of two events planned this year.

At a Westminster launch event on 14th June hosted by Preseli Pembrokeshire MP Stephen Crabb, the Cluster – a coalition of energy companies, renewable developers, green technology innovators, Pembrokeshire County Council and the Port of Milford Haven – outlined how it will play a pivotal role in delivering the UK’s Net Zero ambitions through continued investment and evolution over the next 30 years.

A second event later this year will see the vision outlined at the Senedd alongside Welsh Government Ministers, Senedd Members and Welsh industry leaders.

During the reception in the House of Commons, the Cluster outlined a pathway to support at least 20% of the UK's hydrogen production and 10% of Floating Offshore Wind (FLOW) targets, which were outlined in the recently published British Energy Security Strategy. Continued utilisation, adaptation and innovation in the Haven will also support the development of low carbon liquid fuels, CO2 shipping, marine renewables and energy storage.

The Milford Haven Waterway Future Energy Cluster also demonstrated to government, political and industry representatives how its whole energy cycle solution has a pivotal role to play in supporting an accelerated transition while stimulating substantial economic growth.

Early economic analysis undertaken for the Cluster by Cardiff Business School indicates that its vision could add an additional 3,000 Welsh jobs to the 5,000 already supported by the Milford Haven Waterway energy sector.

To deliver this vision and unlock substantial international private sector investment, the Cluster called on the UK and Welsh Governments, National Grid, The Crown Estate and OFGEM to support the future success of this critical national energy asset by:

  • Expanding South Wales’ Grid capacity by 10GW by 2030
  • Implementing a fast-tracked consenting regime
  • Backing a South Wales Green Freeport bid
  • Introducing mechanisms to de-risk the Celtic Sea FLOW opportunity
  • Backing a South Wales FLOW infrastructure bid
  • Supporting the Milford Haven Waterway SuperPlace ambition, including both blue and green hydrogen
  • Supporting prioritisation of South Wales in National Grid’s Project Union
  • Supporting a BEIS Cluster Sequencing Track 2 bid
  • Incentivising the production and use of low carbon fuels
  • Backing Skills Accelerator and Supply Chain Accelerator programmes.

 Speaking on behalf of the Haven Waterway Future Energy Cluster, Tom Sawyer, CEO at the Port of Milford Haven, said:

“By the 2040’s the Milford Haven Waterway aims to be a significant exporter of low carbon electricity and hydrogen, and a globally recognised example of a low carbon, smart energy system fully capable of supporting society’s energy needs reliably, cost effectively and with significantly reduced emissions.

We’re proud to be working collaboratively as part of the South Wales Industrial Cluster (SWIC) and the Celtic Sea Cluster (CSC).  Our collective vision will not only contribute significantly to the country’s Net Zero goals, but it will create around 3,000 Welsh jobs, boost pay and productivity, create new and exciting career opportunities and improve living standards for the people living and working in our region: today and for future generations.

We’re delighted to have had the opportunity to share our vision in Westminster and look forward to our next launch at the Senedd.”

Rt Hon Greg Hands MP, Minister for Energy, Clean Growth and Climate Change, welcomed the Cluster’s vision, saying:

“From floating offshore wind to hydrogen, the Milford Haven Waterway Future Energy Cluster will bring thousands of jobs and growth to South Wales. This will cement the region’s position as a leading player in delivering clean, affordable, home-grown energy for Britain.”

Rt Hon Simon Hart MP, Secretary of State for Wales, said:

“It’s fantastic to hear the ambition for the future of the Milford Haven Waterway. The Waterway is already vital to the prosperity of south west Wales and the UK energy supply and now there’s potential to transform it into a vital player in our energy future.

These plans will secure jobs, contribute to our net zero ambitions and reduce our reliance on foreign energy supplies, all of which are at the heart of the UK Government’s ambitions for the people of Wales.”

Rt Hon Stephen Crabb MP (Preseli Pembrokeshire), said:

“It was great to welcome so many of the key players in our local energy sector to Parliament today. With its energy-rich heritage, and strategic national importance, the Port of Milford Haven is well-placed to be at the forefront of the transition to a low carbon future.”

“This ambitious vision will bring a whole host of benefits both nationally, and locally, not least through the creation of high skilled green jobs and apprenticeship opportunities for the people of Pembrokeshire.”

-ENDS-

Photo: Members of the Milford Haven Waterway Future Energy Cluster were joined by Secretary of State for Wales Rt Hon Simon Hart MP and Rt Hon Stephen Crabb MP as they unveiled their vision for an accelerated Net Zero future at the Houses of Parliament

Manifesto: Milford Haven Waterway Future Energy Cluster Manifesto for an accelerated Net Zero future

Multimedia file: Milford Haven Waterway Future Energy Cluster – Delivering an accelerated transition to a Net Zero future: Milford Haven Waterway Future Energy Cluster - Delivering an accelerated transition to a Net Zero future on Vimeo

Notes to editors

  1. The Milford Haven Waterway is a critical energy asset primed to provide the foundation of UK energy independence. It is home to two LNG terminals supplying a third of the UK’s gas, one of Europe’s largest oil refineries (supplying over 14% of UK transport fuel) and a Combined-Cycle Gas Turbine plant (one of Europe’s largest and most efficient, powering around 4 million homes). Investment in the Celtic Sea renewables opportunity is advancing dramatically with developers working on large scale floating offshore wind farms and in delivering tidal and wave technologies. And the Waterway is already test bedding hydrogen initiatives that will provide a consistent supply of hydrogen giving rise to a thriving local hydrogen economy able to export its talent and innovation worldwide.
  1. The Milford Haven Waterway Future Energy Cluster members include Blue Gem Wind, Cambrian Offshore, DP Energy, Dragon LNG, ERM, Marine Energy Wales, Offshore Renewable Energy Catapult, Pembrokeshire County Council, Port of Milford Haven, Prosperity Energy, RWE, South Wales Industrial Cluster and Valero.
  1. On 7 April 2022, the UK Government published its Energy Security Strategy (here). The key aim of the strategy is for the UK to achieve long-term independence from foreign energy sources and decarbonise the nation’s power supply. The Strategy reinforces the UK Government’s commitment to decarbonisation, with an ambitious new target for offshore wind by 2030 and a doubling of the previous target for hydrogen production in the same time frame. The UK Government sees oil and gas as an important transition fuel and has set out plans to increase activity in the UK North Sea.
  2. The Welsh Government’s Net Zero Wales Strategy seeks to reduce carbon emissions to reach net zero by 2050, and outlines plans to invest in skills to take advantage of the potential economic opportunities of decarbonisation, to invest in new renewable energy technology to add 1GW of renewable energy capacity by 2025.

Press Contact

Anna Malloy, Stakeholder Engagement and Communications Manager,

Port of Milford Haven

E: anna.malloy@mhpa.co.uk 

T: 07813 554446

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