Bioethanol plant to stay closed unless change in market
7 Dec 2017
Britain’s biggest bioethanol producer, Vivergo, said it would ‘closely monitor the market’ before considering reopening its plant in Hull.
The company announced its closure recently and blamed government inaction over plans to force oil firms to include 10% of bioethanol in petrol.
“Over the past six weeks we have seen bioethanol prices fall significantly impacting Vivergo profit margins further.
"Whilst there have been some supply increases this year, the bioethanol market in the UK remains constrained by the Government’s inaction,” said the statement.
The firm added it would bring forward and also extend its yearly plant maintenance work in order to maintain employment levels.
"In the meantime, we will continue to work with all stakeholders and the Government to support the legislative process and the future roll-out of E10.
“[It is] the simplest, most readily available environmentally friendly option for consumers to help reduce the impact of road transport on our environment and providing stability and confidence in the future of the UK bioethanol industry and the jobs it supports.”
The company, which is part of Associated British Foods, employs 150 people at its sites in Hull and offices in Hessle, East Yorks.