Labour powers up
15 Jan 2000
The government has authorised the building of a 1200MW power station at Saltend near Hull, using gas-fired combined heat and power technology. The station will supply process steam and electricity for BP's nearby refinery and chemicals complex.
Science and industry minister John Battle gave a green gloss to the project, saying that 'combined heat and power generation increases fuel efficiency and has economic and environmental benefits.' He indicated that similar schemes are likely to get the nod from the government in future.
The plant is to be built by a US utility company, Entergy Power, and will cost some £300million. Less than 10 per cent of its output will go to the BP complex; the rest will go to the merchant market, whose proceeds will help fund the project. BP will supply the fuel for the plant, from its Southern North Sea rigs, saving a considerable amount in distribution and transmission charges.