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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 4 May 2021
  6. Current session: 13 May 2021 to 12 October 2025
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Displaying 819 contributions

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Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

You said that you have an offtake for the blue hydrogen that you produce at the plant. Is that a particularly promising area for development of the site? Looking down the line, do you have potential for much greater offtake of hydrogen?

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

Have you thought about moving to green hydrogen production? Do you have the capability to do that?

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

If you were to play back an earlier part of the meeting, you would find that one of the witnesses said that they could increase capacity at Grangemouth and use that at other sites in other areas.

We are behind the curve on the development of hydrogen and offtake in this country, but we have a huge opportunity. Yes, currently, production takes place at the site and the offtake is at the site, but it was mentioned that the capability is there—with the right policies and the right support—to develop more for other areas.

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

Just to be clear, the blending level is around 10 per cent currently but it could go up to 20 per cent. Is that right?

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

I have a final small question on an issue that has been niggling away at me for some time. Did the hostility that seems to be being heaped on the oil and gas industry at the moment have any impact on the decision-making process?

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

Thank you.

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

There is an interesting web, if you like. We will not be refining crude in Scotland any more, so there will be a reduction in carbon production, but crude will still be refined—we will be offshoring our carbon production by refining crude somewhere else. That is the overall reality.

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

The main barrier to hydrogen is potentially the offtake. That was also mentioned earlier. The Scottish Government is investing in the development of green hydrogen, and has a fund for that, as does the UK. I am pleased to hear that the two Governments are starting to work closer together to develop that. The main issue is offtake. If there is no offtake, the site will not develop hydrogen.

I totally accept that the UK Government is not moving quickly enough on SAF, and that we will end up importing far too much of it, as we discussed at committee last week. However, I put it to you that the Scottish Government needs to ensure that the site at Grangemouth is utilised to its fullest extent. The level of capex to develop the facilities from scratch probably goes beyond what we would find possible. Therefore, to decarbonise, we will have to utilise the site to its fullest. What support does the Scottish Government need to provide to ensure that that happens?

Economy and Fair Work Committee

Petroineos Grangemouth

Meeting date: 13 December 2023

Brian Whittle

Good morning, cabinet secretary. As we heard earlier, the wider impact of the closure on the decarbonisation programme is, as I would argue, the opposite. There is a carbonisation, if you like, with the offshoring of refining and the importing of the refined product into Scotland. To combat that—this follows on from Murdo Fraser’s questions—we need to develop the site. It is a major industrial hub and one of the biggest in Scotland. Ineos is already working with blue hydrogen, and the previous panel talked about potentially going into green hydrogen. We have also talked about the development of SAF. However, one of the biggest barriers to the development of hydrogen at scale is the initial capex that is required to develop the size of site that is required. The infrastructure is there, as are the skilled workers.

Something else that Ineos said this morning that came over loud and clear to me was that Government policies, decisions and support will need to move much more quickly to allow the jobs to be there for the workers who are going to lose their current jobs. You said that you are already creating jobs. I spoke to a recruitment company that is currently stripping out the oil and gas sector in the North Sea, and it is almost exclusively going abroad. We need to move more quickly on that.

What is the Scottish Government doing to ensure that we develop the site into a hydrogen hub, a SAF hub and an import hub?

Economy and Fair Work Committee

Glasgow Prestwick Airport

Meeting date: 6 December 2023

Brian Whittle

I am happy to do that. Again, I spent some time with NATS last week to understand exactly what is required from a radar system from its perspective. However, that is not just at Prestwick; it is a network of radar systems across Scotland.

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