Summary
The operators of the UK’s largest bioethanol facilities have expressed concern that the recent UK-US trade deal poses a serious risk to their industry, threatening thousands of jobs. The trade deal includes provisions that could severely undermine domestic bioethanol production, which is critical for reducing carbon emissions and supporting local agriculture.
Paul Kenward, CEO of ABF Sugar (owner of Vivergo) and Grant Pearson, chairman of Ensus, have expressed dismay over the zero-tariff quota on American ethanol, which they argue will disrupt the UK market. This shift comes after years of government delays in implementing biofuel mandates, compelling local producers to scale back their operations significantly.
Key Points
- The UK-US trade deal introduces a zero-tariff quota for American ethanol that matches the entire UK market, potentially sidelining domestic producers.
- Vivergo and Ensus represent nearly all of the UK’s bioethanol production capacity with operations linked to thousands of jobs, particularly in North East England and Yorkshire.
- Bioethanol is crucial for the UK’s decarbonisation strategy, being a key component in petrol blends that reduce emissions and create high-protein animal feed as a by-product.
- The operators highlight that government action is needed urgently to prevent the collapse of the bioethanol sector and maintain self-sufficiency in ethanol production.
- Officials assert that the trade deal was designed to secure jobs across several industries but may endanger jobs in the bioethanol sector instead.
Why should I read this?
If you care about the future of green jobs and sustainable energy in the UK, this article is essential. It highlights the imminent challenges the bioethanol industry faces due to the recent trade deal, which could lead to job losses and environmental setbacks. By staying informed, you’ll understand the broader implications for our economy and environment and why it matters to all of us.