Energy Secretary Ed Miliband has expressed disappointment at Petroineos’ decision to close its Grangemouth oil refinery.
The UK and Scottish Governments have today announced a £100 million investment plan aimed at supporting the site’s future and assisting the local community.
Petroineos has confirmed that the refinery will cease operations by the second quarter of 2025.
The decision follows years of financial losses and increasing competition from more modern facilities abroad.
The company has reported a loss of over $775 million (£593m) since 2011, despite investing more than $1.2 billion (£920m) to maintain the site.
The £100 million investment package features £20 million in newly announced joint funding from the UK and Scottish Governments, in addition to an earlier commitment of £80 million from both governments for the Falkirk and Grangemouth Growth Deal.
This funding is aimed at supporting the local community and workforce by investing in regional energy initiatives.
UK Government Energy Secretary Ed Miliband said: “It is deeply disappointing that Petroineos have confirmed their previous decision to close Grangemouth oil refinery.
“We will stand with the workforce in these difficult times, that is why we are announcing a package of investment to help the workforce find good, alternative jobs, invest in the community and serve a viable industrial future for the Grangemouth site, with potential for future support from the National Wealth Fund.”
Scottish Government Cabinet Secretary for Net Zero and Energy Gillian Martin said: “My immediate thoughts are with the workforce.
“This is a very challenging time for them and their families, and we will support every worker affected by this decision.”
