Six projects seeking to cut industry carbon emissions get funding boost


Six projects across the UK are set to receive a share of £8 million in government funding to develop decarbonisation plans as part of a drive to create the world’s first net zero emissions industrial zone by 2040.

A net zero industrial zone will see all industries in a region collectively reducing their carbon dioxide emissions to as close to zero as possible using low-carbon energy sources and new technology like carbon capture.

The six projects in the West Midlands, Tees Valley, North West, Humber, Scotland and South Wales will see local authorities working with industry to develop plans to reduce carbon emissions.

Energy Minister Kwasi Kwarteng commented on the announcement: “The UK is leading the world’s green industrial revolution, with ambitious targets to decarbonise our economy and create hundreds of thousands of jobs.

“As we continue to level up the UK economy and build back greener, we must ensure every sector is reducing carbon emissions to help us achieve our commitment to net zero emissions by 2050.

“This funding will help key industrial areas meet the challenge of contributing to our cleaner future while maintaining their productive and competitive strengths.”

The six winners have produced initial plans for reducing emissions across major industrial clusters across the UK, and will now produce detailed plans for reducing emissions across major areas of industrial activity, where related industries can benefit from shared clean energy infrastructure, such as carbon capture, usage and storage and low-carbon hydrogen production and distribution.

Regional cluster leads

  • in the West Midlands, the cluster plan is led by Black Country Consortium
  • in the Tees Valley, the cluster plan will be overseen by the Tees Valley Combined Authority
  • in the North West of England and North East Wales, the cluster plan will be led by Peel Environmental
  • in the Humber it will be led by the Humber Local Enterprise Partnership
  • NECCUS, an alliance of industries and experts, will lead in Scotland
  • in South Wales, the cluster plan will be led by CR Plus consultancy

The new funding announced on Saturday is part of the latest phase of government’s £170 million Industrial Decarbonisation Challenge.

The funding for the £170 million Industrial Decarbonisation Challenge is being made through the UK Research and Innovation’s Industrial Strategy Challenge Fund.

More information about the individual projects is available on the government website.