Under the development plan the ports company ABP will build a £100 million deepwater berth capable of handling the new generation of large offshore wind developments.
Business Secretary Vince Cable said:
“The transition to a green economy presents significant growth opportunities both in the UK and abroad. The UK has the sixth largest low carbon economic goods and services market in the world.
“The offshore wind sector has the potential to create 70,000 jobs in the UK. We are committed to making sure that UK businesses get a headstart and seize those opportunities now.”
Vince Cable will this afternoon visit Tata Steel in Scunthorpe and meet members of the Tata Steel Economic Response Task Force and the chair John Clugston.
The Business Secretary set up the Taskforce in May after Tata Steel announced restructuring plans.
Vince Cable said:
“Tata Steel has had to make tough decisions in respect of the workforce in its Long Products business but we have welcomed its plans to invest up to £400 million to make the company more competitive.
“I look forward to having a constructive meeting today with members of the Taskforce and chair John Clugston. I have been impressed by what I have heard so far on their plans to make Scunthorpe a good place to do business and encourage job creation and investment.
“We have already deployed the JobCentrePlus Rapid Response Service to provide support to those workers who will unfortunately lose their jobs and we welcome Tata Steel’s cooperation. We will continue to work with them on this.”
Notes to Editors
- ABP is Britain’s largest and leading ports group handling around 150 million tonnes a year and employing nearly 2,000 staff across the business. ABP owns and operates 21 ports in England, Scotland and Wales: Ayr, Barrow, Barry, Cardiff, Fleetwood, Garston, Goole, Grimsby, Hull, Immingham, Ipswich, King’s Lynn, Lowestoft, Newport, Plymouth (Millbay), Port Talbot, Silloth, Southampton, Swansea, Teignmouth and Troon.
- Siemens signed a memorandum of understanding with ABP on a proposed Green Port development at the Alexandra Dock Hull. Under the plan ABP will build a £100 million deepwater berth capable of handling the new generation of large offshore wind developments.
- Siemens also plans to invest £80 million in a wind turbine factory employing 700 people which is expected to be operational by 2014. Hull City Council believes this investment could bring up to 10,000 new jobs to the area to support offshore developments and renewable energy opportunities.
- The Department for Energy and Climate Change has set aside up to £60 million to help secure investment into offshore wind manufacturing infrastructure at English ports in assisted areas, so we can get factories built and ready to supply the huge increase in offshore wind.
- The Siemens/Green Port size is one of the locations in the Humber LEP’s Enterprise Zone bid.
- Tata Steel is proposing to scale back production at its Long Products business to better align it with current and projected demand, particularly from the construction sector. It is therefore proposing to mothball a blast furnace (running only two at the site), close its bloom and billet mill, and review its bloom and billet caster operations at Scunthorpe. It is also proposing to alter manning levels at Scunthorpe and Teesside. This puts at risk 1,500 jobs (of which 1,200 in Scunthorpe). However Tata Steel is also investing £400 million over five years to improve reliability, competitiveness and to secure access to new markets.
- In response to these job losses, the Business Secretary Vince Cable set up a Tata Economic Response Task Force. It is led by local businessman John Clugston, Chairman of the Clugston Group and has representatives from North Lincolnshire Council, Hull and Humber Chamber of Commerce, Tata Steel, Engineering Employers Federation, UK Steel Enterprise Ltd, BIS Local YH NE (Secretariat to the Task Force). John Clugston is also interim private sector chair of the new cross-Humber Local Enterprise Partnership.
- The Taskforce had its initial meeting on 27 May, has met twice since with the last meeting on Friday 1 July and has two further meetings scheduled for 22 July and 26 August.
- BIS’s online newsroom contains the latest press notices, speeches, as well as video and images for download. It also features an up to date list of BIS press office contacts. See http://www.bis.gov.uk/newsroom for more information.
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