Credit: SSE and CCR Energy
Energy giant announces MoU with Cardiff City Region Energy that could see former coal power plant site become major clean tech facility
SSE Energy Solutions has today announced an agreement with Cardiff City Region (CCR) Energy to explore innovative green and clean tech solutions that could enable a new energy hub at the old Aberthaw coal power plant in South Wales.
The pair have inked a Memorandum of Understanding (MoU) which could see SSE invest in new power network, heating and cooling, electric vehicle charging, and generation and storage technologies at the site.
The CCR City Deal vehicle purchased the Vale of Glamorgan plant from previous owners RWE in 2022 for a reported £8m after the 1,560MW coal powered plant ceased generating in 2019. It was RWE's last coal-fired station in the UK and the closure marked a major milestone in the UK's cola power phase out.
The £1.2bn City Deal subsequently created CCR Energy and allocated upwards of £30m to demolish and clear the 500-acre site for redevelopment into an hub for green energy production in the region.
According to CCR's proposed Master Plan the site will seek to support a number of green energy projects and accompanying battery storage systems, a zero-carbon manufacturing cluster including green hydrogen facilities, a green energy innovation centre, and an ecology park.
CCR also hopes the facility can help create the conditions to support wider industrial decarbonisation projects and giga-plant facilities in the region, potentially creating up to 5,000 jobs.
Bronwen Brooks, Vale of Glamorgan councillor and chair of CCR Energy, said the Aberthaw Power Station redevelopment continues to provide "spectacular opportunities" both locally but regionally.
"The emerging relationship with SSE Energy Solutions will help us realise the benefit of our assets and leverage investment in this innovative and exciting green energy-focused site," she said.
SSE said the MoU forms part of its wider plans to increase clean energy investments by 65 per cent to a total of £20.5bn by 2027. The firm's Net Zero Acceleration Programme has pledged to deliver £1bn in additional capital investment a year compared to previous plans, double renewables net installed capacity to 8GW, and deliver a renewables development pipeline in excess of 15GW by 2026.
Carl Davies, director of commercial at SSE, reaffirmed the energy supplier's ambition to become the UK's leading provider of local clean energy infrastructure. "This agreement with CCR Energy means that we can work together to deliver innovative green projects, create good green jobs and create social value in Aberthaw and across South East Wales," he said.
In related news, European energy giant E.ON has today set out plans to increase its investment in Europe's clean energy transition from €33bn to €42bn between 2024 and 2028.
Announcing its financial results today, E.ON confirmed €34bn of investment had been earmarked for its energy network business with €25bn ringfenced for projects in its native Germany.
Around €5bn is to be devoted to Energy Infrastructure Solutions - E.ON's business providing solutions for industries, cities, and municipalities - where areas for investment will include digitalisation projects, the rollout of smart meters, and eMobility charging solutions.
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