º£½ÇÊÓÆµ

Oops.

Our website is temporarily unavailable in your location.

We are working hard to get it back online.

PRIVACY
Enterprise

Government brokers long-term solution to CO2 production problem

The Government has stepped in to help fertiliser firm CF on a temporary basis, but has now found a longer-term solution

CF Fertilisers Portrack plant

The Government has brokered a deal with carbon dioxide producers industry to ensure supplies continue to be available from plants in the North.

The rising price of gas forced a major CO2 producer, CF Fertilisers, to shut down its plants last month in the North East and the North West, choking off supplies that are used across numerous industries including stunning animals for slaughter, extending the shelf life of food, aiding in surgical operations and cooling nuclear power plants.

Carbon dioxide is a by-product of fertiliser manufacture and the US firm supplies around 60% of the º£½ÇÊÓÆµ's needs.

Read more : go here for more manufacturing news

The Government stepped in for a three-week period to prop up the firm in a move that was expected to cost "possibly tens of millions" of pounds, according to Environment Secretary George Eustice.

But now the Business Secretary, Kwasi Kwarteng, said a "more sustainable solution" had been found.

The deal means that until January 2022, those who buy CO2 from CF Fertilisers will pay a set price, which will allow the company to continue operating while global gas prices remain high.

And the Department for Business, Energy and Industrial Strategy (BEIS) said this reflected "the vital importance of this material to everything from our nuclear industry to hospitals to the food and beverage industry".