Phillips 66 - the ‘poster child’ of how UK refineries can play a key role in Net Zero challenge
UK refineries are stepping up to the Net Zero challenge, with Phillips 66’s Humber operations described as “the poster child”. A new report has set out how the downstream oil industry is already playing a significant role in meeting societal targets for decarbonisation, and stands ready to do more. UK Petroleum Industry Association has launched Transition, Transformation, and Innovation: Our role in the Net-Zero Challenge, describing it as a ground-breaking document. And much of what it spells out is happening on the Humber, with low-carbon liquid fuels (embracing biofuels and sustainable aviation fuels), and hydrogen central to success.
UK PIA director-general, Stephen Marcos Jones, said: “This is an exciting yet challenging period of evolution for the downstream oil sector - we are committed to action on climate change and this report shows that within the right policy framework, this sector can transform and deliver Net-Zero.
“We see hydrogen as a critical component of meeting Net-Zero – and while this is only now coming on many people’s radar, it is an area where the sector is the largest producer of hydrogen in the UK and can use that experience to maintain and grow its role in the emerging hydrogen economy.
“Only with industry and government working hand-in-hand in a systems-based approach will the task of Net-Zero be achieved in the UK – as such, this report urges ongoing and rigorous dialogue to ensure optimal results. We want to work now across government to make this report a reality.”
One third of the UK’s refinery infrastructure is on the South Humber Bank, with Phillips 66 Humber Refinery and Total Lindsey Oil Refinery responsible for more than a quarter of UK road fuel, and many other products, including chemical feedstocks and elements used in battery storage.
Mr Jones said: “Some of the projects Phillips 66 is involved in - Gigastack and Zero Humber - are great, and a demonstration of the real tangible progress the industry is already making. It is a poster child.
“We want to make clear what a contribution a foundation industry like the downstream oil sector can make to Net Zero targets. We have the infrastructure, with two of six refineries in the Humber, 60 terminals, 3,000 miles of pipeline and 9,000 forecourts. That infrastructure is so important in the energy transition.
“There’s also a footprint of over 300,000 jobs, and the concept of transition is really important. How we upskill, reskill and adapt new technology
This is an exciting yet challenging period of
evolution for the downstream oil sector
Stephen Marcos
Jones
makes for a really exciting time. “People see the conundrums around our challenges and for engineers, how we operate and deliver new processes is of interest, and it is a career pathway.” Carbon capture also features strongly in the report, which states how emissions from refineries have already fallen by 14 per cent in the past 20 years.
Again looking at the Humber, Mr Jones said: “The cluster is so important too. If we can get heavy industry working together, in a different way, we unlock even more potential opportunities for not only sharing talent, but infrastructure could be shared and collaborated on. There is huge potential if we get the right policy environment and regulation framework to continue to unlock some of these steps already being taken by member companies.”
Underlining the huge multi-national status of many, he said: “Given the right conditions, we have in the UK access to the scale of investment that is going to be required.
“This is a foundation industry ready to make a strong contribution to Net Zero.”