Refinery closure would be another historic betrayal
◆ Our politicians seem powerless as Grangemouth faces the axe, just like British Leyland and Ravenscraig before it, says Kenny Macaskill
Facts, not fiction, are important in ail aspects of life and it’s certainly that way with the planned closure of Grangemouth’s refinery. Listen to the UK Government, and it’s just a commercial decision. Something to be regretted but there’s nowt that can be done. Move on and get over it Jock.
Even Graham Stuart, the normally affable minister, is brutal in his assessment. It’s a northwest European market, he says. What’s happening’s a shame but that’s the vagaries of the system. Some must lose for others to win, even if it’s others, outwith this land, who are to get the spoils.
It’s all rather surprising for a Brexit government. Where’s “taking back control” or even a Brexit bonus, when you’re losing jobs and ceding an entire sector of the Scottish economy to others. It was Wilbur Ross, Donald Trump's Commerce Secretary, who described Brexit as an opportunity to eat the UK’S lunch. Here it’s filling our fuel tanks, never mind undermining our industrial base as the knock-on effects will be severe across different industries and many sectors.
As Scotland becomes the only major oil producer without refinery capacity, they’ll continue working away south of the Border and abroad, even though the resource is from Scottish waters and the Forties pipeline lands at Grangemouth. All too reminiscent of Ravenscraig’s closure. The fact is that Grangemouth is profitable. As was splashed recently in a
Sunday newspaper, they made over £100 million profit in 2022.
It’s been going like a fair since and profits for 2023, nevermind this year, will almost certainly be higher still. If a modest investment was made in the hydrocracker, throughput would be even greater, and profitability even more so.
However, the UK Government mantra remains that no financial support can be given as it’s just not allowed by the rules, Guv! Yet they’ve funded Ineos for works at the site and indeed elsewhere but they’re allowing them to walk away without a by your leave. They’re also writing almost blank cheques for those investing in EV battery plants south of the Border, including tens of millions for BMW.
Most perversely, they’re knifing Grangemouth in the heart by supporting Ineos to open a brand-new site in Antwerp, Belgium. The Department of Business and Trade’s offering Ineos financial support in excess of £500 million for its new Low Country endeavour. Meanwhile, parliamentary answers disclose the Department of Energy and Net Zero is unable or unwilling to act to save the Scottish plant.
So, the facts are that the plant is profitable and financial support can be given. It’s a re-run of previous closures in our land. Coming from West Lothian, I recall that, when British Leyland closed in Bathgate, every vehicle they’d been making continued in production, just south of the Border, with even a new unit opened in Coventry.
The Scottish Government has supinely accepted the corporate and UK spin. That’s criminal neglect, as well as political stupidity. They may not care, but it’s time Scotland realised what’s happening and fought for not just these jobs, but the industrial base. We’re a resource to be exploited, but our industries aren’t to be supported.