Listed Yorkshire firm part of £130m deal to convert waste plastic to hydrogen

The Protos site near Ellesmere Port

A pioneering technology developed by a Bingley-based business will be used in 11 waste plastic to hydrogen facilities to be built across the UK as part of a £130m investment.

The DMG (Distributed Modular Gasification) method has been formulated by Yorkshire company Powerhouse Energy, and produces a local source of hydrogen from non-recyclable plastics.

This clean, low-cost hydrogen could be used to power buses and heavy goods vehicles (HGVs), before being rolled out to hydrogen cars, helping to reduce air pollution and improve air quality on our roads.

The technology provides a solution to plastics that cannot be re-used or recycled and would otherwise end up in landfill.

With almost 1.2m tonnes of waste plastics going to landfill every year, local authorities across the country are looking for alternative treatment methods.

Peel Environmental – part of Manchester-based Peel Land & Property – has signed a collaboration agreement with Waste2Tricity and PowerHouse Energy, which will see the Bingley firm’s technology deployed in the planned new waste plastic to hydrogen facilities.

This follows the announcement that the first of these plants will be located at the 54-hectare Protos site, near Ellesmere Port in Cheshire. The network of hydrogen producing plants could transform the way waste plastics are dealt with nationally.

David Ryan, Chief Executive of PowerHouse Energy, said: “This contractual agreement represents a substantial commitment from Peel L&P to the wider deployment of DMG Energy Recovery Technology in the UK.

“Their commitment to commercial and funding engagement is an important step for PHE.

“Peel L&P will aid the roll-out of the technology and, importantly, they share our vision of the great potential arising from the distributed hydrogen economy.

“We are hugely encouraged by the fact that we have demonstrated our technology to Peel L&P over an extensive due diligence period and we have met the company’s criteria, not only technically but, more importantly, commercially.

“As one of the UK’s largest industrial landowners, Peel L&P’s land portfolio, their expertise and their blue-chip counterparties committed to plastic recycling and hydrogen usage enable us to look forward to successful delivery of the projects under this contract and beyond.”

Myles Kitcher from Peel Environmental, said: “Hydrogen is increasingly being seen as a vital part of our journey to zero carbon.

“This deal could be transformational in delivering a UK-first technology that can generate local sources of hydrogen, but also provide a solution to plastic waste.

“As a business we’re looking at solutions for all plastics with a vision for these facilities to sit alongside recycling and recovery.

“We’re pioneering this solution in the North West, but local authorities across the country could benefit from a more sustainable way to treat waste plastic, whilst also creating a local source of low carbon transport fuel which could help them meet their climate change targets.”

John Hall, from Waste2Tricity, said: “As pioneers of the low carbon distributed Hydrogen Economy, we are delighted to see this collaboration with Peel Environmental, who have recognised the importance of hydrogen as a fuel for the future.

“Along with contributing to a growing circular economy, this innovative technology will undoubtedly play an important role in helping the UK meet its net-zero carbon emissions by 2050, whilst tackling the country’s problem of how to dispose of non-recyclable plastic.

“This agreement is an important first in the industry and exemplifies the circular economy. We recognise the importance of moving away from a linear economy and adopting technologies that minimises waste.

“Given the value of this project, and the formal collaboration with Peel L&P, we expect increased investor interest in supporting this revolutionary technology across the UK.”

Peel Environmental will provide real estate and infrastructure support, Waste2Tricity is the developer and PowerHouse Energy is the technology and engineering services provider.

The partnership is due to submit a planning application for the first site – at Peel Environmental’s Protos site – in the coming weeks.

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