172 jobs to go as Ferrybridge ends coal-fired generation
SSE is to shut its coal-fired power station at Ferrybridge next year with the loss of 172 jobs after deciding it was “not sustainable”.
The power station will close at the end of March as SSE continues its strategy to shift from coal to renewables.
“We know that the decision to end coal-fired generation at Ferrybridge will have an impact on the local community and it has not been taken lightly,” said Paul Smith, SSE’s managing director for generation. “But while this was a difficult decision to take, it was the right one.
“Financially, the station is currently loss-making and is anticipated to lose another £100m over the next five years, and environmentally coal is a major emitter of CO2 [carbon dioxide], which means it has a time-limited role in the UK’s electricity mix.
“Unfortunately, this means retaining coal-fired operations at Ferrybridge beyond the end of the current financial year is not sustainable.”
Three coal-fired power stations have been on the site since 1924. The current station, called Ferrybridge C, has been operational since 1966 and is a prominent landmark near to junction 33 of the M62.
Its age and economic viability was a major factor in the decision, as SSE said it has required “increasing levels of capital expenditure to maintain safe and reliable operation while having to compete with more efficient modern gas plant”.
Other factors include the decarbonisation of the electricity sector, changes to commodity prices and the constraints imposed by the Industrial Emissions Directive.
SSE expects to re-deploy some of the 172 staff affected, including at Keadby power station, near Scunthorpe, and in managing the closure and decommissioning of the plant.
Mr Smith added: “Our top priorities will be to keep the site operating safely and effectively for the remainder of its life, and as it moves into decommissioning; and to ensure that employees have a range of options available to them for the future.”
The company has said it “remains committed” to the Ferrybridge site. Its £300m Ferrybridge Multifuel 1 project is due to fully commission in the second half 2015, and will provide 50 full-time jobs at the site, while its Multifuel 2 project is awaiting a planning decision this year.
