Port fuel plant to boost economy

More people in Europe are turning to cleaner fuel, Greenergy said

A £10m biodiesel fuel plant, said to be the UK's largest, is to be built on the Humber estuary, it has been revealed.

Greenergy Fuels Ltd said the Immingham plant will be able to produce 100,000 tonnes of the "green" fuel every year.

The plant will turn rape seed - some of it locally grown - into biodiesel to be sold at Tesco filling stations across the country.

Greenergy chairman Andrew Owens said the development could bring about £75m into the local economy.

This new plant will help the growth of the biofuels market in the UK Tesco spokesman

"At a time when supply constraints are leading to high oil prices - and there is increasing government focus on effective and immediate reductions in carbon dioxide emissions - low carbon, renewable biodiesel offers a vital part of the solution," he added.

"Used as a blend in standard fuel mixes, biodiesel can provide security of supply through UK sourcing and reduce the greenhouse gas emissions required if climate change commitments in the transport sector are to be met."

Hull's Friends of the Earth group has welcomed the plans, which were granted planning consent last week.

Spokesman Steven Norieko described the greener fuel plant as a "step in the right direction".

Tesco, which sells biodiesel at 23 of its petrol forecourts in the south east of England, has a 25% stake in the project.

"This new plant will help the growth of the biofuels market in the UK," said company spokesman Daniel Quinn.

Greenergy said it was making the investment to service the rapidly expanding biofuels market in Europe.