Carbon Capture Projects Spark 2,800 New Jobs Across Wales and the North West

Five new industrial projects are preparing to connect to the UK’s HyNet CO₂ transport and storage network, marking a significant push toward large-scale carbon removal and regional economic development. The Department for Energy Security and Net Zero has confirmed the move, describing it as a critical step in the country’s broader decarbonisation strategy.

HyNet, one of the UK’s leading industrial decarbonisation clusters, will begin formal negotiations with five priority projects aiming to connect to its carbon capture infrastructure. If successful, these projects will not only permanently remove carbon dioxide emissions from the atmosphere but also create thousands of skilled jobs across the North West of England and North Wales.

Three of the selected projects had already been on the Government’s radar. These include Encirclys’ Protos Energy Recovery Facility, Heidelberg Materials’ cement plant in Padeswood, and EET Hydrogen’s first hydrogen production facility. Collectively, these sites are expected to produce the UK’s first low-carbon cement and hydrogen, while also expanding energy-from-waste capacity to help local industry transition to greener alternatives.

The remaining two projects are newly prioritised entries. Evero’s bioenergy plant with carbon capture in Cheshire will be the first of its kind in the UK to deliver engineered removals of greenhouse gases from the atmosphere. Meanwhile, the Connah’s Quay Low Carbon Power project in North Wales is expected to provide dispatchable clean energy by the end of the decade, supporting grid stability and industrial decarbonisation.

In addition to these five core projects, the Government has earmarked another five as standby candidates. These are ready to be fast-tracked should any additional capacity become available in the HyNet network. The standby list includes proposals focused on hydrogen production, energy-from-waste, and even direct air capture technologies aimed at removing carbon dioxide directly from the atmosphere.

The Department for Energy Security and Net Zero estimates that the expansion of HyNet’s carbon capture infrastructure could directly create around 2,800 skilled jobs. These roles will span engineering and manufacturing, logistics, and construction, providing a significant employment boost for the region.

Many of the projects will require new pipelines and production facilities to be built, while some existing power plants will be repurposed to accommodate carbon capture technology. This transformation of industrial infrastructure is already underway, following the UK Government’s green light earlier this year for the Liverpool Bay carbon storage and transport system to break ground.

The Liverpool Bay development alone is expected to support an additional 2,000 skilled jobs, forming the backbone of the carbon network that will serve industries producing cement, hydrogen, and energy derived from waste.

Despite the momentum, the Government’s £21.7 billion investment in carbon capture and storage has drawn criticism. A parliamentary committee recently described the commitment as a gamble, questioning both its environmental efficacy and its financial impact on taxpayers. Critics are urging greater transparency and a more rigorous cost-benefit analysis before further funds are released.

Nonetheless, carbon capture, usage and storage remain a cornerstone of the UK's industrial decarbonisation strategy. The Government estimates that the sector could support up to 50,000 jobs by the early 2030s, while also helping heavy industries meet their net-zero targets without completely overhauling their existing operations.

Industry Minister Sarah Jones stated: “We are securing the jobs of the future, the power for our homes and the protection of our planet by becoming world leaders on carbon capture and storage. 

“These new projects will bring industrial renewal, unlock growth and secure an additional 800 good, skilled jobs for local people across North Wales and the North West – taking the total supported by HyNet to 2,800 – all part of our Plan for Change.”

Olivia Powis, CEO of the Carbon Capture and Storage Association (CCSA), said: “Today’s news is another clear signal that the UK is serious about delivering carbon capture and storage. The build-out of HyNet not only strengthens energy security and climate action, but it also brings real, skilled jobs and vital long-term investment to communities in the North West and North Wales.

“However, we need a long-term plan for bringing the projects on standby to market. Suppose our industrial heartlands are to decarbonise and remain competitive. In that case, it’s crucial for the Government to set out a clear, long-term pathway that allows more emitters and industries to connect to the CO₂ transport and storage network. This will be alongside industry, working with consumers to grow demand for low-carbon products. We must fully utilise our world-class storage resources to reach net zero and grow our economy.”