Grangemouth Industrial Cluster - draft Just Transition plan: consultation

Grangemouth Industrial Cluster Vision 2045

Introduction

This Vision has been co-developed by the community, workforce representatives, academia and the Scottish Public Sector. It should be considered as a collective outline of our ambition for the future of the Grangemouth Industrial Cluster at 2045 and our commitment to help ensure that the it continues to be an economic engine and source of local jobs and prosperity.

This vision provides a visual outline of what the industrial cluster will look like as a net zero manufacturing hub. Based on this outcome we have also outlined how these changes will positively affect the people living and working around the cluster. In summary this section outlines what a Just Transition will achieve.

The vision is critical component of the Just Transition Plan as it sets out the broad future direction of the industrial cluster. This vision will guide all future decision-making, on policy development, investment and planning related to the Grangemouth industrial cluster. The actions informed by this vision will be delivered in partnership with the Grangemouth Future Industry Board (GFIB), which has ultimate responsibility for implementing this plan.

Working with stakeholders across industry, workforce and the community, GFIB will continue to ensure that the vision adjusts to the needs and aspirations of the industrial cluster. This work should therefore be considered iterative in nature, adapting to market conditions, social needs, environmental considerations, and stakeholder feedback.

The vision was co-designed through a series of workshops in the autumn of 2023 with industry, the public sector and academia. Additional feedback was collected in 2024 via engagement with community, workforce and school pupils. The process of co-designing this vision has also been informed by Scotland's National Just Transition Outcomes:

• Jobs, Skills, and Economic Opportunities
• Communities and Places
• People and Equity
• Environment, Biodiversity and adaptation

This is an abbreviated version of our full Grangemouth Just Transition Vision, which has been published alongside this this document. The full Vision provides further information on the different groups of people, organisations and businesses who will be involved in the process, as well as the levers that will be required to achieve a Just Transition.

'Just as I am thinking about the future direction of my own business, I want to be actively involved in decision-making about cluster strategy. Basically, it's about getting the [businesses] that are close together, physically, actually speaking to each other, which then comes down to what's the business driver for spending time on that conversation rather than, you know, a different one?'

Vision Statement

'By 2045, the Grangemouth industrial cluster will be a carbon-neutral hub, aiding Scotland in achieving its net zero targets.

'The Grangemouth industrial cluster will become a net zero chemicals centre for Scotland and a leading production centre of the UK's low-carbon energy industry, supporting the developing biofuels and hydrogen sectors, and playing a key role in ensuring Scotland's energy security and economic prosperity.'

The clusters industrial partners will collaborate to produce advanced industrial processes, manufacturing and biofuels, which are exported globally, supporting the Scottish and UK economy. Through active collaboration with the public sector and community, the workforce will power the site: innovating, planning, building and managing the hub with respect and dignity. Helping create Scotland's circular economy that provides for equitable prosperity for current and future generations.

'This is like the next industrial revolution… 100 years from now people will look back at what we did…that's exciting but we need to get it right.'

Transition Pillars

The five pillars represent the key industrial and economic areas of transformation that the industrial cluster will aim to achieve by 2045 as part of a Just Transition.

1 Thriving industrial cluster, leveraging existing chemicals
strengths and expertise

Grangemouth’s existing chemical, pharmaceutical and logistics industries will continue to innovate and adapt to market conditions, supporting Scotland’s economy, whilst reducing greenhouse gas emissions. Industry will look to work with other organisations on large-scale projects, where it makes sense, in order to achieve increased benefits from crosscollaboration.

2 A low-carbon fuel and energy hub for the future

Grangemouth will build on existing renewable energy technologies, such as exploration of low-carbon hydrogen production and the production of bio-fuels. Grangemouth will continuing their legacy as a national fuel provider, supporting hydrogen applications as a fuel source for industry and transport and exploring production of a range of bio-fuels. Ensure a flexible and cost-effective grid caters to the energy productivity and systemic efficiency required by the industry, maintaining the continued security of fuel supply to Scotland and the UK throughout the transition to net zero.

3 An industrial carbon capture point for central Scotland

Grangemouth will be a central destination for industrial emissions capture and a hub for the wider Scottish economy. Carbon capture projects will start with Grangemouth-based industries and then explore options for join up with wider industries across the central belt. This will be a major driver of reducing Scotland’s greenhouse gas emissions

4 Scotland’s central bio-manufacturing location

Grangemouth will play a key role in Scotland’s growing market for bio-based products, including exploring the feasibility of a variety of applications across sectors such as chemicals, pharmaceuticals and industrial bio-tech. Developing avenues where industry can use biological inputs, for example food waste or agricultural by-products, to industrial processes rather than fossil- and oil-derived inputs.

5 An innovative cluster leading new and advanced industrial processes and manufacturing

Grangemouth will leverage Scotland’s existing innovation strengths, skills and expertise, supported by a network of industry, public sector and academia, to position itself as a development centre in high-growth industries. Grangemouth will innovate more, faster and more impactfully than competitors. Continue exploring approaches that ensure it attracts new foreign direct investment.

In outlining our vision, we have aimed to present a clear direction towards transforming Grangemouth into a carbon-neutral hub by 2045, focusing on five pillars:

• Capitalising on existing industrial strengths,
• Developing a low-carbon fuel and energy hub,
• Becoming an important destination for industrial carbon capture across Scotland,
• Leading in the development
  of bio-manufacturing, and;
• Pioneering new industrial processes.

These are supported by eight transition levers that cover strategy and governance, sustainability, skills development, finance, innovation, supply chain optimisation, place development, and communication strategies.

'If we have a successful, thriving industrial complex with businesses around Grangemouth, the area will be prosperous, colleges will thrive, companies will invest in apprenticeship schemes and support the local universities and schools to make them grow. The key to it is having profitable industry at the hub.'

Just Transition Outcomes

The outcomes for the Grangemouth industrial cluster and the surrounding town are guided by the Scottish Government's National Just Transition Planning Framework, which outlines four areas that Just Transition benefits should be achieved across, including: Jobs, Skills and Economic Opportunities, Communities and Places, People and Equity, and Environment, Biodiversity and Adaptation.

Jobs, Skills, and Economic Opportunities

1: Grangemouth continues to be a thriving manufacturing hub for the Scottish economy, increasing the scale and pace of innovation and acts as an anchor point for new and emerging industries of the future by driving research in new climate compatible manufacturing.

2. Grangemouth's transition to net zero supports new and existing fair and well-paid jobs across its operations and supply chain in Scotland and, the Grangemouth workforce is diverse and advances equality of opportunity for all.

3: A decarbonised Grangemouth serves a range of domestic and global net zero markets, has better leveraged public and private investment, identifying areas where it can support the reduction of regional inequality, supporting a strong, dynamic and productive economy which creates equitable wealth and high-quality employment.

4: Grangemouth retains and develops its role as an integral part of the energy supply chain, enabling wider decarbonisation of e.g. the transport and industrial sectors, through production of climate compatible fuels.

Communities and Places

5: Where a clear connection exists, industry / industrial decarbonation supports the development of clean, safe, green, accessible and improved public and private spaces that are fit for purpose, build resilience and provide wider benefits for people, health and wellbeing, and biodiversity, in a balanced way.

6. Grangemouth has improved coordination of structural levers needed to support the transition in Grangemouth (planning; electricity supply; infrastructure) and the impacts of these developments on wider stakeholders are known and addressed.

7: Grangemouth has an enhanced relationship between community and industry, as well as other actors, with greater presence and visibility of industry activity and developments in typically non-industrial spaces. Grangemouth has an enhanced sense of pride in its industrial strength.

8. Communities are empowered. Strong community links ensure that a wide representative demographic are represented and meaningfully engaged and their views have been considered at each of the decision–making process regarding the long-term future of the industrial cluster and its impact on the wider place of Grangemouth.

People and Equity

9. Health, wealth and wellbeing of the residents of Grangemouth has increased, proportionally, alongside the economic and sustainable growth of the future industrial cluster.

10. Costs of industrial decarbonisation are shared fairly on the basis of ability to pay.

11. Opportunities to leverage the industrial clusters large energy demands in support of reducing local fuel poverty are fully explored and where opportunities are identified, all responsible actors across the public and private sector are obliged maximise the success of specific projects.

12. Local residents have improved access to job opportunities existing or future stemming from the industrial cluster and are not disadvantaged by e.g long travelling distances to gain access to required education.

Adaptation, Biodiversity and Environment

13. Environmental regulation supports innovation and the transition to achieving net zero and a circular economy whilst maintaining high standards and levels of protection for communities and the environment.

14. The exposure of residents and workers in Grangemouth, but particularly the oldest, youngest and those with pre-existing medical conditions, to poor air quality is minimised.

15. Existing and future infrastructure is designed and embedded in a way that improves and restores habitats and ecosystems, and increases resilience to a changing climate, to meet the objectives of Scotland's Biodiversity Strategy.

16. As an asset of national importance, innovative and appropriate options are identified and adopted for protecting and adapting the cluster and surrounding area from the impacts of climate change.

S5 and S6 Pupils' Perspective

In March 2024, Scottish Government organised a series of workshop discussions to discuss the Grangemouth Just Transition vision with S5 and S6 pupils from schools throughout the local area. These discussions provided a valuable opportunity to gather the views of young people toward achieving and delivering a Just Transition for the region and provided insight into how this generation see themselves as the future community and workforce for the area.

GFIB spoke to a range of S5 and S6 pupils representing the schools from the Falkirk and Grangemouth area including:

• St Mungo's High School
• Larbert High School
• Grangemouth High School
• Bo'ness Academy
• Braes High School

During our discussion we touched on issues including pathways to employment, climate change, and ways to improve quality of life throughout the local area. It became clear that young people in Grangemouth are cognisant of the climate emergency and were appreciative of the opportunity to have their views heard.

Pathways to employment in industry formed a significant part of our discussion.

From apprenticeships to graduate programmes for university leavers, pupils expressed interest in pursuing a range of job opportunities within Grangemouth.

In particular, the opportunities afforded by emerging technologies such as hydrogen production and CCUS emerged as a topic of interest for pupils, and especially those who expressed a desire to pursue university degrees in the sciences.

However, it became clear that information on pathways to employment was limited to word-of-mouth reports from family members who worked at businesses across the cluster, and to a lesser extent from research that pupils had conducted themselves. To this end, pupils expressed a desire to hear more about employment opportunities directly from employers. Moreover, the issue of gender imbalance within industrial roles was identified as having negatively impacted the interest of young women in pursuing these opportunities.

It was also clear that issues such as flaring, noise pollution, and a lack of investment in green spaces have impacted negatively on how young people feel about their surroundings. To this end, S5 and S6 pupils were encouraged that a Just Transition could see an improvement in the physical quality of the local area, indicating a desire for improved green spaces and better access to local infrastructure such as recreational areas and public transport.

Finally, in the course our discussion, it became clear that young people prefer to access information in a way that is easily accessible, concise, and relatable to their daily lives. Perhaps unsurprisingly, the phrase 'Just Transition' did not resonate strongly among the pupils we consulted. However, our discussion highlighted that a targeted campaign via social media platforms including Tik Tok may offer a way to meaningfully engage this valuable demographic in the Grangemouth Just Transition Plan in a way that is compatible with their lived experience.