Scottish and UK governments both urged to ‘stand by’ Grangemouth workers

Governments at Holyrood and Westminster have been challenged to “stand by” workers at Scotland’s only oil refinery as it prepares to close.

Roz Foyer, general secretary of the Scottish Trades Union Congress (STUC), claimed both governments are currently “failing” workers at the Grangemouth plant.

Redundancy notices have already been sent out to hundreds of employees as owners at Petroineos prepare to close the refinery.

MPs were told last year that the plant was expected to lose the company £150 million over 2024.

Ms Foyer insisted there was still a “viable option on the table” for Grangemouth, saying the union Unite had proposed to both the Scottish and UK governments that it could be used to become a production centre for sustainable aviation fuel.

Ms Foyer, who spoke out on the issue as she addressed the Scottish Labour conference in Glasgow, said: “My key message today to both our governments is this – do your jobs. Stand by Scotland’s energy workers.

“If you fail to save the jobs in Grangemouth, if you fail to halt this closure and invest in a real just transition, then you will be failing workers right across Scotland.

“Progressive governments must take a stand against billionaires who treat workers as disposable, against corporations who profit while communities suffer and for a real just transition that protects jobs, industries and livelihoods.”

Her comments came as she told Labour supporters many people are “rightly outraged by the betrayal of Scotland’s workers at Grangemouth”.

She said the site had been a “key test of whether the Scottish and the UK governments could work together to protect jobs, livelihoods and an entire community”.

But Ms Foyer added: “So far, both governments are failing those workers.”

With redundancy notices having been sent three weeks ago, she said the first group of workers would finish up at the plant on April 30, adding: “Out of 425 skilled workers, only 65 are required for Petroineos’s new import terminal.”

She added that closing the refinery could also see a further 2,800 jobs lost in the wider supply chain and cost the local economy more than £400 million.

The proposal to transition the site to make sustainable aviation fuel is a “plan that presents a financially viable way of retaining those jobs and transitioning that refinery now to become a key driver of net zero”, Ms Foyer added

She said: “This is an opportunity that must be grasped, it is one that will protect the security of our national energy infrastructure and yet our governments hesitate to use their full powers to intervene.

“Instead, they wring their hands, they offer us their condolences because the billionaire owners have decided it is not their global interests to keep Scotland’s only refinery open.”

When the closure of the refinery was announced last year, the Scottish and UK governments jointly committed £100 million for the local area and pledged to work together on the Project Willow report on the future of the site.

More recently, Scotland’s First Minister John Swinney announced a further £25 million to ensure a  “just transition” for the area.

Acting Scottish Energy Secretary Gillian Martin said: “The Scottish Government has already shown that we are on the side of Grangemouth and its workforce. We are doing all we can within the limits of our powers and resources.

“That is why this week the First Minister announced an additional £25 million in support, bringing the total we have committed or already invested in Grangemouth to £87 million.

“We are all clear that the UK Government needs to do at least the same and deliver a fair amount to avoid significant economic disruption in central Scotland, and to protect and promote Scotland’s – and Grangemouth’s – future interests.”

She also called on the UK Government to “expedite a decision” on the proposed Acorn carbon capture and storage project in Scotland, and “to make urgent progress on allocating funding for the second round of hydrogen production projects, to help ensure a sustainable future for the wider industrial cluster”.

A Labour Party spokesperson said: “When Labour came to office last year, there were no plans for Grangemouth.

“Within days the UK Labour Government approached the Scottish Government to put together a package of measures. This included £100 million for the Falkirk and Grangemouth growth deal, which will deliver more than £628 million in economic benefits and create 1,660 jobs.

“The UK Labour Government is also putting £26 million into the Forth Green Freeport, with Grangemouth at its heart, to attract investment and well-paid, quality jobs to the area.

“Project Willow, a jointly-funded study looking at a long-term sustainable future for the site, was commissioned within days of Labour taking office. It could have been commissioned months beforehand, but only got the green light after Labour won the election.

“At every step of the way it has been Labour that has driven a sense of urgency on Grangemouth.”