Eastham biodiesel plant proposals on hold

Dec 24 2008 By Lorna Hughes

THE company behind controversial proposals for a biodiesel plant in Eastham has announced it is delaying the submission of a planning application for the facility until at least the second half of 2009.

Agri Energy said it remained committed to bio energy but was awaiting the impact of new EU legislation on bio fuel production.

It added there was "short term uncertainty and depressed margin outlook in the sector".

A spokesman for the company said: "Agri Energy remains committed to the bio energy sector. Its strategy of securing low carbon sustainable feed stocks such as tallow and recovered vegetable oils continues to strongly underpin its business model.

"Agri Energy will proceed with its bio diesel investment once there is greater clarity on the impact of the recent dilution of bio fuel mandates across the EU, as well as certainty with regard to the elimination of trade distorting subsidies currently unfairly supporting the US and Argentinean bio diesel industry.

"Agri Energy will review its ongoing development plans in the second half of 2009."

Eastham councillor Phil Gilchrist said: "For much of the past year AGRI’s plans cast a dark shadow over the homes in Eastham and news that the plans are being put back is welcome.

"I’d rather hoped they had given up on the site altogether. A long period of uncertainty casts a cloud of blight until it is removed altogether.

"In the meantime there is a breathing space. We must renew our efforts to convince the landowners (Peel Holdings) that there has to be a buffer zone around Eastham , keeping heavy industry and huge plants away from homes."