Net Zero Teesside Power shortlisted in UK Government Cluster sequencing Phase-2


  • Net Zero Teesside Power, a first-of-a-kind fully integrated gas-fired power generation and carbon capture project, will now proceed to the due diligence stage of the Phase-2 Cluster Sequencing process.
  • The project is expected to provide flexible low carbon electricity sufficient for around 1.3 million homes, progressing the deployment of carbon capture technology in line with the UK Government’s 10-point plan.

12 August 2022 – Net Zero Teesside Power (NZT Power), which is set to be the world’s first commercial-scale gas-fired power station with carbon capture, has been shortlisted in phase-2 of the UK Government’s Carbon Capture, Usage and Storage (CCUS) cluster sequencing process and will now proceed to a due diligence stage.

NZT Power sits at the heart of a decarbonized cluster of industries on Teesside and will be connected to the CO2 transportation and storage infrastructure being developed by the Northern Endurance Partnership to serve the East Coast Cluster. In October 2021 the East Coast Cluster was named one of the UK’s first two CCUS clusters following a successful bid in Phase-1 of the government’s process.

NZT Power’s proposed combined cycle gas turbine electricity generating station will have an electrical output of up to 860 megawatts (MW), enough to power up to 1.3m homes per year. The project aims to create and support up to 4,000 jobs during its construction and add up to £300 million to the economy each year.

Louise Kingham, bp’s UK head of country and senior vice president of Europe, said: “The homegrown energy produced at NZT Power will boost energy security and support the UK’s bold net zero transition plans. The jobs this project will create, alongside our investment in green skills development and education initiatives, will support Teesside as it transforms into a world-class, low carbon energy hub.”

Grete Tveit, Senior Vice President for Low Carbon Solutions, Equinor, said: “Fantastic news that the UK Government has selected NZT Power. The project supports our ambition to decarbonise vital and carbon-intensive industries, preserve existing jobs and create new ones, as well as provide local supply chain opportunities. We’re excited to continue working closely with the UK Government, our partner bp, and local stakeholders to deliver NZT Power. This is further strengthening the UK’s position as a world leader in the energy transition.”

Tees Valley Mayor, Ben Houchen said: “This is yet another major step forward for our Net Zero Teesside Power project which has been confirmed today by Government to proceed to the next phase of the CCUS cluster sequencing process. NZT Power will help to bring billions of pounds into the region, creating good-quality, well-paid jobs for local people while supporting the transformation of the Teesworks site.

Media Contact for Net Zero Teesside enquiries

N: Rita Brown
E: rita.brown@bp.com
T: 07554 987354


N: Simon Rendell / Kieran Patel
E: Netzeroteesside@hkstrategies.com
T: 0207 413 3506