Net Zero Teesside Power

Net Zero Teesside Power (NZT Power) aims to be one of the world’s first commercial scale gas-fired power stations with carbon capture, and the hub of a decarbonised group of industries on Teesside who will share the CO2 transportation and storage infrastructure being developed by the Northern Endurance Partnership to serve the East Coast Cluster. 

NZT Power, a joint venture between bp and Equinor, could generate up to 860 megawatts of flexible, dispatchable low-carbon power equivalent to the average electricity requirements of around 1.3 million UK homes*. Up to 2 million tonnes of CO2 per year would be captured at the plant, and then transported and securely stored by the NEP in subsea storage sites beneath the North Sea. NZT Power could create and support more than 3,000 construction jobs and then require around 1,000 jobs annually during operations until 2050.

These proposals help support the UK government’s commitment to fully decarbonize the power system in the UK by 2035 and will help to enable greater deployment of renewable energy such as wind and solar by providing flexible, dispatchable low carbon electricity generation which backs up intermittent renewables – crucial for periods when the wind isn’t blowing, and the sun isn’t shining.

In March 2023, NZT Power was named on the Track 1 Project Negotiation List by The Department for Energy Security and Net Zero (DESNZ) as part of Phase 2 of the Cluster Sequencing process for Carbon Capture Usage and Storage (CCUS).  NZT Power is aiming for Final Investment Decision (FID) in September 2024 or earlier. Following FID, the project would be aiming for first commercial operations from 2027.


*NZT Power’s ability to “generate dispatchable low-carbon power equivalent to the average electricity requirements of around 1.3 million UK homes” is based on average household consumption data from BEIS, ‘Subnational Electricity and Gas Consumption Statistics’, 22 December 2020 and total UK households equalling 27.8m, as stated in the Families and households in the UK: 2020 report published by the Office for National Statistics on 2 March 2021. Calculations assume a load factor of 70% and an availability of 90%.  

NZT Power – how it works

The integrated facility consists of a H-class gas turbine combined cycle gas turbine (CCGT) with amine-based post-combustion capture designed for rapid start-up, whilst capturing over 95% of emissions. CO2 is dried and compressed to safely enter the transportation and storage system. Low-carbon power will be exported to the nearby National Grid Tod Point facility.

Proposals for NZT Power are at an advanced stage. In March 2024, NZT Power and the Northern Endurance Partnership announced the selection of contractors for engineering, procurement, and construction contracts with a combined value of around £4bn.

The selection of nine leading specialist contractors across eight contract packages is a major milestone for the Teesside-based projects, which would contribute to the UK’s journey towards net zero emissions by 2050.

The projects represent a significant opportunity for the UK supply chain. The selected contractors will continue working with the local and regional supply chain, with further engagement taking place over the coming weeks and months.

The final award of contracts is subject to the receipt of relevant regulatory clearances and positive Final Investment Decisions (FID) by the projects and UK government, planned for September 2024 or earlier. Following FID, the projects would be aiming for first commercial operations from 2027.

In February 2024 Net Zero Teesside Power took another major step forward after receiving development consent from the Secretary of State for Department for Energy Security and Net Zero (DESNZ) following a recommendation from the Planning Inspectorate (PINS).

The selected contractor groups are:

Onshore Power, Capture and Compression – Technip Energies and GE Vernova consortium including Balfour Beatty as the construction partner and Shell as the technology licensor

Onshore CO2 gathering system and gas connection – Costain

Linepipe – Onshore and Offshore – Marubeni-Itochu Tubulars Europe Plc with Liberty Steel Hartlepool, Corinth Pipeworks and Eisenbau Kramer GmbH as the nominated pipe-mills

Offshore Pipeline, Landfalls, Onshore Outlet Facilities and Water Outfall – Saipem

Offshore Subsea Injection System – TechnipFMC

Power and Communications Cable – Alcatel Submarine Networks

Offshore Systems Engineering – Genesis

Integrated Project Management Team – Wood

Are you a supplier interested in working with us?

NZT Power wants to engage with innovative, technology-led supply chain companies who share our ambition to make Teesside part of the UK’s first decarbonized industrial cluster, the East Coast Cluster.

Register interest here