John Swinney has said “every possible option” to protect workers at Grangemouth must be considered, including extending the life of the refinery.
During his meeting with Prime Minister Sir Keir Starmer on Friday, the First Minister raised trade unionists’ proposals to prolong the life of the refinery in order to convert it into a hub for sustainable fuels.
Owner Petroineos currently intends to close the oil refinery in 2025, saying it is too late to convert the loss-making site to another type of product.
There are fears for around 400 jobs at the site, which will transition to being an import terminal for finished fuels.
Unite says Grangemouth could be converted “relatively easily” to produce sustainable aviation fuel – made from feed stocks such as cooking oil – saying this could happen in between one to three years without job losses.
However Petroineos has rejected this interpretation, saying governments have left it too late to begin a transition.
Speaking to journalists at the British-Irish Council (BIC) summit in Edinburgh on Friday, Mr Swinney said the proposal from Unite had been discussed.
“I set out that argument to the Prime Minister – and he will take that issue away,” he said.
The SNP leader was also asked if spending what could be hundreds of millions of pounds on the refinery would be the right thing to do.
He added: “I think prolonging the life of the refinery would be helpful to the long-term ambitions and objectives that we have for the future of the Grangemouth site.
“Because we recognise there’s going to have to be a transition there, but I want to make sure we are not having to confront that earlier than we need to do so because there is still a legitimate necessity for refining capacity in Scotland.
“I want to make sure that we’re exhausting every possible option to avoid that situation.”
Mr Swinney also stressed the significant of the Acorn carbon capture project at St Fergus in Aberdeenshire.
At a press conference earlier involving other ministers at the BIC, Mr Swinney said there should be “no stone unturned” in securing Grangemouth’s future.
Chancellor of the Duchy of Lancaster Pat McFadden, representing the UK Government, said the decision to close the refinery came from Petroineos rather than either of the two governments, adding: “When the closure was announced some months ago, UK Government was able to work with the Scottish Government, the aid package, the growth deal covering the affected area.
“No-one wanted to see Grangemouth close.”
