SSE plc has decided to select the Limited Life Derogation (LLD) option under the Industrial Emissions Directive (IED) for its remaining capacity at its coal-fired power stations at Ferrybridge (North Yorkshire) and Uskmouth (South Wales).
Under this ‘opt-out’ derogation, the plant (defined by the stack configuration) can run without fitting further abatement technology for a total of 17,500 hours or to the end of December 2023, whichever is the earlier.
The IED is due to come into effect from 1 January 2016 and imposes emission limits of SO2, NOx and particulates on all UK generation plant.
In choosing how to respond to the Directive plant operators have a number of options, including the opportunity to identify plant to take a LLD. This option must be exercised by 1 January 2014.
For full details see our press release here.
In addition, SSE has decided to progress with up to £15m of investment at its Peterhead power station to extend the life of the plant and allow it to operate more flexibly and efficiently in future years.
Paul Smith, SSE’s Managing Director, Generation, said: “SSE’s primary objective for its Generation business is to maintain a diverse portfolio of assets that help keep the lights on.
“There are many uncertainties surrounding the future operation of generation assets in the UK and these make it hard to take balanced decisions that minimise risk and ensure the delivery of the best value energy for customers.
“The decisions we have taken surrounding the IED and at Peterhead have therefore been influenced by SSE’s well established principles covering how we operate and invest in our generation fleet over the long term.
“We have kept open future options for our key generation plant while ensuring we meet the requirements of the IED, minimise risk and provide a degree of clarity and direction for the teams based at these sites.
“These decisions also enable SSE to maintain its diversity of technology and fuel types, respond flexibly to fluctuations in customer demand and ensure we have the capacity we require to meet the needs of our customers in a cost effective way."