Portland energy recovery facility Planning supporting statement September 2020 PORTLAND ENERGY RECOVERY FACILITY (ERF) PLANNING SUPPORTING STATEMENT POWERFUEL PORTLAND LIMITED AUGUST 2020 Portland Energy Recovery Facility (ERF) Powerfuel Portland Ltd Planning Supporting Statement Contents Summary 1. Introduction 2. Site and Surroundings 3. The Proposed Development 4. Need 5. Policy Framework 6. Planning Assessment 7. Consultation 8. Planning Conditions and Obligations 9. Conclusions and Planning Balance Appendices Appendix A: Pollution Control Statement Appendix B: Waste Planning Statement Appendix C: Rights of Way Statement Appendix D: Draft Planning Conditions Appendix E: Community Liaison Panel Draft Terms of Reference Appendix F: Relevant NPPF extracts Appendix G: Relevant Extracts from No Time to Waste (2020) Appendix H: Youth Training and Employment Policy Terence O’Rourke Ltd 2020 1 Portland Energy Recovery Facility (ERF) Powerfuel Portland Ltd Planning Supporting Statement SUMMARY Introduction S1. This Planning Supporting Statement (PSS) accompanies a planning application, submitted to Dorset Council (the council), by Powerfuel Portland Limited (the applicant) for full planning permission for the construction and operation of an Energy Recovery Facility (ERF) on previously developed land within Portland Port, Castletown, Portland, adjacent to Balaclava Bay. S2. The proposed Portland ERF would enable Dorset’s residual waste to be managed in a more sustainable way in accordance with the waste hierarchy, with residual waste managed within the county and close to where it is produced (in line with the self-sufficiency and proximity principles), with renewable/low carbon energy recovered for a range of local benefits, including meeting all of the electricity that Portland uses, and some heating. S3. Whilst Dorset has a good record of recycling, which the applicant fully supports all residual waste materials that cannot be practicably re-used or recycled, are either sent to landfill for disposal, (the least sustainable method of waste treatment), or sent to energy from waste facilities located outside of Dorset, or converted to refuse derived fuel (RDF) and exported to Europe. S4. Local waste authorities typically enter into contracts with waste management companies to manage residual waste arisings. Dorset’s residual waste is currently managed through various short term contracts which will expire over the next few years. The Portland ERF will operate as a merchant facility and will be well placed to bid for and secure future contracts (directly or in partnership with others) to manage Dorset’s residual waste over the long term. The Portland ERF has arrangements in place that would enable it, when it is operational, to receive RDF from Panda at Canford Magna, currently produced pursuant to a Dorset Council residual waste contract. S5. The Portland ERF will treat RDF, derived from municipal and commercial and industrial residual wastes, from its catchment area (based on a 3 hour HGV drive time), which covers Dorset, east Devon, south Somerset, south Wiltshire and west Hampshire. Furthermore, because of its port location, the ERF will also be able to secure residual wastes (delivered as baled and wrapped RDF) from other locations within the UK and elsewhere by ship. S6. Despite considering the wider local catchment, there is clearly ample residual waste arising in Dorset alone (both LACW and C&I after taking account of waste that is recycled, composted or reused) that could potentially be available as feedstock for the proposed ERF S7. The management of waste is a significant cost burden on those responsible for its management but waste is also a valuable resource and is subject to a competitive market for re-use, recycling and energy recovery. The Portland ERF will only attract residual wastes from which no higher market value can be derived (as recyclable materials generally have a higher market value than residual waste), and only from locations where it is commercially viable. Terence O’Rourke Ltd 2020 2 Portland Energy Recovery Facility (ERF) Powerfuel Portland Ltd Planning Supporting Statement S8. Portland has constrained electricity infrastructure, that whilst sufficient to meet existing domestic and commercial requirements, cannot practicably meet future energy demands expected to arise from the future growth of commercial activities at Portland Port, including the need to power ships docked at the Port, or on Portland itself, without a significant upgrade. The proposed Portland ERF would reinforce the local energy network, providing a decentralised source of heat and power, that can provide efficiency and support the port through the economic provision of shore power. S9. The ERF has been designed to provide combined heat and power (CHP) and will be ‘CHP ready’ from the outset. This will facilitate the provision of a shore power facility at Portland Port, with the majority of the electricity sent to the distribution network. The ERF would also be capable of supplying heat to local consumers by means of a future local heat network. S10. A proportion of the energy generation from the ERF is classified as renewable energy, and it would be one of the biggest baseload generators in the county. The project would therefore make a significant contribution to the security of supply, the production of renewable energy and the decarbonisation targets of the local authority area. S11. The ERF will be capable of achieving more sustainable treatment of Dorset’s residual waste and delivering local benefits through the supply of low carbon energy and reducing carbon. The ERF is predicted to lead to a net reduction in greenhouse gas emissions of approximately 30,000 tonnes of CO2-equivalent (CO2e) per annum when exporting heat to a district heating scheme and power to ships moored in the Port, against the current baseline. In future years the net reduction will likely be less on an annual basis, given changes in the wider regulatory context and possible societal behaviour shifts towards greater circularity, but over the full lifetime, the expectation is that the ERF will still be net positive. In periods where the plant is net negative in operations it will offset the net emissions as described below as part of its net zero carbon pledge. S12. In order to create certainty on the long term net carbon position, the applicant commits that the Portland ERF will operate as a net-zero carbon infrastructure asset for its operational life. It is believed that this would be the first such facility in the UK to commit to achieving net-zero carbon This means that all process derived greenhouse gas (GHG) emissions from the combustion of the fossil-fuel derived component of the residual waste RDF, in excess of emissions from the counterfactual baseline, would be off-set by other measures and activities avoiding the emission of or removing an equivalent amount of GHG from the atmosphere. The applicant is committed to funding additional carbon off-setting measures in each year that the ERF reduces GHG emissions (compared to baseline), and in each year that the ERF increases GHG emissions (compared to the baseline) will compensate for this by purchasing carbon offsets. This means the ERF will reduce GHG emissions over its lifetime and will achieve carbon neutrality, or better in every operating year. A minimum financial contribution of £100,000 per annum will be available for offsetting activity, aggregating to £2.5m over the expected operational life. S13. The proposed ERF will also provide economic benefits for Portland and Dorset. The construction of the facility is expected to create around 300 jobs and once complete there will be between 30-35 new jobs. A further 62 indirect jobs would Terence O’Rourke Ltd 2020 3 Portland Energy Recovery Facility (ERF) Powerfuel Portland Ltd Planning Supporting Statement be created, some of which would benefit the Weymouth and Portland and wider Dorset area. it is predicted that the loss of cruise business as a result of shore power not being provided at the port (which will be delivered by the ERF) would lead to an average decrease in spending in the Weymouth and Portland and wider Dorset area of £2.38 million per year, with an associated loss of approximately 45 jobs in related sectors. S14. The application comprises a comprehensive suite of drawings and documents, providing extensive information on a range of social, economic and environmental subjects to explain and support the proposals. This document summarises the main elements of the application. Primary considerations S15. The application for the proposed ERF should be considered in the context of the following primary considerations: • there is currently no landfill capacity in Dorset for residual waste and no new landfill sites are proposed. • there are currently no significant waste management facilities for the treatment and recovery of energy from residual waste arising within the Dorset area. • Dorset is reliant upon the export of its residual waste for treatment at facilities located elsewhere within the UK or in Europe, which is not sustainable in the future. Existing ERF’s in neighbouring areas are now at capacity and other options are becoming increasingly uncertain. • the ERF will be capable of addressing the current and predicted future shortfall in Dorset’s recovery capacity and will use local residual waste to generate low carbon energy. • Dorset is heavily reliant upon the import of power and energy for the majority of its power and energy need. The ERF will make a material contribution to efforts to create greater energy self-sufficiency, and a greener mix of energy supply. • supply of a shore power facility at Portland Port, that will deliver wider environmental benefits from reduced shipping related emissions, whilst supporting the port’s existing commercial operations and unlocking future regeneration potential. • the ERF will have the capability to supply low carbon heat, via a potential new local heat network, to existing heat users on Portland making efficient use of energy from residual waste.