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Fuel warning over plant shutdown | Fuel warning over plant shutdown |
(10 minutes later) | |
The management of Scotland's only crude oil refinery have started shutting it down after claiming a strike later this month will compromise safety. | The management of Scotland's only crude oil refinery have started shutting it down after claiming a strike later this month will compromise safety. |
Ineos said its refinery at Grangemouth would be closed for "at least a month", and warned the country to expect major fuel shortages. | |
About 1,200 members of the Unite union are to strike on 27 and 28 April in a dispute over pensions. | About 1,200 members of the Unite union are to strike on 27 and 28 April in a dispute over pensions. |
Unite said the changes Ineos wanted to make to pensions were "unreasonable". | Unite said the changes Ineos wanted to make to pensions were "unreasonable". |
Ineos said in a statement that it had taken the decision to start shutting down the Grangemouth facility on safety grounds. | Ineos said in a statement that it had taken the decision to start shutting down the Grangemouth facility on safety grounds. |
It is important that the plant is not only shut down safely but also remains safe through the strike period Ineos statement | It is important that the plant is not only shut down safely but also remains safe through the strike period Ineos statement |
The statement added: "Fuel shortages are likely to begin in Scotland as early as Friday 25 April, and the whole of Scotland could be without fuel for at least a month. | The statement added: "Fuel shortages are likely to begin in Scotland as early as Friday 25 April, and the whole of Scotland could be without fuel for at least a month. |
"It is important that the plant is not only shut down safely but also remains safe through the strike period and this process can take many days." | "It is important that the plant is not only shut down safely but also remains safe through the strike period and this process can take many days." |
The first stage of the closure began on Friday night, with the first plant on the site due to shut completely on Monday. | |
The remaining plants would be taken offline in a phased shutdown which would be completed by Friday. | |
The statement said that the action would also effectively shut down much of the North Sea's oil and gas production, a large proportion of which goes through Grangemouth, causing supplies to dry up and leading to shortages across Scotland and the north of England. | The statement said that the action would also effectively shut down much of the North Sea's oil and gas production, a large proportion of which goes through Grangemouth, causing supplies to dry up and leading to shortages across Scotland and the north of England. |
Tom Crotty, CEO of Ineos Olefins, said: "The union is well aware that a 48-hour strike will cause fuel chaos in Scotland and the north of England for weeks on end. | Tom Crotty, CEO of Ineos Olefins, said: "The union is well aware that a 48-hour strike will cause fuel chaos in Scotland and the north of England for weeks on end. |
"This is a huge oil refinery and they know you can't just turn it on and off like a tap. A month is our best guess but safety considerations will be at the forefront of everything we do. | "This is a huge oil refinery and they know you can't just turn it on and off like a tap. A month is our best guess but safety considerations will be at the forefront of everything we do. |
"They have deliberately chosen a course of action that is the minimum pain for them, but which will inflict the maximum pain on Scotland and the whole UK." | "They have deliberately chosen a course of action that is the minimum pain for them, but which will inflict the maximum pain on Scotland and the whole UK." |
Hundreds of jobs | Hundreds of jobs |
Mr Crotty described the union's claim that the refinery made £3m a day as "nonsense", and said Ineos needed to invest £750m into the site. | Mr Crotty described the union's claim that the refinery made £3m a day as "nonsense", and said Ineos needed to invest £750m into the site. |
He claimed that the strike threatened that investment, as well as hundreds of jobs, and would damage the UK economy. | He claimed that the strike threatened that investment, as well as hundreds of jobs, and would damage the UK economy. |
Phil McNulty, national officer of Unite, insisted that the company was profitable and the pension scheme was well-funded and affordable. | Phil McNulty, national officer of Unite, insisted that the company was profitable and the pension scheme was well-funded and affordable. |
The union has previously said that Ineos is planning to close the final salary pension scheme after taking £40m from it and slashing its own contributions. | The union has previously said that Ineos is planning to close the final salary pension scheme after taking £40m from it and slashing its own contributions. |
Mr McNulty added: "The changes to the scheme Ineos are proposing are unreasonable, unnecessary and have forced our members at Grangemouth to take industrial action for the first time." | Mr McNulty added: "The changes to the scheme Ineos are proposing are unreasonable, unnecessary and have forced our members at Grangemouth to take industrial action for the first time." |