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| Teesworks battle brewing as hydrogen and AI plans compete | Teesworks battle brewing as hydrogen and AI plans compete |
| (32 minutes later) | |
| BP and South Tees Group have competing plans for part of the Teesworks site | BP and South Tees Group have competing plans for part of the Teesworks site |
| A battle is brewing between two major emerging technologies for a former steelworks site. | A battle is brewing between two major emerging technologies for a former steelworks site. |
| BP is seeking a development consent order (DCO), which is required for nationally significant infrastructure projects, for a blue hydrogen plant on the Teesworks site in Redcar. | BP is seeking a development consent order (DCO), which is required for nationally significant infrastructure projects, for a blue hydrogen plant on the Teesworks site in Redcar. |
| If approved, with the government set to make a decision by 28 August, it would give BP the power to compulsorily purchase the land it needs. | If approved, with the government set to make a decision by 28 August, it would give BP the power to compulsorily purchase the land it needs. |
| But the landowners, South Tees Group, have different plans for the site and want to build a giant AI data centre on it instead, which has been approved by the local council. | But the landowners, South Tees Group, have different plans for the site and want to build a giant AI data centre on it instead, which has been approved by the local council. |
| The Teesworks site, which is one of the biggest brownfield regeneration sites in Europe, is run as a joint venture between the publicly-owned and funded South Tees Development Corporation, led by the Tees Valley Combined Authority (TVCA), and two Teesside businessmen, Martin Corney and Chris Musgrave. | The Teesworks site, which is one of the biggest brownfield regeneration sites in Europe, is run as a joint venture between the publicly-owned and funded South Tees Development Corporation, led by the Tees Valley Combined Authority (TVCA), and two Teesside businessmen, Martin Corney and Chris Musgrave. |
| The men initially owned 50% of the shares of Teesworks, but that was raised to 90% in 2021, with the remaining 10% staying in public hands. | The men initially owned 50% of the shares of Teesworks, but that was raised to 90% in 2021, with the remaining 10% staying in public hands. |
| 'Not as much public benefit' | 'Not as much public benefit' |
| In June, South Tees Group (STG), the collective name for the venture behind Teesworks, submitted a planning application to Redcar and Cleveland Borough Council seeking to build a data centre on 123 acres (50 hectares) of its land. | In June, South Tees Group (STG), the collective name for the venture behind Teesworks, submitted a planning application to Redcar and Cleveland Borough Council seeking to build a data centre on 123 acres (50 hectares) of its land. |
| The data centre would be housed on a specific patch of land that BP had already earmarked for its hydrogen plant – H2Teesside. | The data centre would be housed on a specific patch of land that BP had already earmarked for its hydrogen plant – H2Teesside. |
| In a letter detailing its opposition to BP's plans, STG's team claimed the proposed data centre was of "critical national importance" and they were in "advanced discussions" with a prospective occupier. | In a letter detailing its opposition to BP's plans, STG's team claimed the proposed data centre was of "critical national importance" and they were in "advanced discussions" with a prospective occupier. |
| In opposition to STG's plans, BP's team wrote in a letter that H2Teesside was of "national significance" and would provide a "significant contribution" to the UK's net zero targets. | In opposition to STG's plans, BP's team wrote in a letter that H2Teesside was of "national significance" and would provide a "significant contribution" to the UK's net zero targets. |
| "A data centre would not deliver comparable levels of public benefit," it said. | "A data centre would not deliver comparable levels of public benefit," it said. |
| H2Teesside would be one of the largest blue hydrogen plants in the UK | H2Teesside would be one of the largest blue hydrogen plants in the UK |
| BP said the plant would be one of the UK's largest blue hydrogen facilities and represent more than 10% of the government's hydrogen production target by 2030. | BP said the plant would be one of the UK's largest blue hydrogen facilities and represent more than 10% of the government's hydrogen production target by 2030. |
| Blue hydrogen plants split natural gas into hydrogen and carbon dioxide. | Blue hydrogen plants split natural gas into hydrogen and carbon dioxide. |
| BP had asked the local authority to wait until the government had made its decision over H2Teesside before it considered STG's data centre plans. | BP had asked the local authority to wait until the government had made its decision over H2Teesside before it considered STG's data centre plans. |
| But on Friday, the council approved STG's plans for the data centre. | But on Friday, the council approved STG's plans for the data centre. |
| BP said it would "now take the time to consider this decision in line with our proposals". | |
| It is unclear what may occur next. | It is unclear what may occur next. |
| BP said it had been seeking to find a position of "co-existence" with STG over both their aspirations for Teesworks. | BP said it had been seeking to find a position of "co-existence" with STG over both their aspirations for Teesworks. |
| "[We remain] willing to continue those discussions on proposals that would enable both developments to co-exist," a spokesperson said. | "[We remain] willing to continue those discussions on proposals that would enable both developments to co-exist," a spokesperson said. |
| Teesworks said its focus remained on job creation, long-term economic growth and "generating positive outcomes for the local community". | Teesworks said its focus remained on job creation, long-term economic growth and "generating positive outcomes for the local community". |
| Follow BBC Tees on X, Facebook, Nextdoor and Instagram. | Follow BBC Tees on X, Facebook, Nextdoor and Instagram. |