The Pembroke Net Zero Centre (PNZC) by renewable energy firm RWE could boost the Welsh economy by millions of pounds and create thousands of jobs.
That is according to a new report by Cardiff Business School which estimates that the benefits accrued during construction and operation of the net zero project will provide value to the local Welsh economy and safeguard jobs while creating new ones.
The report, commissioned by RWE, found that construction of the net zero centre between 2023 and 2038 could boost the Welsh economy by around £41m to 68m of GVA per year and create between 900 and 1,500 jobs.
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In that time, PNZC could also support annual Welsh construction activity by £46m - £77m per annum.
Once operational by 2040, the report predicts the centre will boost the local Welsh economy by £28m of GVA each year and create a further 270 jobs.
RWE is the third largest renewable energy firm in the UK. It has 12 operational sites including onshore and offshore wind, hydropower and its gas plant in Pembroke.
The PNZC will be built at the existing Pembroke gas power station, which currently employs around 100 with an annual operational and capital spend of over £60m, contributing an estimated £17m GVA per annum to the local economy.
It will be implemented in three parts: large scale green hydrogen production, floating offshore wind from the Celtic Sea, and the decarbonisation of the power station itself by fitting carbon capture and storage (CCS) or using low-carbon hydrogen as a fuel.
RWE said it has chosen Pembroke for its net zero centre because it has all the elements to the energy and industrial carbon trilemma - offshore wind accessibility, land for development of an electrolyser, grid and power connections, energy-intensive surrounding industries, and a gas power station.
Richard Little, former manager at the power station and now director of the PNZC, said: "The Pembroke plant has for a long time added far-reaching value into the Welsh economy creating and supporting high quality jobs in the region. With the future development of innovative low carbon energy technologies such as hydrogen, carbon capture, battery storage and floating wind from the Celtic Sea, the site has the potential to double GVA and almost triple job creation for Wales. Together these technologies will also support RWE in reaching its international goal to be carbon neutral by 2040."
He added: “What is clear is the site will play a key part in the energy transition over the coming years offering an enormous opportunity to suppliers, businesses and for employment across Wales.”
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