Ensus shutters Teesside ethanol facility

by World Grain Staff
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TEESSIDE, ENGLAND — Ensus said recently that due to market conditions it has temporarily shut down its biorefinery at Wilton on Teesside in North East England.

The facility, which opened in 2009, uses 1.2 million tonnes of animal feed wheat to produce 400 million liters of ethanol, 350,000 tonnes of high protein animal feed and 300,000 tonnes of carbon dioxide, which is used in soft drinks and food production. The plant uses electricity and steam from a combined heat and power plant.

Ensus said in the past six months, demand for European produced ethanol was hit by slow implementation of the E.U.’s Renewable Energy Directive and delays to voluntary sustainability scheme approvals.

This delay has created market uncertainty for European producers. At the same time, the European ethanol market has continued to draw in biofuel imports, primarily from the U.S. These imports take advantage of loopholes in E.U. import legislation to avoid established tariffs, bringing ethanol of uncertain origin and sustainability into the European market, Ensus said.

Ensus said it remains committed to operating and growing its European business. The company said it fully expects the market to improve in the coming months as implementation of the regulatory framework for biofuels catches up with the agreed E.U. legislation.
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