Glasgow based developers secure £600m power station sale.
Glasgow based landowners and regeneration company, NPL Estates have signed a groundbreaking agreement with Welsh Power to deliver an 850MW CCGT (combined-cycle gas turbine) power station project in Hillhouse International Business Park, Thornton, Lancashire.
The owners, NPL Estates Ltd, who are based in Glasgow but with offices throughout the UK, have successfully concluded with Welsh Power a £600million development plan to build a new 850MW power station. The project is part of the larger redevelopment of the 800 acre site which has been successfully developed over a number of years by NPL and now employs over 1400 people.
As part of the project, a full consultation exercise will be undertaken by NPL with local businesses and residents before a formal planning application is made to the Government Department for Business, Enterprise and Regional Reform (BERR).
The site was previously given consent for a gas-fired power station but it lapsed some time ago. However, the project was picked up by NPL as part of their larger infrastructure development of the site. It is expected that the development of the new power station will create 650 jobs during construction and once completed will employ 40 highly skilled permanent jobs. It is expected that the connection to the national grid will be in 2012.
NPL Managing Director, Simon Towers said “This transaction adds further strength to our Energy Division and compliments the significant progress made with our mixed-use regeneration project at Hillhouse.”
Commenting on the announcement, Alex Lambie, Chief Executive of Welsh Power, said “Given the small number of sites connecting to the national grid this is a major milestone in the continuing expansion of the Welsh Power Group.”
This is another step in the ongoing process of the redevelopment programme NPL has been working on for the past 8 years. The company has transformed what was a derelict brownfield site into a thriving business location thanks to the commitment and substantial inward investment of NPL Estates. Capital investment on the site is currently running in excess of £130 million, targeted at new builds, extensions to existing plants and upgrading site infrastructure, with a further £200m committed investment targeted at building a sustainable business and residential community. Since NPL took over the ownership and management of Hillhouse Business Park there are now some 45 wide-ranging businesses on site covering a wide spectrum of differing skills from maintenance, construction, engineering and professional people from the UK, Mainland Europe and the Far East.
Wyre Borough Council Leader Councillor Russell Forsyth said: “At a time when the economy is in decline the proposal represents a significant investment into the borough and if approved will generate power for thousands of home and businesses. Welsh Power is a well-established major national company and I can assure local residents that we will ensure they are given every opportunity to comment upon the proposal.”
Wyre Borough Council Director of Planning & Regeneration Garry Payne said: “The concept of modern power generation at this strategic employment site would compliment the existing businesses and could be the catalyst for further inward investment. A wide-ranging consultation exercise will be undertaken prior to the submission of any applications to the relevant government department.”
NPL partners Robert McFarlane and Eric Taylor stated: “From the outset, NPL has built and maintained strong links with the local community, and with support from the local authority have taken one of the largest derelict brownfield sites in the north west of England and transformed it into one of the most successful for real growth delivering new investment and employment for the whole area.”
Alex Lambie, Chief Executive of Welsh Power
& Robert McFarlane, Group Chairman & Chief Operating Officer, NPL Estates
Signing the Contract
For further information please contact:
Isabel Barnes, Operations Director, NPL Estates - 0141 242 7900
18 August 2008