A major investment aims to propel the North East’s green energy sector, creating thousands of skilled jobs and bolstering innovation in key industries.
Leaders of the North East Combined Authority have approved a multi-million pound investment to create thousands of new green energy jobs at two key sites in the region.
North East Technology Park (NETPark) at Sedgefield in County Durham and the Energy Central Campus in Blyth, Northumberland, will each receive a share of £16.8m North East Investment Zone (NEIZ) funds to unlock the development of electric vehicles, battery technology, and offshore renewable energy.
The investment will be made from the Combined Authority’s £160m flagship North East Investment Zone (NEIZ), which aims to drive growth across green energy and manufacturing businesses and is expected to unlock around £3 billion in private sector investment over the next decade.
Mayor Kim McGuinness said it showed her commitment to make the North East the home of real opportunity by creating green, skilled jobs, delivering first-class training and building on the region’s reputation in the offshore wind and renewable energy sectors.
Mayor McGuinness said: “The North East is a manufacturing powerhouse, with a proud heritage, and our investments are unlocking jobs and training for local people in the industries of the future.
“From battery technology to green energy, we’re playing a leading role in the creating prosperity and opportunity for our region and nation – whilst ensuring people in the North East can enjoy a well-paid job where they have live, rather than leaving us to secure decent work.
“I’m determined to attract more investment for local people in the North East, and we’re getting on with the job.”
The North East Investment Zone stretches from County Durham in the South to Northumberland in the North and includes sites in Newcastle, North Tyneside, South Tyneside, Gateshead and Sunderland.
NETPark is one of the UK’s premiere science and technology parks and is already home to three innovation catapults and three national innovation centres, with 40 companies employing 700 people.
An NEIZ investment of £11.3m will be used to unlock the next zone of the £100m NETPark phase 3 for future development and accelerate the development of a first commercial unit – expected to be 158,000 sq ft – in response to strong interest from potential inward investors.
This will involve the remediation of 548,000 sq ft of underdeveloped land, including delivering essential infrastructure works consisting of roads, groundworks, electrical grid connections and is expected to create more than 250 direct jobs and support 500 more in subsequent phases.
The works, to be led by Durham County Council’s Business Durham arm, will unlock major investment opportunities that would otherwise be lost to the region, and will create significant opportunities in the regional supply chain.
With contributions from the North East CA, Durham County Council has already invested £48m at NETPark and has committed to further investment of £24m subject to further funding being secured.
The Phase 3 expansion will provide in total 14 new innovation focused units across 16 hectares of space for offices, laboratories, and advanced manufacturing.
Blyth’s Energy Central Campus is at the heart of Northumberland’s plans to revive the town by making it a centre of excellence for the renewable energy sector.
North East CA cabinet is set to pledge £5.5m to complete the funding package for the Energy Central Institute (ECI), a new 28,245 sq ft higher education research and innovation facility as part of Energy Central Campus, to be built on the site of the former Keel Row shopping centre in Blyth town centre.
ECI is a flagship project for the region and seen as a part of the ‘solution’ to respond to skills needs in the green energy sector and realise the opportunities for growth
The institute will offer advanced training and qualifications in the offshore and renewable energy sectors, offering a ‘next step’ for learners at the Energy Central Hub on the Blyth Quayside nearby.
Energy Central Campus is a partnership approach with the Port of Blyth, Offshore Renewable Catapult and Northumberland County Council as founding partners and a Board consisting of a number of key businesses (Equinor, RWE, TFKables/JDR Cable Systems and regional Universities.
Cllr Michael Mordey, North East Combined Authority Cabinet Member for Finance and Investment and Leader of Sunderland City Council said: “These are exciting times for the North East.
“Advanced manufacturing and Green Industries include some of the fastest growing industries globally and we have real strengths in electric vehicle and battery production, offshore and renewable energy alongside space and satellite technologies here in the region.
“This investment in the critical infrastructure and enabling works as well as in specialist training – and most importantly the job creation this will lead to – will continue to place the North East firmly on the map as the destination of choice for key investments from companies of all sizes seeking to set up home or expand operations in the region in these key sectors.
“It is an important catalyst for growth, with more to come.
“We are well-established as a world leader in advanced manufacturing and this investment will help us build on that reputation opening up jobs and employment for the long-term benefit of all our communities.”
Cllr Glen Sanderson, North East Combined Authority Cabinet Member for Environment, Coast, and Rural and Leader of Northumberland County Council said: “The Energy Central Campus in Blyth is crucial to our ambitions in green energy and offshore.
“The Energy Central Institute will be at the cutting-edge in terms of providing the training and skills needed for the jobs being created by the renewable energy boom.
“It shows our absolute commitment to becoming world leaders in this field.
“The potential is there. We’ve seen similar initiatives both in the North East and elsewhere show the ability to attract several times the initial public investment in private sector funding.”
Cllr Amanda Hopgood, North East Combined Authority Cabinet Member for Culture, Creative, tourism and Sport and Leader of Durham County Council said: “This is a huge step forward for County Durham. It’s a significant investment that is in recognition of the fantastic employment opportunities that NETPark presents our region and is a further boost on the back of the £62m we as a council committed to the third phase of the site with support from the former North East Local Enterprise Partnership.
“We’re talking about the potential for ultimately thousands of new jobs and the ability to attract and retain businesses in the science, technology and engineering sectors.”
The £160m North East Investment Zone (NEIZ) is set to unlock growth across clean energy and green manufacturing businesses through its ten year programme. It is in addition to the £4.2b secured as part of the North East devolution deal.
NEIZ will have a particular focus on offshore and renewable energy, electric vehicle and battery manufacturing, and associated low-carbon manufacturing, materials, and research, on the following four sites:
Blyth Energy Central
River Tyne Economic Corridor
International Advanced Manufacturing Strategic Site (IAMSS) in Sunderland and South Tyneside
NETPark (North East Technology Park) in County Durham
In addition, businesses and residents across the wider region will benefit from supply chain and employment opportunities.
North East CA recommended in-principle approval for the £16.8 million in funding for these projects in its cabinet meeting at County Hall Morpeth in Northumberland on November 26.