Greenergy has announced plans to begin a consultation process regarding a proposal to cease production at its biodiesel facility in Immingham, Lincolnshire. Despite efforts to reduce costs and enhance the plant’s viability, operations at the Immingham site continue to face challenges due to unfavorable market conditions. These include the relatively slower pace of increases in the UK’s biofuels blending mandates compared to other European nations, and competition from subsidised biodiesel imports from the United States.
This development follows the company’s strategic review of its Immingham biodiesel operations, which was initiated in late May 2025. Greenergy stated that consultations with affected employees will commence as soon as possible, with a commitment to providing full support to staff during the process.
Greenergy CEO Adam Traeger commented, “Entering consultation on the proposed closure of our Immingham plant has been an extremely difficult decision and one we have not made lightly. However, given ongoing market challenges and a lack of clarity around future UK biofuels policy, we cannot justify the significant investments needed to ensure the site’s competitiveness. We are urgently seeking discussions with government ministers to advocate for increased use of biofuels in the UK’s petrol and diesel supplies—an action that would support the sector and contribute to emission reductions, especially from heavy goods vehicles.”
Traeger added, “This decision is in no way a reflection of the hard work and commitment of our employees at Immingham. I want to sincerely thank them for their outstanding efforts. Our main focus now is on supporting them through this challenging time.”
