Valero Energy to build £127m CHP unit

US-based company Valero Energy is set to begin a £127m project that would create a combined heat and power cogeneration unit at its Pembroke refinery in Wales.

The CHP cogeneration unit is allegedly the first project that has attained planning permission as a Development of National Significance process under the Planning (Wales) Act 2015.

The project will see the construction of a new 45MW unit that will be supplying the power to the refinery, and also helps the company to improve the energy efficiency and also control future electricity costs.

Valero vice-president and Refinery general manager Ed Tomp said: “This project is important to maintaining the refinery’s long-term viability. The decision to approve our CHP Unit plans by Valero management caps a year of tremendous effort to obtain approval for this major investment in the Welsh economy.”