19-05-2025
Oil refineries can go green, but they are not being given a chance
Wood Mackenzie's recent report on global oil refining should raise alarms. It warned that 101 of 410 refineries worldwide — 21 per cent of capacity — face closure within a decade.
This is especially true in the UK, where carbon taxes could be triple the global average by 2035. Refineries slow to adopt low-carbon technologies like carbon capture or alternative fuels are most at risk.
Grangemouth's closure this year, leaving just five UK refineries, underscores the trend. While Asia adds 800,000 barrels per day of capacity, the UK grows reliant on imports, risking supply disruptions, price volatility and geopolitical exposure.
Even the US Energy Information Administration has warned of possible fuel shortages following the closures of two major US refineries this year, cutting US
