Urgent Action Needed to Prevent “Disorderly Transition” as Scotland’s Only Oil Refinery Closes

Accelerated action and intensive work are required to avoid a “disorderly and unjust transition” when Scotland’s only oil refinery closes, a report has warned. With the Grangemouth refinery expected to close in 2025, the Just Transition Commission (JTC) highlighted a “lack of effective just transition planning to date.”

Petroineos previously announced plans to close the refinery and convert the complex into an import station for finished fuels. The move, potentially impacting hundreds of jobs, was a key topic when Prime Minister Sir Keir Starmer met First Minister John Swinney in Edinburgh after his election victory.

The Scottish and UK governments are funding Project Willow, which explores how the site can continue to play a role amid the transition away from fossil fuels. The JTC report stated that with adequate resources and urgent prioritization, both governments “can still play a positive role in reshaping Grangemouth’s economy.”

Describing a just transition plan for the site as a “major opportunity to reset relations between industry, workers, community, and the public sector,” the report emphasized the need for an accelerated schedule of intensive work through regular in-person meetings. It warned that without effective planning, the current path will lead to a disorderly and unjust transition.

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