The £20m facility will take non-recyclable plastics, destined for landfill, incineration or export overseas, and use them to create sustainable hydrogen.

This will then be used as a clean fuel for buses, cars and HGVs, with plans for a linked hydrogen refuelling station on the site.

The 13,500 tonne facility will be the second in the UK to use pioneering technology developed by Powerhouse Energy Group, after plans for a similar facility at Peel NRE’s Protos site in Cheshire were approved in 2019. 

Richard Barker, director at the new renewable energy division Peel NRE, part of Peel L&P, said: “Plastic is often demonised, but we have seen how essential it is in industries like healthcare. We do need to recycle as much of this plastic as possible and also get as much value from unrecyclable, end-of-life plastic.

“By co-locating a refuelling station, we can help to kick start the infrastructure needed to support the rollout of hydrogen vehicles which will be an important part of our journey to net zero.”

Zero Waste Scotland estimates that around 500,000 tonnes of waste plastic are produced in Scotland every year, with research undertaken by Anthesis, on behalf of Peel NRE, showing that around 300,000 tonnes are within the central belt of Scotland.

In the coming months, Peel NRE will be consulting with the local community and stakeholders around the North Clyde site, ahead of submitting a planning application to West Dunbartonshire Council later this year.

Peel NRE has signed a collaboration agreement with Powerhouse Energy Group to develop 11 waste plastic to hydrogen facilities across the UK over the next few years, with the option of exclusive rights for a total of 70 facilities.