Neste to Receive EU Funding for Chemical Recycling Project | Article

neste received a positive grant decision from the European Innovation Fund for a maximum amount of 135 million euros for its project to extend the chemical recycling capacities of its Porvoo refinery in Finland.

According to Neste, the PULSE (Pretreatment and Upgrading of Liquefied Waste Plastic to Scale Up Circular Economy) project aims to implement the company’s proprietary technologies that pretreat and upgrade liquefied plastic waste. The company is looking to increase its capacity by 400,000 tonnes per year, contributing to its goal of processing more than 1 million tonnes of plastic waste per year from 2030.

Neste adds that the PULSE project plays an important role in commercializing the chemical recycling of plastic waste, as it targets the quality gap between unprocessed liquefied plastic waste and the raw material needs of the petrochemical industry.

The company says it has received a positive grant decision from the European Innovation Fund, meaning it could secure funding of up to €135 million for the PULSE project. This year, the European Innovation Fund is set to invest more than €1.8 billion in 17 large-scale projects that are meant to contribute to a low-carbon society.

Following the positive grant decision, individual grant agreements will be prepared with the European Climate, Environment and Infrastructure Executive Agency (CINEA) in charge of the Innovation Fund.

Mercedes Alonso, Executive Vice President of Renewable Polymers and Chemicals at Neste, comments: “We are delighted to be among the projects selected by the European Innovation Fund.

“While showing recognition and faith in our work on chemical recycling, the funding also highlights the importance of the approach itself. If we want to move towards a circular economy for polymers and chemicals, chemical recycling will have a major role to play.

Neste announced a feasibility study assessing investments related to the PULSE project in March 2022. The company adds that investment decision readiness is targeted for 2023 and phased implementation is expected to begin in 2024.

In January this year, Neste concluded a series of industrial scale processing trials at its Porvoo refinery. The company says it successfully processed around 800 tonnes of liquefied plastic waste at its Finnish refineries as part of the trials.