The firm behind the new Baldovie incinerator project in Dundee – which was to provide steam to the Michelin factory – expects to be compensated if the tyre company closes its city site.
Earlier this month MVV Environment Baldovie Ltd, which is behind the £100 million energy-from-waste combined heat and power facility, said construction work on the steam pipeline to the neighbouring Michelin factory would continue.
Its recently filed annual accounts state: “Michelin have announced the proposed closure of their plant in Baldovie. MVV has invested in a pipeline to supply the Michelin plant with steam.
“This pipeline will, possibly, not now be used in the future.
“At this point the directors are of the opinion that the closure of the plant is likely to result in financial compensation that exceeds the value of the asset.”
Michelin declined to comment on the claim.