The UK's biggest independent supplier to the fish and chip industry is aiming to slash the costs of fuelling its fleet of vehicles by making its own biodiesel from used cooking oils.
Henry Colbeck’s new onsite biodiesel-processing facility has begun recycling waste oils collected from shops across Scotland and the North of England.
Based in Gateshead, the company's 32 vehicles use ½ million litres of fuel every year and the £100,000 investment in its own processing unit will see the company return to its roots.
Set up in 1893, Henry Colbeck originally supplied paraffin and fuel, before moving into the supply of edible oils.
The company remains under the ownership of the Colbeck family and is run by chairman, Bill Colbeck, his son, Douglas, and managing director, Andrew Naylor.
Mr Naylor said:
"New legislation means users of cooking oils must dispose of their waste fats more responsibly so the collection of the material has become a growth area in the industry over recent years.
"We are able to sell the used oils and fats on to producers of bio-diesel, but as we consume so much fuel ourselves it made sense for us to investigate how we could make cost savings and at the same time make a serious environmental contribution. Biodiesel made from waste oil is greener than green as it overcomes the food versus fuel dilemma associated with biodiesel production from virgin oil.
"We have been using a 50% blend in our trucks for the past three months. Initially, our cost savings on fuel will be off-set by the need to service the vehicles more regularly, but we are confident that this will reduce and that we will also be able to increase the blend."
Advisors from the Manufacturing Advisory Service (MAS) funded a project by Wayne Hayes Consultants to source and manage the installation of a bio-fuel production facility at the company's 4000 square foot facility in Gateshead.
MAS manufacturing specialist, Alan Hewett, added:
"The production equipment was constructed in modular form in Lincolnshire, before being split and transported by road to Gateshead.
"On site preparation of the electrical supply, air, ventilation, building and drainage works took four weeks with the final equipment installation completed in three days."
Henry Colbeck secured a £27,000 Selective Finance for Investment grant from regional development agency One North East towards the project, which is set to create seven new jobs at the site.
Ken Samson, Business Finance Manager at One North East, commented: “Alternative energy is at the top of many agendas at the moment due to global warming and the high cost of fossil fuel.
“By recycling its waste material, Henry Colbeck is embarking on an innovative project that will change the way its produce is transported and create a number of specialist jobs in the North East. I am pleased that One North East can show its support for this long-established family firm in the region.”
The company aims to follow the example set earlier this year by successful Dragon's Den company, Ecologistics - the first haulage company to use a 100% biodiesel blend.
Contacts: Jamie Ollivere at RTC North on 07950566182 or Melanie Armstrong at One North East on 0191 229 6894
Notes to editor: BERR Manufacturing Advisory Service (MAS) plays a vital role in giving UK manufacturers the support they need to improve productivity and achieve success in an increasingly competitive global economy. MAS North East offers easy access to dynamic, articulate and approachable manufacturing specialists who can provide hands-on practical assistance focussed on real bottom line benefits. Companies who have used MAS North East have seen it increase the value of their business through a combination of increased turnover and reduced costs. The service was launched in April 2002 and forms an important part of the Government's Manufacturing Strategy.