THE North-East can become a world leader in an emerging form of green energy, which could help fill the void left by traditional industry, but only if Government investment is given in tomorrow’s Budget, it was claimed last night.

The region’s research into carbon capture and storage (CCS) – a rapidly-developing form of energy which mitigates the effect of fossil fuel emissions by capturing carbon dioxide – and its capabilities in pioneering the technique have seen the North-East become one of only a few places in Europe to be so advanced in the field.

Shadow Energy Secretary Greg Clark said that the North-East, in particular Teesside, could lead the world in CCS, provided funding is released in the next 12 months to ensure it can compete with firms from across the Continent and from its biggest rival, China.

Mr Clark, also Shadow Minister for Teesside, said CCS had the potential to become an established industry in the region, in the way that shipbuilding and mining have been in the past.“Carbon capture is an industry that is emerging around the world, and this region is at the forefront of that. We have the capability, the technology and the skills to make this into a major 21st Century industry, one which the region could be renowned for. It’s a very exciting time,” he said.

“However, investment needs to be committed within the next 12 months to ensure that Teesside and the North- East can capitalise on its outstanding facilities and techniques to become the world leader in this field, but so far the Government has been dithering instead of enabling this region to lead the way. We need to see investment, and tomorrow’s Budget provides the opportunity.”

Mr Clark also said the Budget provided an opportunity for Chancellor Alistair Darling to readdress the issue of Empty Property Rates (EPR).

Relief was scrapped in April last year and, as a result, businesses have been forced into measures including demolishing unoccupied buildings and making people redundant as they fight to find the money to pay the rates.

Backing the Building on Success campaign, run by The Northern Echo and North- East Chamber of Commerce, which calls for full relief to be reinstated, Mr Clark said: “It really was a kick in the teeth for relief to be taken away. It makes a bad situation for businesses worse, and has tipped some companies over the edge.

“Really, this is the last chance this year to make a difference to business and relieve this burden. There is an opportunity here to tackle this issue and it is hugely important that it is taken.”