BECCS Project Will Use Supply Chain Management Software

Digital Procurement Can Keep Large Projects Under Budget

According to a report released by the global consulting firm McKinsey & Company, large-asset projects typically take 20% longer to finish than scheduled and are up to 80% over budget. The leading causes include supply-chain issues, invalid information, and poor communication with contractors and suppliers.

Worley and Drax desire a better method for managing the massive materials and services required to keep the BECCS project within budget and on schedule. To this end, the use of local materials and services will further emphasize success measures for business, community, and national interests. Moreover, the engagement of local companies will ensure more reliable and resilient supply chains.

Drax, Worley, and NOF, the UK’s leading energy sector business development organization, held informational events. The “meet the engineers” sessions explained how local businesses can qualify for the contracts to construct the Yorkshire BECCS units. Over 300 companies across Yorkshire and Humble areas attended these meetings.

“We want to put British businesses at the heart of our plans to deliver BECCS, allowing them to benefit from hundreds of millions of pounds worth of new contracts. Negative emission technologies like BECCS will play a vital role in enabling the UK to reach its net zero goals, as well as creating exciting opportunities for Britain to lead the world in a vital technology, creating a new sector of the economy.”—Graham Backhouse, Drax’s Commercial Director for the BECCS project.

“Requis’ digital-enabled platform provides a new ecosystem for energy projects in the UK and globally. Digital supply chain and procurement processes provide a custom information flow for local companies to participate in new energy projects. Because it’s free to sign on to Requis, it’s a low barrier to entry experience for suppliers and service enterprises. ”— Loic Coyot, Business Operations Director of Requis.

Applying Lessons Learned in Supply Chain Management

COVID-19 has taught many supply chain lessons. Consequently, owners, EPCM partners, and service providers acknowledge that a new approach to project management is needed. To keep the BECCS project on schedule and under budget, transparency and resilience within the supply chains are critical, as is the minimization of logistics delays, cost overruns, and other risks.

Requis’ Enterprise Cloud platform will manage the procurement, inventory, and services processes of Drax’s BECCS project. The Requis digital solutions fully integrate supply chain processes in a secure and transparent environment. On the Requis platform, all suppliers must bid against the normalized pricing sheet. This method streamlines the overall RFQ process flow for all suppliers regardless of company size.

How Can Supply Chain Management Software Help

By eliminating paper and manual processes, supply-chain managers, contractors, suppliers, and project managers can access real-time information on a single online platform. In addition, transparency of bids and accurate inventory data will improve communication with suppliers, contractors, and project managers, thereby minimizing construction delays and risks.

“We’re supporting the investment and scale up of the UK supply chain to maximize local business participation working alongside Drax, NOF, and Worley’s e-procurement partner Requis. Requis provides a digitally enabled platform where qualified suppliers can register their materials and services in line with what’s required for the project scope, driving opportunity for the UK supply market.”—Bradley Andrews, President of Worley.

“Requis’ Enterprise Cloud technologies onboard and facilitate supplier capability reviews in one platform. Accordingly, Drax, Worley, and the Requis team can collaborate seamlessly. More importantly, all suppliers will have live support and webinar training through the Requis platform.” —Loic Coyot, Business Operations Director of Requis.

BECCS Project Overview

The North Yorkshire power facility is the UK’s largest single-site renewable/biomass generator and produces 12% of the region’s renewable electricity.

Over the next decade, Drax plans to invest £2 billion in constructing two BECCS facilities at the North Yorkshire power site. Construction is forecast to start in 2024, with the commissioning of the first unit in 2027 and the second by 2030.

Government Buy-in

BECCS technology is essential for mitigating carbon emissions by capturing CO₂ from power plant emissions. The new units will combine Drax’s negative-emissions technology (BECCS) and renewable electricity generated from biomass.

Drax’s BECCS is part of the East Coast Cluster, a partnership between Zero Carbon Humber and Net Zero Teesside. The UK government selected the East Coast Cluster as a priority in developing regional carbon capture. Humber and Teesside account for over half of the UK’s industrial emissions. Decarbonizing these regions is critical to meeting the UK’s net-zero targets by 2050.

The BECCS project will enable the power station to operate as carbon-negative and contribute to Humber’s ambition to become the UK’s first zero-carbon industrial cluster.

“Drax’s BSCC project provides the UK with a once-in-a-generation opportunity to kick start a whole new sector of the economy and lead the world in a vital green technology needed to address the climate crisis. BECCS at Drax will not only permanently remove millions of tons of CO₂ from the atmosphere every year, but it will generate the reliable, renewable power this country needs. No other technology can do both.”— Will Gardiner, Drax Group CEO.

The plans for the BECCS were submitted and accepted by the Planning Inspectorate in June 2022. Furthermore, a final decision and recommendation from the Secretary of State are expected by next year.

Wrap-up

Worley is prequalifying suppliers/contractors for upcoming work through the Requis platform. Companies desiring to participate in the Drax BECCS project must register to receive a Request for Expression on Interest (RFEI).

Interested businesses can obtain more information now.

Learn More About Drax

Drax Group’s purpose is to enable a zero carbon, lower-cost energy future, and in 2019 announced a world-leading ambition to be carbon negative by 2030, using Bioenergy with Carbon Capture and Storage (BECCS) technology. For more information, visit Drax.

Learn More About Worley

Worley delivers projects, provides expertise in engineering, procurement, and construction, and offers a wide range of consulting and advisory services. We cover the full life-cycle, from creating new assets to sustaining and enhancing operating assets, in the hydrocarbons, mining, mineral, metals, chemicals, power, and infrastructure sectors.

Our resources and energy are focused on responding to and meeting the needs of our customers over the long term, thereby creating value for our shareholders. For more information, visit Worley.

Get Requis Supply Chain Management Software

The Requis platform provides greater flexibility, access, and information transparency for supply chain professionals. The centralized supply-chain platform enables real-time data and access; it supports improved decision-making and better management of project risks and costs.

In addition, the Requis platform streamlines and digitalizes the transaction of project procurement, thereby improving cost control and construction schedule management.

For more information, visit Requis