INEOS Secures €300 Million Backing to Accelerate Lavera Decarbonisation

ineos-secures-e300-million-backing-for-lavera-decarbonisation
Image Source: Press Release.

INEOS has announced a €300 million investment, supported by grants from the French government, to advance the next phase of its Lavera regeneration programme. The project will reduce carbon dioxide emissions by 331,000 tonnes per annum—equivalent to removing more than 70,000 cars from the road each year. At the same time, the investment strengthens the long-term competitiveness of the Lavera site, safeguarding thousands of highly skilled industrial jobs.

Support Through France 2030 Decarbonisation Scheme

The funding comes under the French government’s ‘Appel d’Offres Grands Projets Industriels de Décarbonation’ (AO GPID) initiative, part of the broader France 2030 strategy. The scheme is administered by ADEME and provides grants to large-scale industrial projects that deliver verified emissions reductions over a 15-year period. Through this support, France aims to cut reliance on fossil-based energy while accelerating industrial decarbonisation across strategic sectors.

Securing Jobs Amid Europe’s Industrial Pressures

Importantly, the investment comes at a critical time for Europe’s chemical industry. As high energy costs and intense global competition force plant closures across the continent, the Lavera upgrade offers stability and long-term visibility. The project will support approximately 2,000 direct employees and more than 10,000 jobs across the wider supply chain, reinforcing France’s industrial base.

A Strategic Asset for French Manufacturing

Lavera plays a central role in France’s industrial ecosystem. Its products and pipeline infrastructure feed into key value chains, including:

*Pharmaceuticals and healthcare

*Aerospace and transport

*Clean energy technologies

*Food packaging

*Defence applications

By maintaining these capabilities domestically, France strengthens its industrial sovereignty, economic resilience, and technological leadership—particularly as Europe faces rising import dependence on the United States and China.

Pathway to Net Zero and Circular Economy Growth

Looking ahead, the upgrades will transform Lavera into a more profitable, lower-carbon facility with a defined pathway to net-zero emissions. As electrification and carbon capture technologies mature, the site will be positioned to further reduce its environmental footprint.

In addition, the investment supports France’s circular economy objectives. The Lavera cracker will be upgraded to process greater volumes of sustainable feedstocks derived from recycled plastics and bio-based materials, gradually replacing fossil-based inputs.

Total Investment Exceeds €550 Million

Combined with the €250 million investment announced in November 2025, INEOS’ total planned investment in Lavera now exceeds €550 million. This substantial commitment underlines the company’s long-term strategy to modernise its European operations while improving sustainability performance.

Call for Broader European Competitiveness

Despite this progress, INEOS continues to urge policymakers to take decisive action to restore competitiveness across Europe’s chemical sector. Without structural reforms, the company warns that industrial decline could accelerate, leading to job losses, higher global emissions, and increased dependence on imports.

Long-Term Commitment to France

As per the press release, the Lavera investment signals INEOS’ continued commitment to France’s industrial and climate ambitions. The company will work closely with the French government throughout planning and implementation. It will ensure the site remains competitive, resilient, and aligned with national decarbonisation goals.