If anyone had bothered to read the ever declining Evening Gazette last Friday, you could have been excused for thinking the second coming had arrived from the skies over Teesside. As it was, and as I don;t know at the time of writing how he came up here, this second coming was either the more prosaic sight of David Cameron landing in a small executive jet at Teesside airport (probably the only flight of the day, given the general somnolence that coats this once busy transport hub) or at Darlington Station - and, if so, ironically courtesy of a state run and profitable East Coast Train.
He was here to announce the worst kept secret of the month - that the Government had given the green light to the 'City Deal' - the much vaunted initiative to give a boost to Teesside's process sector and low carbon economy.
This was done in front of a captive and unenthusiastic audience of workers at Eaglescliife's Tetley Tebag factory - handy for Stockton South Toryboy James Wharton, as it is in his constituency. It seems that the workers were told that a 'mystery guest'was coming, and the plant would be shut down for the occasion. Trouble was, was that the rumour went round it was Olly Murs, and the disappointment when DC turned up was palpable. It was a press occasion, but even this was wasted, when the Gazette, out of all the issues they could have quizzed him on, had instructed their reporter to ask him about of all things, Stockton's Christmas Tree. ............. words fail me.
However, back to the City Deal As always, the devil is in the detail, and when one looks at what will be on offer, the actualitie, as against the headlines, is pretty vague. This didn't seem to stop an orchestrated hosanna of praise from some of our civic leaders and MP's who I suspect had not analysed the bid in any depth. The reality is we have some concrete proposals that are very supportable, one that could worry some people and a lot that are still in the air. We need to recognise the fact that this announcement does not mean the streets of Teesside will be overflowing with new sherbet fountains or golden elephants.
Pipe dream - or nightmare ?
From PRT's reading it looks as if the one key project given the green light for implementation is the district heating scheme for Wilton, a project to utilise the waste heat (and there is a lot of it) from the chemical site to heat local homes. This has big implications for Dormanstown and Grangetown (as district heating schemes are limited by distance) Coast and County will be big players here, and Redcar and Cleveland Borough Council will have to be on ball in terms of the planning and street works that will be needed.
The Carbon Capture and Storage bid seems to be limited at the moment to ask local agencies to begin 'design and conceptualisation' which is something and nothing, as much work has already been done here by firms like Progressive Energy and many of the local chemical players. I gather from well informed sources that there was a lot of resistance to this project from DCLG and DECC civil servants, worried as they were, that this might be dissed by their knuckle dragging ministers as 'green crap'.
The one element that may worry some people - the so-called 'flexible planning system' (basically applying the existing Wilton Instrument of consent to South Tees and Seal Sands) has been agreed and has to be developed by the middle of next year. This gives our local council planners the time and space to make sure this does not become a green light for developers looking to see the area as a dumping ground for projects which are problematical (toxic wastes, etc). This means clear instructions need to be given by Stockton and Redcar and Cleveland Borough leaders to their planning teams to make sure that the parameters of the new designation can block such developments.
All the rest seems to be agreement in principle which we will have to monitor. However, one scheme, the transformation of the Grangetown TATA labs into a multi-industry Research and Development Unit needs to be given more priority as TATA, who have made it clear that they want to divest from this former BSC / Corus facility, will not wait around for government fannying about..

All Gas and hot air ?
There are some big losers. In geographical terms there seems little for either Darlington or Hartlepool, with the main investment going to schemes in Stockton and Redcar and Cleveland. Crucially, transport planning and spending on projects for this area, I hear, was rejected outright at the first Tees Valley Unlimited / Government meeting by Department for Transport civil servants who were not going to cede any powers over project funding whatsoever. (and probably worried that this would expose further the fact that most transport funding is going to London for things like Crossrail) . This will also impact on the ability for Teesside to provide first-class logistics by road, rail, sea and air arising from the overall scale of development.
In terms of jobs, there is an element on apprenticeships but the bid was always seen as 'a capital development based' bid. The key argument is whilst the job creation element at the end is small (that is the logic of chemicals / process development), the locational pull of this development creates jobs down the supply chain such as with end users, logistics and process engineering fabricators. This is a realistic and supportable prospectus, but it will still need extra support in training and development to support these activities, as City Deal in itself will not have the cash or powers to move into these sectors.
Also fascinating in the general hoo-ha is that no-one has said anything about the 'combined authority' condition. This one was insisted on by government, but seems to have been buried by a combination of Borough big-wigs and Chief Executives who are not going to vote for an early Christmas. I suspect too, that, as any new Teesside or Cleveland wide council would be both a powerful beast and one controlled by Labour, people like Eric Pickles or Cameron are not going to run vigorously on this one.
The key issue is whether it all really means anything - or nothing. One comment from a future Teesside politician - Redcar's PPS Anna Turley - sums this all up, and is welcome, coming as it does for a person hoping to capture a seat which may benefit from the City Deal. Her release - making a key point on the highly abstruse, but central issue of 'additionality' against other government funding streams (something also picked up on by the Northern Echo) is below
"Labour and Co-operative Parliamentary Candidate Anna Turley reacted to the news of the Tees Valley 'City Deal' with a welcome - but also a warning.
Anna said "The news that the City Deal has been accepted is one I welcome in principle. Support for the expansion of the crucial process industry sector on Teesside, an area of existing excellence, has strong local roots and local support. At a time when long-term unemployment has increased on Teesside every gesture from this government helps.
"However, I feel this deal could have gone further, and doesn't come close to the scale of support Teesside had under the previous government. There is nothing here to support local transport and very little on skills - key barriers in driving growth and jobs on Teesside. The scale of financial investment in industrial infrastructure is insufficient and is less than the cost, for example, of the sea defences in Redcar. While 'unlocking private sector investment' sounds great, there is no financial commitment here from the government. The proof will be in the pudding.
"At the same time I have a warning that there has to be structural change to meet the challenge that has been set. Firstly, the City Deal has to be 'additional' to the funding streams that support regeneration on Teesside not instead of. Back in the Thatcherite 1980's , when areas like Teesside first became eligible for EU funds for development and training, the reaction of Whitehall ministries was to shut down funding streams on the basis that 'Europe can pay for this'. We do not want to see a repeat of this 30 years on.
"The second issue is that a key component of the City Deal bid is that the local councils on Teesside were required to make a commitment to a 'combined authority' to oversee all elements of development policy - from training to highway and transport provision and the physical regeneration of communities blighted by decades of unemployment. A similar approach was asked of councils in County Durham and Tyne and Wear, and this is now being put in place. The same has to be done on Teesside. We are all Teessiders and need to work to a local government structure that recognises this."
We will all now have to wait to see if this is all a pipe dream - or a nightmare.
Walshy