A new wave of hydrogen powered projects have been shortlisted
today (Monday 7 April) to help cut emissions and create thousands
of jobs in the UK's industrial heartlands – driving growth as
part of the government's Plan for Change.
Twenty-seven hydrogen projects have been selected for the next
stage of the Second Hydrogen Allocation Round (HAR2) – supporting
low-carbon hydrogen production in the UK. The industry has the
potential to attract over £1 billion of private sector investment
into the UK by 2029, supporting the government's mission to
become a clean energy superpower.
Hydrogen will help deliver a new era of clean energy across the
UK and decarbonise emission-intensive industries. It has already
attracted £400 million of private sector investment in towns and
cities such as Milford Haven in Wales and High Marnham in
Nottinghamshire, and is creating over 700 direct jobs in
construction and operations.
Government support for hydrogen will help create thousands more
jobs in the sector and reindustrialising the UK's proud
manufacturing regions. This includes roles for apprentices,
graduates and technically trained professionals, such as
engineers, welders, skilled construction workers, pipefitters and
operations specialists.
Today's shortlist includes projects that could use hydrogen to
help tackle the climate crisis by decarbonising their
manufacturing and industrial practices, including ammonia
production, new clean power generation, glass manufacturing,
brick making, and sustainable aviation fuel production.
Industry Minister , said:
We are deploying hydrogen at a commercial scale for the
first time – not just investing in a technology – but investing
in British jobs, our proud manufacturing communities and our
energy security.
From distilleries and sustainable aviation fuel to public
transport and clean energy generation, hydrogen can power
our everyday life and unlock clean energy growth across the
country as part of our Plan for Change.
Green hydrogen is produced by using renewable energy to split
water into hydrogen and oxygen, resulting in a zero-carbon fuel
that can be used for power generation, transport and
industrial processes.
This builds on the success of the First Hydrogen Allocation Round
which saw 11 projects being allocated over £2 billion in
government funding. One recipient, Whitelee Green Hydrogen in
Scotland, will produce hydrogen for the Inchdairnie Whiskey
distillery which intends to sustainably distil whisky by
2027.
Stretching across England, Scotland, and Wales, this latest wave
of shortlisted HAR2 projects
showcases the government's commitment to create skilled jobs and
establish clean energy hubs across Great Britain. The
HAR2
shortlist could lead to projects that help support strong
supply chains and the delivery of the clean energy superpower
mission.
Dr Emma Guthrie, CEO
of the Hydrogen Energy Association, said:
This much-anticipated announcement brings vital clarity to the
UK's hydrogen sector, providing a crucial boost for projects that
will drive forward the country's low-carbon transition.
The funding support offered through HAR2 gives our members
and the wider industry the confidence to gear up for delivery,
unlocking investment, creating jobs, and driving economic
growth.
This is great news - not just for the hydrogen sector but for the
UK's ambition to become energy secure and a global leader in
clean energy.
Clare Jackson, CEO
of Hydrogen UK, said:
We're thrilled to see many Hydrogen UK members succeed in the
second Hydrogen Allocation Round, marking a crucial step for
scaling electrolytic hydrogen.
This progress builds on valuable lessons from past rounds and
strengthens UK leadership in clean energy - reinforcing the
sector's crucial role in economic growth and energy security.
Case studies
In December 2023, the government announced an initial 11 projects
from the First Hydrogen Allocation Round (HAR1), totalling 124
MW of production capacity.
Five of these projects have signed their contracts, including the
Bradford Low Carbon project in Yorkshire and the Cromarty
Hydrogen Project in northeast Scotland.
The Bradford Low Carbon project, in the heart of the city centre,
will use renewable electricity to power a 10.6 MW alkaline electrolyser. Being developed by
Hygen and Ryze, it will supply the mobility sector, including JCB
diggers and Wrightbus - which developed the world's first
hydrogen powered bus.
The Cromarty Hydrogen Project is being developed by Scottish
Power and Storegga. It will use electricity from nearby wind
farms to power an 11 MWelectrolyser, supplying hydrogen to local
industries, including distilleries.
Notes to editors
The full list of shortlisted projects can be found here: Hydrogen Allocation Round
2 (HAR2):
shortlisted projects.
