UK's Strategic Move: Accelerating Hydrogen to Power for Clean and Secure Energy
Key Ideas
  • The UK aims to become a clean energy superpower by 2030, with a strategic focus on deploying Hydrogen to Power to displace unabated gas generation and support the Clean Power Mission.
  • The Hydrogen to Power Business Model, based on a Dispatchable Power Agreement style mechanism, will help de-risk investments, unlock funding, and improve project pipelines for low carbon flexible electricity generation.
  • Key commitments include establishing a Hydrogen to Power industry expert working group, market engagement document publication in 2025, and enabling Hydrogen to Power's participation in the Capacity Market to accelerate deployment.
  • The publication signifies a significant step towards a cleaner power system, leveraging low carbon hydrogen technology to enhance flexibility, resilience, and decarbonization of the energy sector in alignment with climate goals.
The UK government has released a statement regarding the Hydrogen to Power market intervention Consultation Response, aiming to support the accelerated deployment of Hydrogen to Power as a low carbon long-duration flexible electricity generating capacity. With the objective of making Britain a clean energy superpower by 2030, the government plans to utilize Hydrogen to Power to displace unabated gas generation. By converting low carbon hydrogen into low carbon electricity, this technology will play a crucial role in achieving the country's legally binding target of net zero greenhouse gas emissions by 2050. The deployment of low carbon hydrogen is expected to enhance the energy system's flexibility, resilience, and independence, particularly when combined with large-scale storage. This technology can provide electricity during periods of lower renewable output, while also offering a pathway for decarbonizing unabated gas power plants. The Hydrogen to Power Business Model, based on a Dispatchable Power Agreement-style mechanism, aims to mitigate investment risks and remove deployment barriers. Key commitments outlined in the response document include the establishment of an industry expert working group, the publication of a market engagement document in 2025, and enabling Hydrogen to Power's participation in the Capacity Market. This strategic move is a significant step towards facilitating a cleaner power system by leveraging low carbon flexible technology and providing clarity to stakeholders regarding the government's position on Hydrogen to Power and the next steps for market intervention.
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