Barclays' Recommendations for UK Government's Clean Hydrogen Policy
Key Ideas
- Barclays outlines four key policy recommendations for the UK government to support the scaling of private finance for clean hydrogen.
- The UK government aims to achieve a green hydrogen production target of 10GW by 2030 and supports 11 green hydrogen producers.
- The recommendations emphasize the importance of a credible hydrogen roadmap, demand-side policy interventions, and bankable revenue support mechanisms.
- The goal is to create a conducive environment for clean hydrogen to drive the transition to net zero and address regulatory uncertainties and investor doubt.
Barclays has put forth four crucial policy recommendations for the UK government to facilitate the expansion of private finance to enable the delivery of a pragmatic approach to clean hydrogen. The UK government has set ambitious targets for green hydrogen production and has shown support for multiple green hydrogen producers. The recommendations by Barclays stress the necessity of developing a detailed hydrogen roadmap with clear policy actions and timelines, collaborating with industry to implement demand-side interventions, and maintaining a credible revenue support mechanism for clean hydrogen. The aim is to establish an enabling environment that allows clean hydrogen to effectively contribute to transitioning to net zero, learning from past setbacks in other hydrogen markets. Marie Freier from Barclays highlights the significance of considering cost-effectiveness and climate impact when determining the role of clean hydrogen. The UK government's commitment to these recommendations could instill confidence in the sector and promote growth across the value chain.
Topics
Production
Clean Energy
Sustainability
Investment
Government Policy
Energy Transition
Finance
Economic Development
Industry Collaboration
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