Unlocking the Power of Hydrogen: Accelerating UK's Energy Transition
Key Ideas
  • OEUK's report highlights the crucial role of the UK's oil and gas sector in scaling up low carbon hydrogen production through carbon capture and storage.
  • Hydrogen is seen as a key decarbonisation tool for hard-to-electrify industries and can contribute significantly to the energy mix, supporting the UK's energy transition.
  • The report emphasizes the need for targeted policies, realistic deployment targets, and fair funding mechanisms to accelerate the growth of the UK hydrogen sector.
  • OEUK stresses that urgent action is needed to seize the economic opportunity presented by hydrogen, which could amount to £1.6bn for the UK economy by the mid-2030s.
The report from Offshore Energies UK (OEUK) advocates for leveraging the UK's oil and gas expertise to propel the country's hydrogen sector forward. While acknowledging the slower-than-expected deployment of hydrogen, OEUK emphasizes the potential of hydrogen in decarbonising industries, enabling energy storage, and supporting synthetic fuel production. With the right policies and support, hydrogen could become a cornerstone of the UK's energy future, offering a significant economic opportunity. The report underlines the importance of the oil and gas sector in producing low carbon hydrogen, particularly through carbon capture and storage. OEUK's recommendations focus on prioritizing hydrogen deployment in impactful industries, setting realistic targets, ensuring fair funding mechanisms, and recognizing the role of domestic gas production in scaling up low carbon hydrogen supplies. The report showcases case studies from the UK's hydrogen sector, highlighting ongoing projects and the expertise of the supply chain. OEUK's call for urgent action echoes the sentiment that seizing the potential of hydrogen is not just about meeting targets but also about securing jobs, investments, and a sustainable future for various sectors. Overall, the report envisions hydrogen as a vital component in the UK's energy transition and advocates for coordinated efforts to accelerate its growth and maximize its benefits.
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