UK Government's 'Plan for Change' Empowers Hydrogen Industry Growth
Key Ideas
- 27 hydrogen projects selected in the UK to advance low-carbon hydrogen production, attracting over £1 billion private sector investment by 2029.
- Government backing expected to create over 700 direct jobs in construction and operations, with potential for thousands more in various technical roles.
- Shortlisted projects aim to decarbonize industries like ammonia production, glass manufacturing, and sustainable aviation fuel production, contributing to the fight against climate change.
- Industry leaders and officials express optimism about the growth of the hydrogen sector, citing increased investment, job creation, and economic growth opportunities.
The UK Government recently announced the selection of 27 hydrogen projects to progress to the next stage of the Second Hydrogen Allocation Round (HAR2) under its 'Plan for Change'. These projects aim to bolster low-carbon hydrogen production in the UK, with a potential to attract over £1 billion of private sector investment by 2029. The Government's support for hydrogen is seen as a crucial step towards achieving its goal of transforming into a 'clean-energy superpower'. The investment has already spurred £400 million in private sector funding in locations like Milford Haven and High Marnham, creating job opportunities in construction and operations. The projects in the HAR2 shortlist focus on utilizing hydrogen to decarbonize various industries such as ammonia production, glass manufacturing, brick making, and sustainable aviation fuel production, aligning with efforts to address the climate crisis. Industry Minister Sarah Jones highlighted the success of the First Hydrogen Allocation Round, which allocated over £2 billion in Government funding to 11 projects, including Whitelee Green Hydrogen in Scotland for sustainable whisky distillation. The announcement has been well-received by industry experts, with Dr. Emma Guthrie from the Hydrogen Energy Association praising the clarity and funding support provided through HAR2, enabling the sector to progress towards a low-carbon transition, stimulate investment, create jobs, and drive economic growth. The initiative underscores the Government's commitment to fostering clean energy hubs, skilled job creation, and strong supply chains across the UK, signaling a positive outlook for the hydrogen sector's development and the country's clean energy ambitions.