UK govt to invest GBP 366m in hydrogen

Image by stock.adobe.com/leestat. All Rights Reserved.

April 8 (Renewables Now) - The UK government on Friday announced a GBP-375-million (USD 314m/EUR 288m) in funding mainly aimed at supporting hydrogen technologies as the country looks to beef up its energy security.

The package includes the GBP-240-million Net Zero Hydrogen Fund, which will back low-carbon hydrogen production projects, contributing to government goals of up to 2 GW of low-carbon hydrogen production capacity by 2025 and up to 10 GW by 2030. The government launched a consultation on the design of the fund last year. It is expected to start awarding funding from the end of 2022.

In addition, the Hydrogen Business Model will support electrolytic projects with an initial GBP 100 million to cover the difference between the cost of production and the sale price for hydrogen. This funding, which will come from the Industrial Decarbonisation and Hydrogen Revenue Support (IDHRS) scheme, will launch in the summer.

The package further includes the GBP-26-million Industrial Hydrogen Accelerator, which is an innovation funding programme to help the UK industry adopt hydrogen as fuel.

Another GBP-2.5-million pot was set aside for a competition to develop next-generation nuclear technology, a UK Advanced Modular Reactor, and GBP 5 million for research into carbon capture.

It comes to underpin the government’s energy security strategy, unveiled on Thursday, which seeks to accelerate renewables, hydrogen and nuclear power.

“This investment will unlock the enormous potential of hydrogen, advanced nuclear reactors and Carbon Capture to level up the UK energy landscape and deliver for businesses and households,” said UK Business and Energy Secretary Kwasi Kwarteng.

“High gas prices and Russia’s aggression in Ukraine have highlighted the urgent need to produce more of our energy here in the UK,” he added.

All of the programmes are supported by the Net Zero Innovation Portfolio.

(GBP 1 = USD 1.308/EUR 1.198)

Join Renewables Now's free daily newsletter now!

More stories to explore
Share this story
Tags
 
About the author
Browse all articles from Plamena Tisheva

Plamena has been a UK-focused reporter for many years. As part of the Renewables Now team she is taking a keen interest in policy moves.

More articles by the author
5 / 5 free articles left this month
Get 5 more for free Sign up for Basic subscription
Get full access Sign up for Premium subscription
\