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Ten Point Plan for a Green Industrial Revolution - Point 2: Low Carbon Hydrogen

Last updated: 2 July 2021

As part of the 12 billion GBP Ten Point Plan for an industrial revolution towards a greener economy, the UK Prime Minister has established:   

 

Point 2: Low Carbon Hydrogen Technology  

The UK is aiming for 5GW of low carbon hydrogen production capacity by 2030, to create hydrogen-renewable energy-CCUS clusters to advance technological development, and pilot a "Hydrogen Neighbourhood" for 100% hydrogen end-use and scale up to an entire town by 2030.   

 

This will be supported by a 240 million GBP Net Zero Hydrogen Fund, and developing a hydrogen supplier business models and revenue mechanism for increased involvement and investments from the private sector. Up to 2030, private sector investment is expected to be 4 billion GBP, and projects should save 41 MtCo2e between 2023-2032, 9% of 2018 UK emissions. This could support for up to 8000 jobs by 2030, potentially unlocking up to 100 000 jobs by 2050 in a high hydrogen net zero scenario.

 

Industry pilots will start in 2023 to allow up to 20% blending of hydrogen into the gas distribution grid of all homes on the gas grid and district heating trials. There is an interim target for 1 GW of Hydrogen production capacity and a village-scale hydrogen heating trial in 2025.

 

 

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