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‘Hydrogen Accelerators’ launched to spur UK competitive advantage
12/10/2022
News
The Hydrogen UK (HUK) trade association has published a set of recommendations that it says provide a blueprint for the continued development of the UK’s entire hydrogen value chain.
The recommendations outlined in the Hydrogen Accelerators have been developed by HUK’s 50 industry members to help the UK government ensure the successful deployment of hydrogen nationwide.
A year on from the publication of the UK government’s Hydrogen Strategy, HUK is pushing for rapid scaling of production, greater support for distribution and storage infrastructure, and the creation of demand in end-use sectors.
Commenting on the aim of the Hydrogen Accelerators, HUK CEO Clare Jackson says: ‘If we truly want Britain to secure a slice of this $2.5tn global hydrogen pie, we need to get our skates on because we are competing with other countries for investment. Hydrogen UK’s Accelerators provide detailed steps that industry and government must take together to fast-track hydrogen’s progress in the UK, to secure our place as a global leader, create new jobs and economic prosperity, and ensure that we deliver net zero cost-effectively.’
The UK government’s recent Energy Security Strategy acknowledged the vital role it expects hydrogen to play in the UK’s future energy mix by increasing its production target to 10 GW by 2030. ‘However, the industry is growing so quickly that its current production project pipeline already exceeds this target by a third,’ notes HUK.
It says that to maintain this progress, focus needs to be placed on supporting not just hydrogen production, but also the wider value chain. Over the coming months, it says the UK must:
- Scale production rapidly by awarding hydrogen business model contracts to producers by early 2023.
- Establish investible market mechanisms to unlock capital investment in low/no regrets and systemically important distribution and storage infrastructure, and update the planning and consents regime to speed up their delivery.
- Stimulate demand for hydrogen by developing detailed and distinct policy and regulatory frameworks to create markets in end-use sectors.
HUK’s call for action comes not long after the European Commission announced a €3bn hydrogen bank for projects and the US passed the Inflation Reduction Act, creating an attractive proposition for international hydrogen companies.
