Hydrogen: Finance

(asked on 16th April 2021) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what funding his Department is providing to advance green hydrogen projects; when that funding (a) started and (b) is due to end; and what the (i) names and (ii) locations are of those funded projects.


Answered by
Anne-Marie Trevelyan Portrait
Anne-Marie Trevelyan
Minister of State (Foreign, Commonwealth and Development Office)
This question was answered on 21st April 2021

The Government is providing significant amounts of support to green hydrogen projects. We are investing up to £33m to support the development of a range low carbon hydrogen supply solutions, including green hydrogen projects, through the Hydrogen Supply competition. This includes:

o The Dolphyn project, led by ERM, received £3.1m to develop green hydrogen production from floating offshore wind. The project is due to complete in summer 2021.

o The Gigastack project, led by ITM Power, received £7.5m to further the development of hydrogen production by Polymer Electrolyte Membrane electrolysis. The project is due to complete in summer 2021.

o Four projects received funding to complete green hydrogen feasibility studies, which were completed in 2019.

o Phase 1 of the Green Distilleries Competition has funded a variety of hydrogen projects to complete a feasibility study on their technology. Nine of the 17 feasibility studies funded at Phase 1 are for low carbon hydrogen-related projects, including a novel electrolyser for the production of hydrogen

The forthcoming £240m Net-Zero Hydrogen Fund is intended to support both green and blue hydrogen production. We will be consulting on the design of the fund alongside publication of the first ever UK Hydrogen Strategy set to be published in Q2 of this year. We will also be considering what support is required for green hydrogen as part of developing long term, sustainable business models and the revenue mechanism, to stimulate private investment in new low carbon projects.

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