Scotland promises to improve the hydrogen industry by £ 100 m

Scotland promises to improve the hydrogen industry by £ 100 m

Next year, the Scottish government will publish a hydrogen action plan that will support £ 100 million in funding to support its delivery over the next five years.

The government will support the development of renewable and low-carbon hydrogen in Scotland with a 5GW goal by 2030 and at least 25GW by 2045, a policy statement released today reported.

5GW will be sufficient to power the equivalent of 1.8 million households, it said.
The statement is available here.

Scottish Energy Minister Paul Wheelhouse said: “We are the first country in the UK to publish a Hydrogen Policy Statement that sets out how we can make the most of Scotland’s massive potential in this new sector.

“Hydrogen is rapidly emerging across the international community as a sustainable solution for the decarbonisation of the economy and a key element of the energy transition picture.


“Scotland is prepared to play its full part together with other European nations – that’s why we’re publishing this key policy statement today and investing £100m of Scottish government resources to stimulate the sector and its supply chain.”

He added that Scotland has all the raw materials required for low-cost hydrogen production in abundance, as well as one of the world's largest concentrations of offshore engineering expertise.

This will harness the renewable energy potential of Scotland in technologies such as wind, wave and tidal power, for green hydrogen production.

Wheelhouse said: “Indeed, Scotland is one of the best placed nations anywhere in the world to develop competitively priced hydrogen for our own economy’s needs and to generate a surplus in supply to export to other European nations with emerging demand, but insufficient supply to meet their own needs.

“No one fuel or technology is, by itself, the solution to climate change, but hydrogen has the potential to be a very important part of a progressive, decarbonised energy system supporting our transition to net zero in transport, heating and industrial decarbonisation.

“We are committed to supporting this emerging sector to deliver a transformation in how we produce, store and utilise energy and to maximising the economic benefits that the production of hydrogen can bring.”

Nigel Holmes, chief executive of the Scottish Hydrogen and Fuel Cell Association, said: "We welcome this statement on Hydrogen Policy that highlights the opportunity for Scotland to be the leading hydrogen nation and puts us on the right path to delivering net zero by 2045."

“This ambition builds on the experience and lessons learned with projects in Aberdeen, Fife, Orkney, and the Western Isles.


“Islands and ports will be hubs for energy innovation, bringing together large scale renewables for green hydrogen production.

“The identified capacity of 25GW of electrolysis by 2045 will produce 126TWh per year of green hydrogen across Scotland, with 32TWh to deliver Scotland’s net zero target and 94TWh of green hydrogen for export.”

Scottish Renewables senior policy manager Helen Melone said: “We welcome the publication of the Scottish government’s Hydrogen Assessment and Hydrogen Policy Statement and their recognition that green hydrogen produced from renewable energy is the future.

“With 25% of Europe’s wind resource Scotland has the potential to become a global leader in green hydrogen, delivering 310,000 jobs and £25bn of GVA by 2045.

“The Scottish government has committed to working in partnership with industry to maximise the economic and environmental benefits which hydrogen can deliver on the road to net-zero.
“Scotland’s renewable energy industry, and in particular its offshore and onshore wind sectors, look forward to delivering green hydrogen as part of the just energy transition we must make to tackle the carbon emissions which cause climate change.”


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