£500m boost for hydrogen infrastructure to create thousands of British jobs

Thousands of clean energy jobs will be created in Britain’s industrial heartlands as the government confirms over £500m for hydrogen infrastructure today, as part of the Plan for Change to invest in Britain’s future as a clean energy superpower.

The government has confirmed that the spending review allocated landmark new funding to create hydrogen infrastructure, including the first regional hydrogen transport and storage network, and connecting hydrogen producers with vital end-users, such as power stations and industry, for the first time.

This major infrastructure boost will help deliver clean energy while creating thousands of skilled jobs in industrial regions such as Merseyside, Teesside and the Humber, as well as in the supply chain.

This will ensure communities across the country feel the benefits of Britain’s renewal while reducing reliance on volatile international fossil fuel markets.

Benefits of clean energy jobs for the economy

Today’s announcement also follows confirmation in the Spending Review that the government is creating thousands of clean energy jobs nationwide.

10,000 jobs will be created at Sizewell C in Suffolk, a new fusion reactor to be built on the site of an old power station in Nottinghamshire.

Additionally, up to 3,000 jobs are expected to be created through the small modular reactor programme. Funding is also being allocated to kickstart the Acorn project in Scotland and the Viking project in the Humber.

This will support manufacturing sectors that are likely to require hydrogen infrastructure, such as iron, steel, glass, chemicals, and ceramics, forming part of the government’s long-term plan to invest in and secure the country’s industrial future.

Energy Secretary Ed Miliband said: “We are investing over half a billion pounds in our industrial heartlands to deliver jobs and energy security for Britain.

“By building hydrogen networks, we are securing homegrown energy that will power British industry for generations to come.”

The unique role of hydrogen infrastructure in the UK’s energy system

The funding will unlock the unique role of hydrogen infrastructure in Britain’s energy system, where it can decarbonise industrial sectors including refineries and heavy transport, while providing long-term energy storage that can be deployed during peak demand periods.

The funding also enables progress in supporting low-carbon hydrogen production through continued Hydrogen Allocation Rounds (HAR), building on the success of the First Hydrogen Allocation Round, which saw 11 projects allocated over £2bn in government funding.

“Hydrogen networks are essential for a secure and resilient hydrogen sector, whilst ensuring sufficient energy storage capacity will be critical to energy security and affordability during the energy transition,” explained Brett Ryan, Head of Policy and Analysis at Hydrogen UK.

Dr Emma Guthrie, CEO of the Hydrogen Energy Association, added: “By investing in transport and storage infrastructure, the government is rightly joining the dots, connecting already supported hydrogen production with end users across power and industry.”

Hydrogen infrastructure has already attracted £400m of private sector investment in towns and cities such as Milford Haven in Wales and High Marnham in Nottinghamshire.

Government support will help create thousands of jobs in the sector, including roles for apprentices, graduates and technically trained professionals, such as engineers, welders, skilled construction workers, pipefitters and operations specialists.

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