Government Sets Out Strategy For A Hydrogen Economy

The UK Government announced on Tuesday 17 August the launch of a strategy to meet its goals of 5 gigawatts (GW) of low-carbon hydrogen production by 2030 to replace the natural gas that powers three million Uk homes, as well as industry and transport.

Bioenergy News reports that industry and policy-makers are looking more and more to hydrogen to lower the environmental impact of sectors that have been the hardest to decarbonise and reduce reliance on natural gas, but the technical challenges and the investment needed are high.

Nearly all of the hydrogen produced in Britain so far is based on fossil fuel energy.

The government’s strategy is to replace up to one-fifth of natural gas supplies with ‘green’ hydrogen, which is made through electrolysis powered by renewable energy to split water into hydrogen and oxygen.

‘Blue’ hydrogen would also be used, but unlike green hydrogen, it is not emissions-free, although the carbon emissions are captured and stored and then used in other applications.

The government said around £900 million of funding will be available to support hydrogen projects in the UK, which it said could create more than 9,000 jobs by 2030.

The government has alas launched a consultation, as part of the strategy, on the types of support for hydrogen projects that would lower costs, along the lines of its contracts-for-difference (CfD) scheme that incentivises investment in renewable energy, by guaranteeing a minimum price for those who produce it.

The government will also work with industry on the feasibility of mixing 20 per cent hydrogen into the existing gas supply and will consult on the design of a £240 million net-zero hydrogen fund to support the development of low carbon hydrogen plants.

British multinational chemicals company INEOS, Europe’s largest producer of hydrogen, said it saw a hydrogen economy as the country’s best chance of meeting carbon reduction targets.

INEOS Corporate Affairs Director Tom Crotty said: “The government must start to commit to investment in the development of the UK’s hydrogen infrastructure.

“At the moment, we are massively lagging behind Europe and words are not enough.”

The UK produces approximately 27 terawatt-hours (TWh) of hydrogen a year, and mostly from fossil fuels.

According to the UK government’s climate change adviser to the Committee on Climate Change, to meet the government’s net-zero emissions goal by 2050 would require 270 TWh of hydrogen, mostly blue.

Over a year, 1 GW equates to 8.76 TWh of energy.

However, some environmental groups claim the inclusion of blue hydrogen in the UK strategy could keep the country locked into fossil fuels.

They also criticise the carbon capture and storage technology, which has yet to be rolled out at a commercial scale and is needed to contain the emissions from blue hydrogen.

Research last week by US universities Cornell and Stanford said that blue hydrogen could be 20 per cent worse for the environment than using gas in homes and industry because of the carbon dioxide and methane emissions that can escape during production.

 

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Ben is a time serviced field service engineer in the busy waste and recycling sector, who’s career moved into to managing service teams and beyond. Originally beginning his career with a HGV repair and maintenance apprenticeship with IVECO, from there travelling and working in multiple countries moving towards waste processing shredders.

Ben joined the Hoverdale team in September 2024 seeking to apply his extensive knowledge to a new area. His values and ethics fit perfectly within the Hoverdale ethos.

He is happily married to Kristina, with 4 wonderful young children; 14, 11, 8 and 5. We the children he doesn’t get much spare time. He is a family man, who enjoys spending as much time with them as possible.

DAVID BARTER

David is an experienced leader, with a background covering Operations, eCommerce, Finance, Compliance, HR and IT. His career spans Banking, Retail and Engineering, spending the majority of his career working for ALDI as they grew to become 4th largest supermarket in the UK, including seven years on their UK board as Managing Director of IT and eCommerce.

David joined Hoverdale’s Senior Management Team in 2023 to seek a fresh challenge in a completely different industry sector. He has applied his approach to Process Improvement, Efficiency, Customer Service and Teamwork to great effect during Hoverdale’s sustained growth.

Married to Jane, with three adult sons between them, David volunteers on the board of the Nottingham Playhouse theatre as well as his local rugby and football clubs. Any spare time he spends enjoying walks with their Golden Retriever, Buzz, who is also regularly seen in the Hoverdale office.

MATT BEVERLEY

A time served Mechanical engineer Matt’s background includes many high-profile projects within the Automotive Industry: The Rolls Royce Phantom, Rolls Royce Cullinan, Spyker Le-Mans racing teams, Bentley, Aston Martin, and Airbus A380. This history and knowledge of complex manufacturing and engineering projects have been transferred and further developed into the bulk material handling sector. Matt has work in Europe, North America, Indonesia, and China

He joined the bulk solids and bulk handling industry in 2019 as Managing Director of Hoverdale UK Ltd and subsequently completed a Management buyout in July 2020. The business has grown yearly, increased employment, its customer base, and worldwide reputation, and disrupted the market with groundbreaking innovative technology. Since Matt took over Hoverdale, the company has filed four patents for innovation; one was granted in 2023 for a design to improve bulk handling. The success had been driven by delivering tailored solutions to the waste recycling sectors that keep material flowing out and money flowing in.

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Matt has been happily married to Julie for 22 years and has 4 children, 3 of which are involved within the Hoverdale group of companies. He is an RFU level 2 qualified coach and referee having been in several head coaching roles at various age groups from under 6’s to adults for his local team Nuneaton RFC. He believes in the core values that rugby teaches of Teamwork, Respect, Enjoyment, Discipline, Sportsmanship and try’s to carry this through in his day to day business activities. He is passionate at brining the next generation of young, diverse engineers into the sector through promotion of apprenticeship scheme and further education routes.