Hydrogen energy championed by new UK mega-consortium

14/04/2025 | GEORGE BARKER

Hydrogen energy championed by new UK mega-consortium

A consortium of some of the UK's largest companies has launched a campaign to boost hydrogen power across the country.

Project HySpeed, which includes Arup, Tarmac, JCB, Centrica, Heidelberg, ITM Power, Johnson Matthey and National Gas,  is pushing for the UK to generate one gigawatt of energy capacity by 2030 through 'clean hydrogen' as ‘a direct response’ to the Government’s plans to make the UK a clean energy superpower.

It argued that by scaling hydrogen production, cutting costs and strengthening the UK’s renewable energy leadership, a further £6.5bn capital investment could be stimulated and 24,300 jobs created across the UK.

The consortium has submitted a proposal to energy secretary Ed Milliband to build hydrogen production hubs that would inject hydrogen into the gas grid. 

Jo Bamford, executive chairman at the HydraB Power group, which put forward this proposal, and son of Lord Anthony Bamford, chairman of JCB, stated that Project HySpeed was a ‘compelling answer’ to the Government’s call for greater development in hydrogen energy.

JCB has already developed a hydrogen motor for use in its excavators, which it said allows for a reduction in carbon emissions while still enabling heavy machinery to work for long periods of time.

The project’s unveiling coincided with the Government’s hydrogen allocation round 2 (HAR2) funding announcement, which shortlisted 27 electrolytic projects across the UK that are designed to deliver a ‘thriving low carbon hydrogen economy’.

These funding rounds support the Government’s 2023 Hydrogen Production Delivery Roadmap, which has a target of 10 gigawatts of low-carbon hydrogen energy production by 2030.

The British Geological Survey (BGS) also recently said that underground hydrogen storage will be ‘essential’ for making sure that the UK’s renewable energy system is stable and will allow the UK to reach its net zero goals.

A recent BGS briefing note, Underground hydrogen storage: insights and actions to support the energy transition, authored by Dr Tim Armitage, names underground hydrogen storage as an ‘emerging technology’ that will be 'crucial' to support the UK’s transition to net zero.

The UK currently has some of the lowest capacity for gas energy storage in Europe. It is estimated that five times the current capacity would be required to meet the UK's net zero goals by 2050.

The briefing highlighted lined rock caverns, salt caverns and depleted hydrocarbon fields as ‘scalable and long-duration hydrogen storage options' but adds that there are ‘still considerable knowledge gaps in how and where such large-scale storage can be achieved’.

To overcome these challenges, Dr Armitage recommended increased investment into research and development for hydrogen storage solutions and greater regulatory clarity on how to integrate hydrogen storage into the UK’s existing energy strategy.

He also argued that new, larger methods of underground hydrogen storage were ‘essential for ensuring the stability and reliability of a renewable-based energy system' and that 'hydrogen storage is currently not sufficiently represented in the UK’s energy strategy’.

‘More detailed planning, a supportive regulatory framework along with increased investment in research and development would ensure that underground storage technology and markets are ready to support hydrogen rollout in time for meeting the UK climate targets.’

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