A £72m fund has been announced for the HyNet North West project, hoped to transform the region into the world's first low carbon industrial cluster.
The funding announced today includes £33m from the Government and £39m from allocated partners including natural gas firm Cadent.
HyNet North West has been described as "essential" for the Government to deliver several objectives within its recently announced 10-point plan for a green industrial revolution, as well as the local net zero targets of Cheshire West and Chester in 2045, Liverpool City Region in 2040 and Greater Manchester in 2038.
HyNet North West underpins a regional commitment to carbon neutrality and is one of various schemes being carried out by Net Zero North West.
Tuesday's announcement is part of a wider £1bn blueprint to create green jobs and cut emissions across the 海角视频.
Business and Energy Secretary Kwasi Kwarteng said: “We were the first major economy to put into law our target to end our contribution to climate change, and today we’re taking steps to be the first major economy to have its own low-carbon industrial sector.
“While reaching our climate targets will require extensive change across our economy, we must do so in a way that protects jobs, creates new industries and attracts inward investment - without pushing emissions and business abroad.
“Ahead of COP26, the 海角视频 is showing the world how we can cut emissions, create jobs and unleash private investment and economic growth. Today’s strategy builds on this winning formula as we transition low carbon and renewable energy sources, while supporting the competitiveness of Britain’s industrial base.”
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The North West industrial cluster region stretches from Flintshire and Wrexham, through Cheshire, Liverpool City Region and Greater Manchester into Lancashire.
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It boasts the largest concentration of advanced manufacturing and chemical production in the 海角视频 and is home to a concentration of energy intensive users. The HyNet North West hydrogen and carbon capture and storage project is being developed by partners including Progressive Energy, Cadent and Essar.
From 2025, HyNet North West will begin to convert natural gas into low carbon hydrogen at Stanlow Refinery, with carbon dioxide safely captured and stored offshore in the Liverpool Bay gas fields.
Steve Fraser, CEO of Cadent, added: “When we first unveiled the plan for HyNet North West just three-and-a-half years ago, we knew quickly we were onto something big.
"This is a once-in-a-generation moment to effect real change. Replacing fossil gas with hydrogen will achieve incredible carbon savings, create thousands of jobs and position the North West as a world-leader in this technology. Cadent and the whole HyNet consortium is determined to make that happen.”
It's hoped HyNet North West will reduce regional carbon dioxide emissions by up to 10m tonnes every year by 2030 – the equivalent of taking four million cars off the road.