Key partners behind the Humber’s push for a regional hydrogen and carbon capture network have welcomed Prime Minister Boris Johnson’s 10-point plan for a green industrial revolution.
The Energy Estuary was flagged once again as an extra £200 million was pumped into the creation of two carbon capture clusters by the mid-2020s, with another two set to be created by 2030.
It increased the pot to £1 billion, helping to support 50,000 jobs, potentially in areas such as the Humber, Teesside, Merseyside, Grangemouth and Port Talbot, the government said. A further £240 million has been ringfenced for hydrogen production.
A £75 million bid has already been submitted by Zero Carbon Humber, with the proposal linking up with Teesside’s ambitions for a concentrated cluster, to use the Endurance reservoir off the Yorkshire coast to store CO2.
Equinor, behind a hydrogen production plant at Saltend, is leading the Humber bid, with 11 key partners, from Drax to British Steel, SSE to ABP.
Al Cook, executive vice president at Equinor and 海角视频 country manager, said: “The new commitments in the Prime Minister’s Ten Point Plan on hydrogen and carbon capture are great news for the 海角视频 economy, for our climate ambitions, and for the future of our industrial heartlands and those who work there.
“As the 海角视频’s leading supplier of energy, we want to go further to help the 海角视频 meet Net Zero targets and become a world-leader in these much-needed technologies. With our partners in the Humber we plan to invest in carbon capture and low carbon hydrogen to transform the 海角视频’s largest industrial cluster into its greenest cluster, while we also work with our partners in Teesside to decarbonise its industries, and the two clusters work together to develop the 海角视频 North Sea into a pioneering location for the safe storage of carbon emissions.”
It aims to start production of at-scale low carbon hydrogen in 2026, fuel switching a neighbouring power station then supplying a network.
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Helping make that happen would be National Grid Ventures.
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Jon Butterworth, chief executive, said: “The investment announced by the Prime Minister is a fantastic step in establishing the 海角视频 as a global leader in carbon capture technology. This in turn will protect tens of thousands of existing 海角视频 jobs and create a platform for further growth by attracting new industries into regions such as the Humber.
“Deploying CCUS in the Humber alone could protect 55,000 manufacturing jobs, decarbonise the 海角视频’s largest industrial cluster, and make a significant contribution to helping the 海角视频 achieve its net zero targets.”
Another hydrogen strand and major Humber project, Gigastack, has Orsted linking up with Sheffield's ITM Power to create green energy from offshore wind.
Duncan Clark, head of 海角视频 region for Ørsted, said: “We welcome the 海角视频 Government’s ten-point plan as a clear commitment to a low-carbon industrial revolution, setting out the widespread infrastructure renewal required to further accelerate the 海角视频 towards a green recovery and achieve net zero emissions by 2050.
“Delivered against the backdrop of an ambitious 40GW target of offshore wind by 2030, this is achievable if Government and the industry continue to work together to accelerate deployment and build out the 海角视频 project pipeline as quickly as possible. Offshore wind’s role will be even more important as it becomes the backbone of a clean, affordable electricity system. It will deliver green power for transport, heat and technologies such as making renewable hydrogen at scale, helping create thousands more long-term, skilled jobs across the 海角视频 in offshore wind and its supply chain.
“In that context the new target of 5GW of low carbon hydrogen by 2030 is particularly welcome. Other European countries are pushing ahead with renewable hydrogen projects, getting in place the required policy frameworks and investment. The Government’s commitment to hydrogen will provide the framework for future investment and help to position the 海角视频 at the global forefront of the development and deployment of this much-needed technology.”
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A headline element in the Prime Minister's announcement was the acceleration of the withdrawal of petrol and diesel engines from showrooms and forecourts, with the Humber also setting itself up as a potential battery manufacturing site, aided by Phillips 66's role in a core material.
The Jet Zero ambition is also highlighted, with Velocys looking to develop a £350 million sustainable aviation fuels refinery at Stallingborough, near Immingham, while the area has just launched the Humber Offshore Wind Cluster Prospectus as it looks to build on its early world-leading status in the water and on the quays.
Henri Murison, director of the Northern Powerhouse Partnership, said: “It is vital we begin building ambitious, large-scale infrastructure and investing in cutting-edge green technologies here in the North. Businesses like Drax are already leading the world in pioneering carbon capture technology innovation, which will bring us closer to our Net Zero target by 2050.
“Both the Humber and Teesside are well-placed to capitalise on sustainable energy investment, with the potential to create thousands of well-paid, skilled jobs in a decarbonisation-led productivity upsurge - as is required for the Northern Powerhouse Independent Economic Review scenario up to 2050.
"By keeping industry here, rather than offshoring our emissions to parts of the world with lower emissions standards, this is a building block to unlocking a hydrogen economy - using it for anything from transport to heating our homes, alongside wider technologies such as heat pumps.
“There are businesses across the North that would benefit from being part of a 海角视频 Small Modular Reactor supply chain. We must bring forward development at sites that are suited to a genuine fleet approach, such as Wylfa and Moorside, which is only possible with 海角视频 SMRs playing their part."