A plan to create a hydrogen pipeline network across the North East, Yorkshire and Humber and into the East Midlands has secured £96m of funding from energy regulator Ofgem.
The East Coast Hydrogen project is a partnership between National Gas, Northern Gas Networks and Cadent and aims to connect planned hydrogen production and storage with industrial users in the next 15 years. Starting on Teesside and the Humber region, the network will use converted gas pipelines and build new capacity in a bid to help East Coast industries transition away from national gas.
Ofgem's funding for the project will go towards engineering, planning and public consultation on proposals. It follows £500m announced by Government last week for regional hydrogen transport and storage networks as part of the Spending Review.
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The project is expected to move into a delivery phase this year, before hydrogen flows are targeted to start from the early 2030s. A consortium of 120 member organisations spans hydrogen producers, power generators, storage suppliers and users such as airports and hospitals.
Jon Butterworth, chief executive officer at National Gas, said: "This funding marks a crucial step in building the infrastructure needed to unlock the 海角视频’s hydrogen economy at scale. At National Gas, we’re committed to enabling the 海角视频’s transition to a low-carbon energy system that is secure, cost effective, and future ready.
"Project Union, our plan to create a 1,500-mile core hydrogen network across Great Britain, will start in the East Coast and this funding will support that ambition. By repurposing existing infrastructure, we will connect hydrogen production, storage, and demand, helping to deliver flexible electricity, decarbonise industry, and protect jobs in some of the 海角视频’s most energy-intensive regions."
Steve Fraser, chief executive officer at Cadent, said: "This funding marks a major milestone and is very welcome news: not just in terms of this specific project, but for the 海角视频’s entire energy transition. Ofgem’s support will allow our partnership to forge ahead with the vital planning and engagement work that is needed to fully realise this important project.
"East Coast Hydrogen is exactly the type of pioneering partnership that’s needed on the path towards achieving net zero. It not only lays the foundations for the creation of a new low-carbon network, but it will also protect jobs, support industry, and help deliver on national ambitions for growth via the creation of new green skills and jobs, with the benefits being felt right across the country."
Mark Horsley, chief executive at Northern Gas Networks, said: "Our East Coast Hydrogen partnership represents a clear route to driving growth for regional economies, job creation and decarbonisation support for industries that otherwise would find it difficult to meet net zero targets. This funding is essential to determining the technical work needed to build hydrogen infrastructure, in order to understand how a hydrogen network can be operational in time to meet government net zero plans."