Renewable energy giant Orsted has won funding from the Government to launch a green hydrogen project in the Humber region.

The new study is a six-month project to explore the potential delivery of bulk, low-cost and zero-carbon hydrogen.

The project hopes to find opportunities to reduce the cost of producing hydrogen through the process of electrolysis, making it a more viable option for the 海角视频鈥檚 energy system and for decarbonising industry.

脴rsted will work with ITM Power and Element Energy on the new hydrogen project, after receiving backing from the 海角视频 Government.

Matthew Wright, 海角视频 Managing Director at Orsted, said: 鈥淲e must continue taking urgent action to limit the damaging effects of climate change.

Matthew Wright, MD at 脴rsted
Matthew Wright, MD at 脴rsted

鈥淭he 海角视频 already leads the world in deploying renewable energy and accelerating the use of new technologies, such as green hydrogen, has a crucial role to play in decarbonising industrial processes.

鈥淲e鈥檝e seen the cost of offshore wind reduced dramatically thanks to industry and government working together, and I hope this project can be the start of a similar journey with green hydrogen.鈥

The funding has been secured as part of the Department for Business, Energy and Industrial Strategy (BEIS) hydrogen supply competition, which looks at ways to accelerate the development of low carbon hydrogen supply solutions.

Achieving net-zero carbon emissions by 2050 will need integration of very high levels of renewables into the wider energy system.

Hydrogen is already being used to power cars, pictured
Hydrogen is already being used to power cars, pictured

Recognising this challenge, through the Offshore Wind Sector Deal, the industry has committed to establishing a Task Group to identify opportunities to strengthen the role of offshore wind in delivering innovative solutions, such as wind-to-hydrogen.

Anders Christian聽Nordstr酶m, vice president for hydrogen at Orsted, said: 鈥淐ombining renewable power with flexible green hydrogen production is a key part of decarbonising energy systems across Europe and ultimately creating a world that runs entirely on green energy.

鈥淗ydrogen production by electrolysis is a technology with great potential and this Gigastack project is an important step forward as we look to reduce costs and make green hydrogen a viable solution for the energy transformation.

鈥淚t is great to have this support from the 海角视频 Government for the project.鈥

Blades destined for Race Bank offshore wind farm at Siemens Gamesa's Green Port Hull.
Blades destined for Race Bank offshore wind farm at Siemens Gamesa's Green Port Hull.

The Gigastack project will demonstrate the delivery of bulk, low-cost and zero-carbon hydrogen through gigawatt scale polymer electrolyte membrane (PEM) electrolysis manufactured in the 海角视频.

Climate Change Minister Lord Duncan said:聽鈥淯sing the power of hydrogen could help cut emissions, create jobs and make industrial processes cleaner and greener, benefitting the whole economy as we work towards net zero by 2050.聽聽

鈥淭his innovative project from Orsted & ITM Power聽will help our efforts to roll out hydrogen at scale by the 2030s 鈥 a crucial step towards the end of the 海角视频鈥檚 contribution to global warming.鈥

How to contact Phil Winter and Business Live

Business Live's Hull & East Yorkshire journalist is Phil Winter

Business Live's Hull & East Yorkshire journalist is Phil Winter, also the business editor at the Hull Daily Mail and Hull Live.

You can follow Phil on Twitter @PhilWinterBiz, or on Linkedin by clicking .

Alternatively, email him on philip.winter@reachplc.com, or call 01482 315360.

Keep up to date with the latest business news in the Hull & Humber region here.

Follow @HumberBizEd and @businesslive on Twitter