The UK government has given the green light for construction to start on 10 commercial-scale green hydrogen projects.
These projects, part of the first phase of the government’s Hydrogen Allocation Round (HAR1), aim to decarbonise heavy industry while creating skilled jobs in regions such as South Wales, Bradford, North Scotland and Teesside.
The initiatives form a crucial part of the government’s wider goal to position the UK as a clean energy leader and reduce reliance on fossil fuels in sectors like steel, glass manufacturing and heavy transport. The projects will produce hydrogen domestically through electrolysers, which use electricity to split water into hydrogen and oxygen, offering an alternative fuel source to cut industrial emissions.
One project already under construction is the HyMarnham scheme in Newark, Nottinghamshire, where the former High Marnham coal-fired power station is being converted into a green hydrogen hub serving local waste disposal operations.
Another significant development, the Cromarty Hydrogen Project in Northeast Scotland, will deploy 35MW of electrolysers to supply hydrogen to local industries, including distilleries.
Collectively, these projects are anticipated to create over 700 jobs – including apprenticeships and engineering positions – and attract more than £400M in private investment that has been committed between 2024 and 2026. The infusion of capital and expertise is expected to bolster industrial communities and foster innovation.
In a related move, Kimberly-Clark, the maker of household products such as Andrex and Kleenex, has committed £125M to HAR1 projects at its plants in Barrow-in-Furness and Northfleet, partnering with energy firms including HYRO and Carlton Power. This marks one of the first major endorsements by a consumer goods company in the UK for green hydrogen use.
The government’s hydrogen programme is supported by over £2bn in revenue funding over 15 years through the Hydrogen Production Business Model and more than £90M via the Net Zero Hydrogen Fund for capital expenditure. Work continues to finalise agreements with the last HAR1 project developer to ensure all are ready to proceed.
These developments come as the government confirmed £500M in additional funding for a pioneering hydrogen transport and storage network. This infrastructure upgrade aims to connect hydrogen producers with key consumers, such as power plants and industries, facilitating wider adoption of hydrogen energy.
Additionally, the government plans to consult soon on the possibility of blending hydrogen into the national gas transmission system. If viable, this approach could reduce costs for hydrogen production projects and potentially lower energy bills for consumers, as hydrogen is gradually integrated into supply networks for homes and businesses.
The ongoing investment and policy focus underline the UK’s ambition to transition towards a low-carbon economy, with hydrogen expected to play a central role in decarbonising sectors that have traditionally been difficult to clean up using electricity alone.
Details of the 10 hydrogen projects kicking off now are below.
Hydrogen UK CEO Clare Jackson said: “Signing these contracts demonstrates the confidence and commitment of both the government and industry in building a sustainable hydrogen sector.
“Our members are at the forefront of this transition, and their projects will play a vital role in meeting the UK’s net-zero targets while driving economic growth and job creation.”
Hydrogen Energy Association CEO Emma Guthrie said: “This announcement marks a significant and encouraging milestone for the UK’s hydrogen sector.
“The signing of contracts for 10 projects under HAR1 provides vital momentum and confidence for industry and investors alike.
“We look forward to seeing these projects move into the next phase, helping to scale up the UK’s low carbon hydrogen economy.”
Low Carbon Contracts Company (LCCC) chief executive Neil McDermott said: “LCCC is proud to have signed the UK’s first Low Carbon Hydrogen Agreements, supporting the development of projects under the Hydrogen Production Business Model.
“These agreements provide revenue stability for producers, and a clear signal that low-carbon hydrogen has a key role to play in the UK’s future energy system.
“We look forward to working closely with project developers to bring these projects into operation.”
Kimberly-Clark UK & Ireland managing director Dan Howell said: “We are delighted to be the first UK consumer goods manufacturer to really embrace green hydrogen, showing that manufacturing industries can take the lead and overcome the technical challenge and adopt green hydrogen at scale. This initiative builds on the investments and progress we’ve already made with innovative technologies for our business, our consumers and our customers.”
The 10 spades in the ground UK green hydrogen projects:
Cromarty Hydrogen Project, developed by Scottish Power & Storegga in Caithness, Sutherland and Easter Ross
Cromarty Green Hydrogen Project is located in northeast Scotland and is being developed by Scottish Power and Storegga. The project will use electricity from nearby wind farms produce hydrogen that could be sold to local industrial offtakers, including distilleries.
Bradford Low Carbon, developed by Hygen in Bradford East
Bradford Low Carbon Hydrogen is located within the city centre of Bradford, Yorkshire and is being developed by Hygen and N-Gen Energy. The project will use renewable electricity to produce hydrogen for use in a range of offtakers in the mobility sector. JCB and Wrightbus are key potential customers.
West Wales Hydrogen Project, developed by Morgen & Trafigura in Mid and South Pembrokeshire
West Wales Hydrogen Project is located in Milford Haven, West Wales, and is being developed by MorGen and Trafigura. The project will produce hydrogen could be sold to local industrial offtakers including Natural Gas facilities to decarbonise their operations.
High Marnham, developed by JG Pears & GeoPura in Newark
HyMarnham is located on the site of an old coal power station in the East Midlands and is being developed by JG Pears and GeoPura. Hydrogen produced is expected to be used by GeoPura to supply their remote power generation units and by JG Pears as part of their waste disposal operations.
Whitelee Green Hydroge, developed by Scottish Power in Kilmarnock and Loudoun
Whitelee Green Hydrogen is located in central Scotland, 22.5km south of Glasgow and is being developed by Scottish Power. The project will use electricity from Whitelee Wind Farm to produce hydrogen to be sold to local distilleries and transportation companies to decarbonise their operations.
Green Hydrogen 3, developed by HYRO in Gravesham
Green Hydrogen 3 is located in Northfleet, South east, and is developed by HYRO. Electricity will be sourced through a renewable Power Purchase Agreement and aims to be used to produce hydrogen for use in a paper mill to power industrial boilers.
Trafford, developed by Carlton Power in Stretford and Urmston (Greater Manchester)
Trafford Hydrogen Project is located in Trafford, Manchester and is being developed by Carlton Power. The project will produce hydrogen to be sold to a range of local industrial offtakers.
Barrow, developed by Carlton Power in Barrow-in-Furness (Cumbria)
Barrow Hydrogen is located in Cumbria and is being developed by Carlton Power. The project could provide low carbon hydrogen to the neighbouring Kimberly-Clark tissue manufacturing site.
Langage, developed by Carlton Power in South West Devon (Plymouth)
Langage green hydrogen is located in Plymouth and is being developed by Carlton Power. The project will supply hydrogen to companies located in Langage Energy Park which could utilise Hydrogen in place of gas in industrial processes such as minerals processing.
Tees Green, developed by EDF/Hynamics in Redcar (Teesside)
The Tees Green hydrogen project is located in Teeside. Low carbon hydrogen will be produced from electricity generated in the Teesside Offshore Wind Farm for use in the production of Sustainable Aviation Fuel, helping decarbonise the aviation industry in the future.
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