The government’s Energy Security Strategy, which was unveiled in April, increased hydrogen production targets to 10GW by 2030 with at least half coming from green hydrogen which is carbon-neutral.
During the launch of its ‘Hydrogen Accelerators’ report at the Conservative Party Conference, Hydrogen UK (HUK) claims the industry is growing so quickly that its current production project pipeline already exceeds this target by a third.
It is now pushing for a rapid scaling up of production, greater support for distribution and storage infrastructure, and the creation of demand in end-use sectors.
To support this, the body wants the government to set a target for 1,000,000 homes to be heated by hydrogen by 2035 as well as the 2026 targets for boilers.
It also called for reform of the gas markets to include the potential for green gas and low-carbon hydrogen as well as clarification of the future of VAT for hydrogen. Currently, hydrogen is taxed at 20 per cent...