Centrica rolls out bold plans to kickstart a ‘UK hydrogen economy’
The British energy company is working with a hydrogen specialist on a project that could lower the cost of transitioning to net zero.
Energy giant Centrica and Ryze Hydrogen are to jointly build and operate production facilities aimed at providing a reliable supply of hydrogen for industry and transportation in the UK.
A memorandum of understanding has been signed and will combine expertise in order to kickstart the development of a so-called “UK hydrogen economy”, targeting the mobility, industrial and commercial markets, the companies said.
Under the agreement, the firms will jointly develop hydrogen production projects on existing Centrica sites and work with third parties to build production on their sites too.
We should be bold in our thinking. The UK should aim to be a net exporter of hydrogen, providing high-quality green jobs, additional revenues for the UK Treasury and a lower cost of transitioning to net zero for homeowners and businesses.
Path towards net zero
In addition, the partnership will explore how the UK can work with international hydrogen production facilities to move low-cost renewable power converted to hydrogen and hydrogen derivates to areas of high demand.
William Mezzullo, Centrica’s head of hydrogen, explained that “low-carbon hydrogen will play a major role in decarbonising our energy systems. It enables the increased use of renewable and low-carbon electricity by offering the potential for storage in quantities that provide long-term resilience and another choice for decarbonising hard to electrify sectors.”
He added: “We should be bold in our thinking. The UK should aim to be a net exporter of hydrogen, providing high-quality green jobs, additional revenues for the UK Treasury and a lower cost of transitioning to net zero for homeowners and businesses.”
Jo Bamford, green entrepreneur and executive chairman of Ryze, said: “It is clear from our conversations with Centrica that it is committed to making hydrogen a valuable component of its net-zero strategy.”
He stressed that the projects the companies have discussed in recent weeks will be “game-changing for the green hydrogen economy” and will underline “why hydrogen is such an important resource for the UK and the rest of the world in the fight against climate change”.
Among the initial projects under consideration, Centrica and Ryze will examine solutions for converting some of the British Gas fleet to hydrogen, including refuelling infrastructure, locations and van technology.
In addition, Bamford said Centrica Business Solutions will work with Ryze to offer hydrogen as an alternative fuel for customers wishing to decarbonise on-site generation.
Centrica recently announced plans to inject hydrogen into a gas peaking plant at Brigg, Lincolnshire in a trial aimed at better understanding the role of hydrogen in power production.
The company stressed it “has a long-term aim” to turn the Rough gas field into the largest long duration energy storage facility in Europe, capable of storing both natural gas and hydrogen.
