United Kingdom selects 27 hydrogen projects under energy transition programme

The UK government has selected 27 hydrogen projects under its second HAR2 funding round to revive industry and support over £1 billion in private investment by 2029.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

The United Kingdom announced on 7 April the selection of 27 projects under the Second Hydrogen Allocation Round (HAR2), supporting low-carbon hydrogen production across its territory. These initiatives form part of the government’s Plan for Change, aiming to revitalise the country’s industrial centres and reduce emissions in high-intensity sectors.

This new wave adds to a previously funded set of 11 projects, including Whitelee Green Hydrogen in Scotland. These developments could attract over £1bn (approximately $1.26bn) in private sector investment by 2029, according to the Department for Energy Security and Net Zero. To date, £400mn has already been invested, creating more than 700 jobs in locations such as Milford Haven and High Marnham.

Industrial hydrogen deployment and sector diversification

The shortlisted projects target energy-intensive sectors such as ammonia production, brick manufacturing, glass, clean power generation, and sustainable aviation fuel production. The government has emphasised a large-scale industrial decarbonisation strategy based on hydrogen generated by electrolysis using renewable electricity.

Among the beneficiaries of the first round, the Bradford Low Carbon Project will develop a 10.6 MW alkaline electrolyser to supply hydrogen to heavy-duty mobility equipment. In Scotland, the Cromarty Hydrogen Project, led by Scottish Power and Storegga, will use electricity from nearby wind farms to power an 11 MW electrolyser serving local industries.

Job creation and structuring a national supply chain

The HAR2 initiative reflects a commitment to revalue technical trades in industrial regions. It includes opportunities for apprentices, engineers, welders, and maintenance operators. Emphasis is also placed on the development of energy hubs and local supply chains across England, Scotland, and Wales.

According to Industry Minister Sarah Jones, the HAR2 programme allows for the commercial-scale deployment of hydrogen in the UK for the first time. Implementing these projects will support economic growth and the government’s ambition to become a clean energy power.

Elemental Clean Fuels will develop a 10-megawatt green hydrogen production facility in Kamloops, in partnership with Sc.wén̓wen Economic Development and Kruger Kamloops Pulp L.P., to replace part of the natural gas used at the industrial site.
Driven by green hydrogen demand and state-backed industrial plans, the global electrolyser market could reach $42.4bn by 2034, according to the latest forecast by Future Market Insights.
Driven by mobility and alkaline electrolysis, the global green hydrogen market is projected to grow at a rate of 60 % annually, reaching $74.81bn in 2032 from $2.79bn in 2025.
The cross-border hydrogen transport network HY4Link receives recognition from the European Commission as a project of common interest, unlocking access to funding and integration into Europe’s energy infrastructure.
The withdrawal of Stellantis weakens Symbio, which is forced to drastically reduce its workforce at the Saint-Fons plant, despite significant industrial investment backed by both public and private stakeholders.
German steelmaker Thyssenkrupp plans to cut 11,000 jobs and reduce capacity by 25% as a condition to enable the sale of its steel division to India’s Jindal Steel.
Snam strengthens its position in hydrogen and CO₂ infrastructure with EU-backed SoutH2 corridor and Ravenna hub, both included in the 2025 list of strategic priorities for the European Union.
Driven by industrial demand and integration with renewable energy, the electrolyzer market is projected to grow 38.2% annually, rising from $2.08bn in 2025 to $14.48bn by 2031.
BrightHy Solutions, a subsidiary of Fusion Fuel, has signed a €1.7mn contract to supply a hydrogen refuelling station and electrolyser to a construction company operating in Southern Europe.
In Inner Mongolia, Xing’an League is deploying CNY6bn in public funds to build an integrated industrial ecosystem for hydrogen, ammonia and methanol production using local renewable resources.
Despite a drop in sales, thyssenkrupp nucera ends fiscal year 2024/2025 with operating profit, supported by stable electrolysis performance and positive cash flow.
ExxonMobil’s pause of the Baytown project highlights critical commercial gaps and reflects the impact of US federal cuts to low-carbon technologies.
State-owned Chinese group Datang commissions a project combining renewable energy and green hydrogen within a coal-to-chemicals complex in Inner Mongolia, aiming to reduce stranded asset risks while securing future industrial investments.
Möhring Energie Group commits to a green hydrogen and ammonia production project in Mauritania, targeting European markets from 2029, with an initial capacity of 1 GW.
Air Liquide deploys two hydrogen-powered heavy-duty trucks for its logistics operations in the Rotterdam area, marking a step in the integration of low-emission solutions in freight transport.
French hydrogen producer Lhyfe will deliver over 200 tonnes of RFNBO-certified hydrogen to a heavy mobility operator under a multi-year contract effective since 1 November 2025.
Plug Power was selected by Carlton Power to equip three UK-based projects totalling 55 MW, under an agreement subject to a final investment decision expected by early 2026.
Hyroad Energy expands its services to include maintenance, software, and spare parts, offering a comprehensive solution for hydrogen freight operators in the United States.
Air Liquide has launched in Antwerp the first industrial-scale pilot unit for converting ammonia into hydrogen, marking a key technological milestone in the global low-carbon hydrogen supply chain.
Ohmium reached an iridium utilisation rate of 18 GW/ton for its electrolyzers, significantly surpassing the 2030 target, through technological advances that lower hydrogen production costs.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.