The UK is well placed to become a European trade hub for hydrogen but should invest in small scale imports and exports initially to stimulate investment, according to Hydrogen UK’s first Import and Export report.
Both areas will be key to building supply chains, driving skills and enhancing clean growth, and ensuring the UK remains competitive as major European economies develop their hydrogen strategies.
Hydrogen exports will help increase domestic hydrogen production capacity, and stimulate clean growth while increasing the UK’s importance as a low carbon energy partner to Europe.
Imports will have an important role to ‘wet the pipes’ as domestic production gets up to speed, accelerate decarbonisation and enhance energy security as part of a diverse energy mix. The UK serves as a ‘land bridge’ for LNG imports, which soared 74% between 2021 and 2022, while natural gas exports underwent a three-fold boom.
Source: Hydrogen UK
Clare Jackson, CEO of Hydrogen UK, said the report aims to enable the UK to become a leader in the application and service of hydrogen, and create a globally attractive import and export market.
She said, “By leveraging the UK’s world-class offshore wind generation and geological storage, we have the potential to become a leading European hydrogen hub and reap all the associated economic benefits.”
On the best way to transport hydrogen, whether via pipelines, shipping or developing ammonia, LOHCs or metal hydrides, Hydrogen UK believes all technologies will have an important role to accelerate decarbonisation and exploit the UK’s renewable potential.
The UK Government should support ports, terminals and pipeline infrastructure developers in conducting feasibility studies and preparing for the Net Zero transition.
Among the 10 recommendations to Government are coordinating the deployment of hydrogen infrastructure with the European Union, and building international cooperation to achieve mutual recognition of certification frameworks, alongside the Low Carbon Hydrogen Standard (LCHS).
More research is needed on hydrogen supply and demand while domestic production is built out, while targeted demand-side support would accelerate decarbonisation in hard-to-abate sectors.
