A £ 200 million joint venture announced today in green hydrogen testifies to the low-carbon gas’ future as an industrial mainstay and low-carbon substitute.
Developers Carlton Power & partner investors Schroders Greencoat have made the pump-priming mega-commitment, initially centred on three electrolysing sites to be developed in Barrow in Furness – pictured , Trafford Park and Langage, near Plymouth.
All three were shortlisted this spring under the first allocation round of the government’s Hydrogen Business Model / Net Zero Hydrogen Fund.
Through a joint-venture company, Carlton will build, develop and run the plants, with the first coming scheduled for production by 2025.
That date depends on confirmation of applicable government grants, expected later this year. The duo intend seeking further sites, towards their goal of 500MW by 2030, and making a big contributiion towards Whitehall’s goal of 1GW of electrolyser capacity either in operation or construction by 2025.
The first three projects will supply green hydrogen to industrial and manufacturing companies wishing to decarbonise their operations. All, say the duo, will have potential to supply hydrogen to local businesses, including hauliers and other transport operators.
Carlton Power’s founder Keith Clarke said: “We are delighted to be joining forces with Schroders Greencoat to develop a significant green hydrogen portfolio in the UK. Their decision underlines the strength and quality of Carlton’s projects and our team”.
James Samworth, co-head of Schroders Greencoat’s energy transition team, said: “We are aiming for our joint venture to become one the UK’s most ambitious hydrogen investment platforms.
“Hydrogen is a huge opportunity and will play a centrally important part in the energy transition. This partnership provides the perfect platform for us to enter the space, accelerate the development of green hydrogen projects here in the UK, and provide investors with access to this growing industry.”