Ministers told to back hydrogen blending in gas network this year

Ministers should back moves to allow hydrogen to be blended into the gas transmission network by the end of this year, the government sector champion has urged.

Jane Toogood, who was appointed Hydrogen Champion last year, has published a new report that outlines recommendations on the steps to kickstart an industry in the UK.

These include making a strategic decision to support blending of hydrogen into the gas transmission network this year and confirm suitable arrangements for support.

The government is currently exploring whether to increase the current limit on hydrogen in the gas distribution network from a volume of 0.1% to 20%.

Safety trials have recently concluded for distribution level blending and are due to be finalised later this year for the transmission network.

The report by Toogood, who is also chief executive of Johnson Matthey’s Catalyst Technologies arm, says blending could support the government’s goal of 5GW hydrogen production by 2030.

Achieving this critical mass of demand could also significantly help to make carbon capture-enabled hydrogen projects investible and reduce the need to curtail renewable electricity output by using the surplus power to produce green hydrogen through the electrolysis process.

Last week, energy secretary of state Grant Shapps said there is a “very strong case” for blending hydrogen and gas, which its proponents say would help the UK to capitalise on its extensive, existing gas grid.

Toogood’s report also calls for ministers to consider an early mandate for hydrogen-ready boilers, like that being proposed for heat pumps, and for greater clarity surrounding the government’s decision-making on the role that hydrogen will play in the home heating mix.

In addition, the report calls on the government to provide more clarity for the next set of hydrogen clusters beyond the two already approved in the north-west and Teesside.

And it calls for the Future Systems Operator’s proposed role to be expanded to include responsibility for developing a strategic plan for the hydrogen network, integrated with its electricity and gas planning responsibilities, in order to maximise cost efficiencies.

But the report warns that the government must capitalise on investor interest in hydrogen by helping to bring forward projects in the UK.

“Global investors and major industry players have substantial funding available, not least because some industries cannot decarbonise without hydrogen, they are weighing up alternative investment options. Some are prioritising opportunities elsewhere, but a sizable number are waiting to see how projects develop in the UK.”

Responding to the report, James Earl, the Energy Networks Association’s director of gas, said: “This report is a vital call to action for anyone concerned with how the UK is going to meet our net zero goals.

“It’s clear we can’t just tinker with one or two parts of the system – we need a transformational push, directed by a clear vision of what the whole low-carbon energy system will look like. Hydrogen deployment, the development of renewables and the adoption of technologies like heat pumps are all essential to this vision.

“Network operators are working hard to provide industries, businesses and homes with a choice of low-carbon energy, but they need certainty around investment, system requirements and planned commercial arrangements to accelerate their plans. In particular, we agree with the report that a strategic decision to support hydrogen blending in 2023, urgent clarity on what the shape of the decision on hydrogen for heat in 2026 will be and clarity on the timeline around funding allocation rounds are crucial if gas network operators are to maintain the necessary pace.”