The fund is intended to support the development of technology to produce hydrogen at scale, as a decarbonised energy carrier alongside other decarbonised gases. We also intend to establish a new £100 million Low Carbon Hydrogen Production Fund, to support the deployment of low carbon hydrogen production at scale. The fund will support the deployment of low carbon hydrogen production capacity and encourage private sector investment. Recognising that availability of low carbon hydrogen at scale is a constraint to large industrial users considering fuel switching, Government has also announced a new £100 million Low Carbon Hydrogen Production Fund. The Department for Business, Energy and Industrial Strategy is creating a £100m fund to deploy low carbon hydrogen production across the energy system and encourage the private sector to invest in scaleup and deployment. Nonetheless, supporting industry onto a pathway consistent with Net Zero remains a key Government priority and work continues at pace to ensure we meet our commitments. The government has awarded 20 projects a share of £7 million to explore innovative ways of making and using low-carbon hydrogen. We remain committed to engaging with industry to design and deliver the £100 million Low Carbon Hydrogen Fund … £70 million will include funding for 2 of Europe’s first-ever large scale, low carbon hydrogen production plants - the first on the banks of the Mersey, the second planned for near Aberdeen. The low carbon hydrogen production focus is meant to help overcome the environmental challenges associated with producing H2 on a large scale. The Hydrogen Supply program, as it’s known, will focus on five “demonstration phase projects.” These include what the government described as two “low carbon hydrogen production plants… This could enable a … BEIS has also announced £350m of new funding alongside the grants – £100 million for a competition to boost hydrogen production and £250m for a new Clean Steel Fund The Low Carbon Hydrogen Production Fund (LCHF) was announced in August 2019. The facility will deliver low cost, low carbon hydrogen at scale and high efficiency, and with a very high carbon capture rate – over 95% of the carbon used in the process will be captured and stored, thanks to the pioneering carbon capture technology. Of the package, £28 million (about $36.47 million) in funding will be spread across five different H2 projects focused on producing it in a green way.


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