"Trailblazing" Hydrogen Production Facility Signs Major Milestone, Set to Boost Local Economy and Create Green Jobs

Strategic Insights -

A groundbreaking contract has been signed for a hydrogen production facility in Bradford, marking a significant milestone in the project's development. The facility, which will be built at the Birkshall Gas Holder site, will produce up to 12.5 tonnes of hydrogen per day, enough to power 800 buses, and is estimated to be worth £120 million to the local economy and create up to 125 jobs. The contract, known as a Low Carbon Hydrogen Agreement, provides the scheme with Government subsidies to enable the hydrogen produced to be sold at a rate comparable to fossil fuels for at least 15 years.

Key Takeaways:

  • The hydrogen production facility, called the Bradford Low Carbon Hydrogen, is the largest of 11 schemes in the Government's first Hydrogen Allocation Round, which provides a total of £2 billion of funding to stimulate hydrogen production.
  • The facility will produce up to 12.5 tonnes of hydrogen per day, enough to power 800 buses.
  • The project is expected to be up and running in 2027 and is estimated to be worth £120 million to the local economy and create up to 125 jobs.
  • The site will comprise hydrogen production, storage, and refuelling, with the hydrogen produced through a process known as electrolysis, which uses electricity to split water into hydrogen and oxygen.
  • Bradford Council believes the site will play an important role in helping the area deliver on its climate change ambitions.
  • Tracy Brabin, the mayor of West Yorkshire, has declared a climate emergency in the region and is committed to net zero by 2038.
  • The facility is a key milestone in the development of a thriving hydrogen economy across the UK, with the Government rolling out hydrogen production at scale for the first time.

Statistics:

  • £120m: Total estimated value of the facility to the local economy
  • 125 jobs: Estimated number of jobs created by the facility
  • 12.5 tonnes: Daily hydrogen production capacity of the facility
  • 800 buses: Number of buses that can be powered by the hydrogen produced
  • £2 billion: Total funding for the Government's first Hydrogen Allocation Round
  • 11: Number of schemes in the Government's first Hydrogen Allocation Round
  • 15 years: Minimum duration of the Low Carbon Hydrogen Agreement

Sources:

  • Contractors N-Gen Energy Solutions and Hygen Energy
  • Bradford Council
  • Tracy Brabin, Mayor of West Yorkshire
  • Minister for Industry, Sarah Jones
  • Low Carbon Contracts Company
  • T&A (newspaper)
  • Teesside to Devon (Government's hydrogen projects locations)