CBI responds to publication of UK Government's hydrogen strategy

Matthew Fell, CBI Chief Policy Director, said:

“With hydrogen key to unlocking decarbonisation across carbon-intensive sectors, as well as stimulating high levels of skilled green jobs, the Government’s Hydrogen Strategy is a key milestone in the delivery of the UK’s 10 Point Plan.

“As a leader in high skilled manufacturing, and with an extensive legacy in energy production, the UK stands perfectly positioned to capitalise on the opportunities provided by hydrogen. Confirmation of both a business model consultation and the launch of an action plan for developing the hydrogen sector are important steps that will alleviate uncertainty in the market and provide the confidence boost private investors are looking for.

“However, to truly capitalise on those large-scale economic opportunities, and unlock the private sector finance needed, firms will now be looking for the government to provide detailed policies and standards for hydrogen production and application.

“With its cross-economy applications in the transition to net-zero, firms will be looking to the Government to make ambitious commitments on hydrogen testing and demonstration projects in the upcoming Comprehensive Spending Review – as well as clearly identifying its role in decarbonising the UK’s heat system through the Heat and Buildings Strategy.

“As the countdown to COP 26 continues, hydrogen is an area where the UK can lead by example on the global stage, showcasing the value of strong partnerships between government and the private sector on the road to reducing emissions.”