3 minute read - 15th April 2025
Landmark £6.5bn clean hydrogen mega-project launched
Some of Britain’s biggest companies have joined forces for a landmark clean hydrogen mega-project which aims to inject £6.5bn of private capital into the economy and create 24,300 jobs across the UK’s industrial heartlands.
Project HySpeed has mobilised an alliance of UK-based firms from FTSE100 to SMEs – including Centrica, Heidelberg, ITM Power, JCB, Johnson Matthey and National Gas – in direct response to the government’s call to make the UK a clean energy superpower. By scaling hydrogen production, cutting costs and strengthening the UK’s renewable energy leadership, HySpeed plans to produce 1GW of capacity by 2030 and reduce CO2 emissions by one million tonnes a year.
HySpeed was unveiled in the same week as the government’s HAR2 (Hydrogen Allocation Round) funding announcement, which shortlisted 27 electrolytic projects across the UK designed to deliver a thriving low-carbon hydrogen economy. It also follows comments from Peter Kyle MP, Secretary of State for Science, Innovation and Technology, who referenced the importance of Britain taking a technology leadership role in hydrogen during a visit to zero-emission bus manufacturer Wrightbus.
In his interview with The Times on April 11, the Secretary of State believed Britain could become a world leader in the development of hydrogen technology, saying: “We cannot compete on cost in the production of batteries. That ship has sailed. But on hydrogen, what we are doing in Britain is market leading.”
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Project HySpeed, a landmark clean hydrogen mega-project, will inject £6.5bn of private capital into the economy and create 24,300 jobs across the UK’s industrial heartlands / Picture: HydraB Power
Jo Bamford, executive chairman at HydraB Power, which put forward the proposal, said HySpeed was a compelling answer to the government’s clarion call for support: “Now more than ever the UK needs to stand on its own two feet, especially when it comes to our energy resources. Hydrogen offers us the opportunity to be energy secure and energy independent. Our conversations with the Department for Energy Security and Net Zero (DESNZ) have been hugely encouraging and we know the government is keen to support clean energy projects of this size.”
The project will aim to build a robust hydrogen ecosystem that benefits British industries and workers. Strategically located hydrogen production hubs will support local ecosystems and inject hydrogen into the gas grid to enable UK-wide industrial decarbonisation. Coupled with aggregated procurement of equipment and services, optimised power purchasing and low-cost financing, HySpeed will help reduce the cost of green hydrogen and embed manufacturing jobs for generations.
Dennis Schulz, CEO of ITM Power, said: “A consortium approach between credible industry players is the most effective pathway to the rapid scale-up of the UK’s green hydrogen economy. Comprising all elements of the hydrogen value chain from production to storage, transport and distribution, the initiative aims to locate green hydrogen generation in strategic locations across the UK. With volume comes economies of scale, which will drive down costs and accelerate the market substantially.”
Chris O’Shea, group chief executive officer of Centrica, added: “There is no silver bullet to decarbonise the energy system. It will take every technology we have at our disposal to achieve net zero. The scale and ambition of this project has the potential to dramatically lower costs, making hydrogen roll-out affordable for government and the private sector alike. Hydrogen can play a crucial role in tackling emissions from sectors that other clean energy sources can’t easily reach. It can be used to power the UK when the sun doesn’t shine, and the wind doesn’t blow.”
