Jobs unlocked as first wave of hydrogen projects sign contracts

Wednesday, 23 July 2025 11:43

Spades in the ground as 10 of the UK's first commercial-scale green hydrogen projects sign contracts, boosting growth as part of Plan for Change homegrown, green hydrogen to fuel range of British business and industry with clean power, from tissue manufacturing and waste disposal to breweries and bus services projects to unlock more than 700 good jobs across Britain in the clean energy industries of the future, while delivering on clean energy mission and industrial...Request free trial

Spades in the ground as 10 of the UK's first commercial-scale green hydrogen projects sign contracts, boosting growth as part of Plan for Change
homegrown, green hydrogen to fuel range of British business and industry with clean power, from tissue manufacturing and waste disposal to breweries and bus services
projects to unlock more than 700 good jobs across Britain in the clean energy industries of the future, while delivering on clean energy mission and industrial strategy

Skilled jobs will be created in Britain's industrial heartlands, as the first commercial-scale green hydrogen projects in the country sign long-term contracts to fuel heavy industry with clean, homegrown energy.

In an update to the hydrogen market, the government has confirmed that 10 projects from the first phase of its flagship hydrogen programme – Hydrogen Allocation Round (HAR1) – can begin construction, supporting the government's mission to become a clean energy superpower.  

This means spades can now enter the ground across the country in a major boost to the UK's hydrogen industry, creating highly skilled jobs in industrial cities and regions such as South Wales, Bradford (North West), North Scotland and Teesside (North East).

These projects will support British industry to move away from using fossil fuels towards domestically-produced low-carbon hydrogen, reducing emissions heavy industry - such as steel, glass and heavy transport - ensuring decarbonisation is a route to reindustrialisation.

The HyMarnham project in Newark, Nottinghamshire has already started construction. The project is transforming the old High Marnham coal-fired power station into a clean energy hub by using hydrogen to decarbonise waste disposal operations.

Cromarty Hydrogen Project in Northeast Scotland is another of the 10 projects. The project's 3 5MW electrolysers – which use electricity to split water into hydrogen and oxygen – will power local industrial users, including distilleries.

Taken together, the projects are expected to create over 700 jobs, including roles for apprentices, graduates, pipefitters and engineers. They are also expected to bring in over £400 million of private capital investment which has been committed between 2024 and 2026 – driving economic growth and British innovation through the Plan for Change.

The update comes as Andrex and Kleenex producer Kimberly-Clark announces that it will be the first major consumer goods company in the UK to make a significant commitment to green hydrogen. Kimberly-Clark, together with energy partners HYRO, Carlton Power, and Schroders Greencoat, will invest a combined £125 million into HAR1 projects at two plants in Barrow-in-Furness, Cumbria and Northfleet, Kent.

Minister for Industry, Sarah Jones, said:

This government is rolling out hydrogen out at scale for the first time, with 10 of the first projects now shovel-ready to start powering businesses with clean, homegrown energy from Teesside to Devon.

Hydrogen will help us cut industrial emissions and support Britain's industrial renewal by creating thousands of jobs in our industrial heartlands as part of the Plan for Change.

Neil McDermott, Chief Executive of Low Carbon Contracts Company (LCCC), said:

LCCC is proud to have signed the UK's first Low Carbon Hydrogen Agreements, supporting the development of projects under the Hydrogen Production Business Model.

These agreements provide revenue stability for producers, and a clear signal that low-carbon hydrogen has a key role to play in the UK's future energy system.

We look forward to working closely with project developers to bring these projects into operation.

Dan Howell, Managing Director at Kimberly-Clark UK & Ireland said:

We are delighted to be the first UK consumer goods manufacturer to really embrace green hydrogen, showing that manufacturing industries can take the lead and overcome the technical challenge and adopt green hydrogen at scale. This initiative builds on the investments and progress we've already made with innovative technologies for our business, our consumers and our customers.

Today's announcement follows the Spending Review which saw an extra £500 million confirmed for the first ever hydrogen transport and storage network as part of Britain's industrial renewal, connecting hydrogen producers with vital end users, including power stations and industry for the first time.

The government has also announced that it will consult on transmission-level hydrogen blending – assessing the economic and technical feasibility for hydrogen to be blended into the networks that are the backbone of Britain's gas system, before it is safely transported into homes and businesses.

Hydrogen transmission blending has the potential to reduce costs for hydrogen production projects and the wider energy system, and the consultation will also gather evidence to assess whether hydrogen blending could lower consumers' energy bills.

Clare Jackson, CEO of Hydrogen UK, said:

Signing these contracts demonstrates the confidence and commitment of both the government and industry in building a sustainable hydrogen sector.

Our members are at the forefront of this transition, and their projects will play a vital role in meeting the UK's net-zero targets while driving economic growth and job creation.

Dr Emma Guthrie, CEO of the Hydrogen Energy Association, said:

This announcement marks a significant and encouraging milestone for the UK's hydrogen sector.

The signing of contracts for 10 projects under HAR1 provides vital momentum and confidence for industry and investors alike.

We look forward to seeing these projects move into the next phase, helping to scale up the UK's low carbon hydrogen economy.

Pierre de Raphélis-Soissan, CEO of Hynamics UK who are developing the Tees Green Hydrogen project, said:

We are delighted that Tees Green Hydrogen has successfully signed a contract as part of the Hydrogen Allocation Round.

We are committed to advancing low carbon hydrogen solutions that not only support the UK's energy transition but also contribute to a sustainable future for our communities.

This achievement marks a significant milestone in the journey towards industrial decarbonisation within the Tees Valley region.

Gareth Mills and Kevin Selleslags, on behalf of Bradford Low Carbon Hydrogen (BLCH) said:

Signing our contract to take the largest HAR 1 project forward is a significant step.

Thanks to the government's investment, we're able to continue to progress our plans to transform Birkshall from a former fossil fuel gas site powering Bradford's homes and businesses to a flagship low carbon hydrogen production facility and fuelling station.

The scheme will not only help the area decarbonise with cleaner fuel but will vitally create around £120 million and support 125 jobs in the regional economy.

Alistair Collins, Director at HyMarnham Power, said:

As one of the first HAR1 projects now commissioning electrolyser systems, we're proud to demonstrate what government support can unlock, real infrastructure, green hydrogen production and a tangible contribution to the UK's net zero and energy security goals.

Lucy Whitford, RES' Managing Director, UK&I, said:

Green hydrogen, created using British low carbon energy, will revolutionise how we power industry, helping the UK to build a globally competitive, zero carbon economy in the process.

We are proud of the success of HYRO's Northfleet project, which will show how we can make green hydrogen a reality.

Notes to editors

HAR1 projects are expected to access over £2 billion over 15 years in revenue support from the Hydrogen Production Business Model and over £90 million in capital expenditure support via the Net Zero Hydrogen Fund.

Further details of the 10 projects which have signed to HAR1 are detailed in the table below, with contracts available on the LCCC registry.

Government is working collaboratively with the project developer of the final HAR1 project to ensure they are ready to sign the Low Carbon Hydrogen Agreement as soon as possible.

See the transmission blending consultation.

Project name	Developer	Constituency	Summary
Cromarty Hydrogen Project	Scottish Power & Storegga	Caithness, Sutherland and Easter Ross	Cromarty Green Hydrogen Project is located in northeast Scotland and is being developed by Scottish Power and Storegga. The project will use electricity from nearby wind farms produce hydrogen that could be sold to local industrial offtakers, including distilleries.
Bradford Low Carbon	Hygen	Bradford East	Bradford Low Carbon Hydrogen is located within the city centre of Bradford, Yorkshire and is being developed by Hygen in partnership with Ryze. The project will use renewable electricity to produce hydrogen for use in a range of offtakers in the mobility sector. JCB and Wrightbus are key potential customers.
West Wales Hydrogen Project	Morgen & Trafigura	Mid and South Pembrokeshire	West Wales Hydrogen Project is located in Milford Haven, West Wales, and is being developed by MorGen and Trafigura. The project will produce hydrogen could be sold to local industrial offtakers including Natural Gas facilities to decarbonise their operations.
High Marnham	JG Pears & GeoPura	Newark	HyMarnham is located on the site of an old coal power station in the East Midlands and is being developed by JG Pears and GeoPura. Hydrogen produced is expected to be used by GeoPura to supply their remote power generation units and by JG Pears as part of their waste disposal operations.
Whitelee Green Hydrogen	Scottish Power	Kilmarnock and Loudoun	Whitelee Green Hydrogen is located in central Scotland, 14 miles south of Glasgow and is being developed by Scottish Power. The project will use electricity from Whitelee Wind Farm to produce hydrogen to be sold to local distilleries and transportation companies to decarbonise their operations.
Green Hydrogen 3	HYRO	Gravesham	Green Hydrogen 3 is located in Northfleet, South east, and is developed by HYRO. Electricity will be sourced through a renewable Power Purchase Agreement and aims to be used to produce hydrogen for use in a paper mill to power industrial boilers.
Trafford	Carlton Power	Stretford and Urmston (Greater Manchester)	Trafford Hydrogen Project is located in Trafford, Manchester and is being developed by Carlton Power. The project will produce hydrogen to be sold to a range of local industrial offtakers.
Barrow		Barrow-in-Furness (Cumbria)	Barrow Hydrogen is located in Cumbria and is being developed by Carlton Power. The project could provide low carbon hydrogen to the neighbouring Kimberly Clark tissue manufacturing site.
Langage		South West Devon (Plymouth)	Langage green hydrogen is located in Plymouth and is being developed by Carlton Power. The project will supply hydrogen to companies located in Langage Energy Park which could utilise Hydrogen in place of gas in industrial processes such as minerals processing.
Tees Green	EDF/Hynamics	Redcar (Teesside)	The Tees Green hydrogen project is located in Teeside. Low carbon hydrogen will be produced from electricity generated in the Teesside Offshore Wind Farm for use in the production of Sustainable Aviation Fuel, helping decarbonise the aviation industry in the future.