In the last few years, there has been global momentum around the development of international hydrogen markets, with countries across Europe – including Scotland – increasing both the scale and pace of the development of hydrogen production.
Scotland, due to our capacity to generate so much renewable energy – is well-placed to service future export markets for hydrogen and hydrogen derivatives at scale.
Indeed, hydrogen, which is powered by renewable electricity, could present Scotland’s greatest industrial opportunity since oil and gas was discovered in the North Sea, and play a crucial role in delivering on our country’s net zero targets.
As a relatively new and emerging sector, hydrogen is one which presents huge potential for investment and growth.
So much so in fact, that expert analysis has suggested that Scotland could produce up to 3.3 million tonnes of green hydrogen per year by 2045, the energy equivalent of around 90% of our total current energy demand.
© Andrew Milligan/PA WireIf we were to meet this ambitious scenario our country would not only be able to significantly contribute further to the UK’s energy needs, but also meet international demand.
Today marks the publication of the Scottish Government’s first hydrogen sector export plan, A Trading Nation – Realising Scotland’s Hydrogen Potential.
It outlines where the opportunities for growth lie for businesses and investors, if Scotland is to become a key producer and exporter of renewable hydrogen by 2030.
And it provides a clear framework to guide future progress in the sector.
Scotland’s hydrogen supply chain
Scotland’s hydrogen supply chain is already engaged in exporting their services and skills– through manufactured products, project support and integration services – to global markets.
However the sector has far more to contribute to our energy needs.
Earlier this year, I visited a whisky maltings in Inverness, which plans to use locally produced green hydrogen to decarbonise their operations, and the wider industry.
It is just one example of the demand I have seen first-hand for hydrogen and hydrogen related products in Scotland.
© Supplied by BPSo, ensuring that we have robust evidence of this growing market demand across the UK and Europe for hydrogen and hydrogen products will be central to attracting greater investment, and growth, in the production, transport and storage of hydrogen in Scotland.
Equally important to the development of a thriving domestic hydrogen sector – is ensuring that it is underpinned by a strong support chain, capabilities and skills.
Hydrogen jobs and manufacturing
It is our plan to secure and create jobs along the hydrogen value chain, not to mention the benefits which will come to communities from the large-scale manufacturing opportunities from hydrogen derived products.
And, for Scotland to export to international markets, the infrastructure and systems around hydrogen export – for example hydrogen storage facilities, and the feasibility of pipelines connecting Scotland to Ireland and Europe – will also need to be developed and improved.
It will also mean working closely with international partners to share our expertise – to help develop the sector abroad more quickly.
This will have the added benefit of supporting a just transition for people living and working in Scotland and will ensure that Scotland captures significant long-term economic benefits from hydrogen.
I am determined to unlock opportunities in hydrogen for use and export and to power the clean energy intensive industries of the future.
This will secure the role of Scottish companies in the global hydrogen supply chain and to ensure our country is well prepared to play a leading role in meeting the growing demand for hydrogen from import countries in Europe over the coming decade.
Gillian Martin MSP, is the Scottish Government’s acting Cabinet Secretary for Net Zero and Energy
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