The UK and Germany have signed a new agreement aimed at accelerating the development of an international hydrogen industry.
Signed on Tuesday at the UK Embassy in Berlin, the ‘Joint Declaration of Intent’ will see the two nations commit to working together to underpin an international trade in hydrogen.
UK minister for energy efficiency and green finance Lord Callanan, and Germany’s state secretary for energy Philip Nimmermann penned the declaration, which also includes plans to develop hydrogen technologies and wider low-carbon investment.
Five areas of collaboration were agreed by the leaders, including agreements to accelerate the deployment of hydrogen projects and work together to establish international hydrogen markets and agree safety and regulations to aid trade.
The nations also committed to undertake joint market analysis, to support further planning and investment by government and industry.
The accord follows plans mooted over the summer for a £2.7 billion pipeline network that would connect hydrogen hubs in Scotland to the Netherlands and Germany – creating hundreds of jobs and opening up major EU export markets in the process.
By 2030, EU demand for hydrogen is expected to be 20 million tonnes, half of which will come via imports – rising to 60 million tonnes by mid-century.
Meanwhile at UK level the government is supporting new production schemes via the £240m Net Zero Hydrogen Fund and revenue support from the Hydrogen Production Business Model.
In Germany, the government has backed a National Hydrogen Strategy with funding from the Climate and Transformation Fund, providing a push for the ramp-up of a hydrogen market.
Lord Callanan said: “The UK and Germany are natural partners in making low-carbon hydrogen a cleaner and more sustainable way to power up our societies.
“This agreement will underpin the development of this new fuel not just for our respective countries but also for an international trade that could be transformative in our work towards achieving net zero emissions by 2050.
“It is through these partnerships that we can move away from expensive fossil fuels – and in doing so boost our energy security.”
Mr Nimmermann added: “With this declaration we are on our way to jointly help developing the European and international markets for hydrogen. Our cooperation will not just involve trading of hydrogen and its derivates, but also cooperation on technologies and innovation in this field, which will be of mutual benefit for both Germany and the UK.
“Hydrogen is of the highest importance for us to meet our goals regarding emission reduction. Also, it is a great opportunity for business. I am looking forward to a successful partnership.”
Co-operation needed to accelerate scale up
Steve Scrimshaw, VP of Siemens Energy UK and Ireland and a member of the UK Government’s Hydrogen Advisory Council and the Green Jobs Delivery Group, said that ramping up a hydrogen economy “will take time.”
“Closer cooperation between countries such as the UK and Germany will help accelerate the scale and pace that is needed.
“The sustainable decarbonisation of industry is unthinkable without renewable hydrogen that is why partnerships like this are so important. At Siemens Energy we cover the energy value chain – from power generation and transmission to storage, including hydrogen electrolysis technology – and are committed to playing a key role across Europe and the rest of the globe.”
UK-based electrolyser manufacturer ITM also welcomed the news, with CEO Dennis Schulz noting that: “An effective hydrogen economy can only take shape if countries form alliances like this one. Germany is a very significant market for hydrogen and for ITM Power.”
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