French energy giant EDF has selected UK green hydrogen technology firm ITM Power to provide engineering works for its Tees Green Hydrogen project.
Located near Redcar, the Tees Green Hydrogen development secured UK government funding as part of the net zero hydrogen fund (NZHF) and the first hydrogen allocation round (HAR1).
Under the plans, EDF and its subsidiary Hynamics will use renewable electricity from the Teesside offshore wind farm and a planned solar form to power hydrogen electrolysers.
Sheffield-headquartered ITM Power said it will provide four of its 2 MW Neptune II cotainerised electrolyser plants for the Tees Green Hydrogen project.
ITM said the Tees project will boost local industry and transport by supplying green hydrogen to support decarbonisation efforts and significantly reduce industrial pollution, securing its long-term sustainability.
Dennis Schulz, CEO, said: “It is a privilege to have been selected by EDF Renewables UK and Hynamics, and we look forward to collaborating with them.”
UK green hydrogen market
Progress on the Tees Green hydrogen project comes after months of uncertainty and delays surrounding HAR1 projects.
The HAR1 process saw 125 MW of capacity across 11 green hydrogen projects awarded funding, falling short of the government’s original goal of 250 MW.
The round included two projects based in Scotland, two in Wales, and nine across England.
In its Autumn budget, the UK Labour government confirmed £2 billion of funding for HAR1 projects, with the first three projects signing contracts in December.
Labour industry minister Sarah Jones has described the nascent hydrogen market as a £7 billion annual opportunity for British businesses.
“We have one of the most attractive business environments around; we have a cutting-edge hydrogen sector,” she told business delegates at a recent hydrogen-focused event in London
The UK government is expected to announce the results of the second allocation round (HAR2) imminently, targeting 875 MW of capacity.
Energy Voice understands there are around 19 Scottish projects bidding for HAR2, including proposals in Stirling and Aberdeenshire.
HAR1 winners HYRO, Carlton Power and Marubeni Europower are among the firms to confirm plans to submit projects for HAR2.