UK-based energy companies RES and Octopus Energy have entered a partnership to develop green hydrogen plants across the UK with a £3bn ($4.1bn) investment.
RES and Octopus Renewables, the generation arm of Octopus Energy Group, will combine their capital and knowledge to build and operate green hydrogen plants.
The companies will work with industries seeking to decarbonise their business by switching to green hydrogen while supporting the UK Government’s efforts for a green-led economy.
They aim to develop the plants by 2030.
RES Europe, Middle East and Africa (EMEA) CEO Rachel Ruffle said: “We know that renewable-based electrification using wind and solar is the fastest way to decarbonise.
“When coupled with the production of green hydrogen, it becomes the natural choice for industry and our hard-to-abate sectors.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below formBy GlobalData
“Our partnership will enable industrial users to make the switch to reliable and cost-effective green hydrogen.”
Octopus Renewables co-head Alex Brierley said: “The supply of green hydrogen will be critical to the success of many industries in meeting the UK’s net-zero targets.
“With this partnership, we are providing a solution for those businesses to help deliver on the government’s ambitions.
“We invite industrial businesses that are currently using hydrogen to contact us and benefit from the early-mover advantage.”
RES and Octopus Energy aim to use green electrons produced during windy and sunny days and store them as hydrogen for future use.
In addition to decarbonising the country’s industrial business, the companies aim to provide cheaper and locally produced hydrogen that is insulated from gas price fluctuations.
In August, the UK Government published a ‘hydrogen strategy’ and called for low-carbon hydrogen production to help the country become net-zero.
The government has secured more than £5.8bn in foreign investment in green projects since the launch of Prime Minister Boris Johnson’s ten-point plan for a ‘green industrial revolution’ last year.