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Scotland opens £7m of funding for ‘green’ hydrogen

The Scottish government has announced that businesses will be able to bid for a share of up to £7 million of funding to support “green” hydrogen projects. 

The scheme has been launched to help cover the development stage of green hydrogen projects with production capacity of between 5 to 400 megawatts – the equivalent to the production of enough hydrogen to heat at least 200 to over 16,000 homes.   

Organisations have until 27 September 2024 to apply for a maximum of £2 million of match-funding from the scheme which has been co-developed with Scottish Enterprise, who will facilitate and manage the fund.  

It complements a total of almost £7 million from the Scottish Government’s Hydrogen Innovation Scheme, which has supported 31 projects across the country since 2023.  

Support will also be available for work supporting the hydrogen supply chain and storage solutions and will play an important role in helping the industry scale up as it responds to market demand. 

‘Scotland is well positioned to lead the way’ 

Acting minister for climate action Alasdair Allan said: “Our energy sector, and the development of green hydrogen in particular, will play a crucial role in growing Scotland’s economy and delivering on our net zero targets. 

“This is due to our capability to generate so much renewable energy which is crucial to the process of making green hydrogen. 

“This funding – which will help support the development of green hydrogen projects and hydrogen hubs across the country, will, in time, help unlock opportunities in hydrogen for use and export and to power the clean energy intensive industries of the future.  

“It demonstrates that Scotland is well positioned to lead the way in developing renewable energy in a way that delivers economic benefits and it also shows our commitment to help grow the hydrogen sector, one of the five priority areas set out in our new Green Industrial Strategy.” 

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