Source - reNews - Scotland Launches £7m Green Hydrogen Fund 

Businesses in Scotland now have the opportunity to bid for a share of up to £7 million in government funding to kickstart green hydrogen projects. This initiative is aimed at supporting projects with production capacities ranging from 5MW to 400MW—enough to produce hydrogen capable of heating between 200 and over 16,000 homes.

The funding will help cover development costs for green hydrogen production, with additional support for strengthening the hydrogen supply chain and creating storage solutions. These efforts are vital to scaling up the hydrogen industry to meet increasing market demand.

Applications are open until the end of the month, with businesses able to apply for a maximum of £2 million in match-funding. The fund, which will be managed by Scottish Enterprise, was co-developed to ensure streamlined support for emerging projects. This initiative complements the Scottish government’s Hydrogen Innovation Scheme, which has allocated almost £7 million to 31 projects since 2023.

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.”

Scottish Enterprise director of energy transition Suzanne Sosna highlighted the significance of the fund, stating: “This new fund will help new green hydrogen projects get off the ground, something that is critical if we are to build the hydrogen economy as we aim to in Scotland.

“Renewable energy, including green hydrogen, has the potential to transform Scotland’s economy and Scottish Enterprise is fully committed to helping hydrogen production, storage and offtake businesses as part of that.”

This funding is another key element in Scotland’s strategy to lead the way in renewable energy development, ensuring both economic benefits and progress toward achieving net zero goals.

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