The new funding is intended to drive innovation within the hydrogen sector and accelerate production and storage.
The 拢10m Hydrogen Innovation Scheme will provide capital support over the next four years. It aims to unlock additional private investment in the technology, and enable new companies to enter the sector.
The first round of funding will target:
projects that support the low-cost, efficient and sustainable production of renewable hydrogen;
projects that support efficient hydrogen storage and distribution, both within Scotland and for export;
projects that support the efficient integration of hydrogen into our energy system.
The scheme is part of a Scottish government commitment to invest 拢100m in hydrogen over the course of this parliament. In turn, this form part of a wider 拢180m package of investment in emerging energy technologies.
Net zero & energy secretary Michael Matheson said: 鈥淪cotland has the resources, the people and the ambition to become a world leader in hydrogen production for both domestic use and for export to Europe.
鈥淭he Scottish government is committed to working with the energy sector to establish hydrogen as an important part of a cleaner, greener energy system, supporting a just transition for the industry both home and abroad.
鈥淥ur offshore wind resources, which will increase massively in the coming years, offer huge opportunity for the Hydrogen sector to grow. As set out in our Hydrogen Action Plan, and our clear ambition to have 5GW installed hydrogen production capacity in Scotland by 2030 and 25GW by 2045.
鈥淲e are open to the world and actively seeking opportunities to collaborate with international partners. The Hydrogen Innovation Scheme provides important, near-term investment to help the sector develop, diversify and realise it鈥檚 potential to support our transition to a net zero economy.鈥�
Andy McDonald, head of low carbon transition at Scottish Enterprise, said: 鈥淪cottish Enterprise is collaborating with Scottish government to develop opportunities in the hydrogen sector in Scotland that will maximise the economic benefits and support energy transition. We share the ambition to develop Scotland as a leading hydrogen nation. Innovation is a big part of that as it is at the heart of economic development.
鈥淚t is important in an emerging sector like hydrogen that we support Scottish companies and projects now to develop new techniques and technologies which can help us to realise our future ambitions in this sector and to retain as much value and intellectual property in Scotland as possible. Scottish Enterprise is engaged with the Hydrogen Innovation Fund and supporting its implementation.鈥�
Nigel Holmes, chief executive officer of the Scottish Hydrogen and Fuel Cell Association, said: 鈥淭he Hydrogen Innovation Scheme will help Scotland to develop our hydrogen supply chain and build the international partnerships to grow Scottish capacity and export capabilities. This is a great opportunity for our manufacturers, innovators, and researchers not yet involved in the hydrogen sector to establish new activities in Scotland.鈥�
John Andresen, Hydrogen Strategic Champion at the Energy Technology Partnership, said: 鈥淭he Energy Technology Partnership is very pleased about the new Scottish Government鈥檚 拢10 million Hydrogen Innovation Scheme which will foster national technological progress and advance home-grown innovation. A key funding route for the green powerhouse of Europe.鈥�
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