The UK government has confirmed a GBP21.7bn (€26bn) funding over the next 25 years to establish two carbon capture and storage (CCS) clusters, along with hydrogen production facilities, in Teesside and Merseyside (United Kingdom). The funding will go to the HyNet cluster in north-west England and the East Coast cluster in England's northeastern Humber and Teesside regions, which could together store about 650 MtCO2. The development of both clusters is expected to attract about GBP8bn (€9.5bn) in private investment and cut over 8.5 MtCO2/year of emissions.
The HyNet cluster includes plans for 125 km of new pipelines to transport hydrogen and connect to projects developed by EET Hydrogen (a subsidiary of Indian conglomerate Essar), including a 350 MW blue hydrogen plant (fuelled by natural gas with CCS) scheduled to come online by 2027. The East Coast cluster is led by the Northern Endurance Partnership (a JV between BP, TotalEnergies and Equinor), and it includes Equinor’s 600 MW H2H Saltend project and BP's 160 kt/year H2Teesside venture. Other projects that are also considering connecting to this cluster for CO2 storage include Uniper's 720 MW Humber H2ub (Blue) project, Kellas Midstream's 1 GW H2NorthEast plant and BOC’s retrofit facility.
The UK phased-out coal of its power mix and is now targeting to decarbonize its heavy industry to reach its net-zero emissions target by 2050.
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