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Scottish Government announces 10m for green hydrogen

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The newly launched “Hydrogen Innovation Scheme” will provide funding support until 2026 and is part of the Scottish governments pledge to invest £100m towards the emerging hydrogen sector. This scheme is specifically designed to support and encourage new and existing companies to enter the hydrogen market, stimulating the emerging green hydrogen sector.

Hydrogen is seen by many as the direct replacement to methane, the main product of natural gas and the fuel many of us rely on to heat our homes. Hydrogen has the major advantage of only producing water vapour on combustion unlike natural gas which releases harmful greenhouse gases into the atmosphere.

Green hydrogen is produced from the electrolysis of water with energy produced from renewable sources including wind and solar.

Hydrogen is essential for decarbonising our energy sector, with hydrogen acting as an energy storage device similar to a battery, helping to reduce the intermittency issue with renewables but will require a large capacity.

Hydrogen will also be essential in allowing the transport sector to reach net zero through the introduction of hydrogen powered vehicles.

Finally, Hydrogen is widely regarded as the key solution to the decarbonisation of the heating sector, an area the world has previously struggled to address.

With the government having an ambitious target of having 5GW of Hydrogen production by 2030 and 25GW by 2045, the first round of funding will focus on supporting projects that facilitate the production of low-cost, sustainable hydrogen.

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