The UK and Germany Collaborate to Accelerate Progress in Hydrogen Advancements

27 Sep, 2023

The UK and Germany Collaborate to Accelerate Progress in Hydrogen Advancements

The UK and Germany have entered into a significant agreement aimed at advancing the global hydrogen industry, positioning both nations at the forefront of this transformative energy sector. This momentous pact was formalized at the UK Embassy in Berlin, with Lord Callanan, Minister for Energy Efficiency and Green Finance representing the UK, and Philip Nimmermann, State Secretary for Energy for Germany, signing a Joint Declaration of Intent. The primary focus of this collaboration is to strengthen international hydrogen trade while also accelerating the integration of low-carbon hydrogen into their respective energy portfolios, thereby serving as global models for expanding net-zero-friendly markets and promoting employment opportunities and sustainable investment.

This partnership builds upon substantial investments made by both countries in hydrogen development. The UK, for instance, is actively supporting low-carbon hydrogen production through its £240 million Net Zero Hydrogen Fund and the Hydrogen Production Business Model. Meanwhile, Germany is actively implementing its National Hydrogen Strategy, receiving funding from the Climate and Transformation Fund to foster the growth of its hydrogen market. In addition to driving their respective nations toward net-zero emissions by 2050, this collaboration is set to enhance energy security by reducing reliance on fossil fuels and diversifying energy alternatives.

Lord Callanan, the UK's Minister for Energy Efficiency and Green Finance, emphasized that the UK and Germany are natural partners in pioneering low-carbon hydrogen as a cleaner energy source. This agreement is not only pivotal for both nations but also holds transformative potential for international efforts to achieve net-zero emissions by 2050, offering an effective strategy to transition away from expensive fossil fuels and enhance energy security.

Philip Nimmermann, Germany's State Secretary for Energy, underscored the importance of their joint efforts in developing European and international hydrogen markets, noting the significance of hydrogen in emission reduction and its potential for business growth.

The collaboration is structured around five key pillars: accelerating hydrogen project deployment for industry and consumers, establishing international leadership in hydrogen markets and regulatory standards, fostering research and innovation across the hydrogen value chain, promoting hydrogen trade, and conducting joint market analyses to guide government and industry investments. These initiatives aim to make hydrogen technologies more cost-effective and accessible, ultimately reducing energy costs for consumers.

As industry players increasingly tap into trade opportunities between the UK and Germany, private investments in hydrogen technology and projects are expected to surge. Both nations also plan to discuss and establish internationally recognized safety standards to ensure reliable, stable markets for sustainable low-carbon hydrogen, particularly sourced from renewables.

This collaborative agreement aligns with the UK and Germany's shared goals of achieving net-zero emissions by 2050 and securing a reliable energy supply for economic and energy security purposes. It acknowledges the evolving geopolitical landscape and the need for strategic cooperation to navigate global energy transitions effectively.

Steve Scrimshaw, VP of Siemens Energy UK&I, highlighted the significance of closer cooperation between the two countries in accelerating the hydrogen economy's growth. He emphasized the crucial role of renewable hydrogen in industry decarbonization.

Dennis Schulz, CEO of ITM Power, expressed support for this cross-border collaboration, emphasizing the importance of alliances like this to foster an effective hydrogen economy. ITM Power is actively engaged in building substantial electrolyser capacity for hydrogen projects in Germany.

Michael Lewis, CEO of Uniper, marked this agreement as a milestone in German-British energy cooperation, emphasizing Uniper's commitment to large-scale hydrogen production projects in the UK, including the Humber H2ub® and Ratcliffe power station initiatives.

Sopna Sury, COO at Hydrogen RWE Generation, emphasized RWE's commitment to scaling up green hydrogen production in the UK and Germany, citing their ambitious goal of building significant electrolyser capacity in core markets, further cementing their role in advancing the European hydrogen economy.