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Aurora Energy Research outlines the dual roles that hydrogen can play in the UK’s ambitious decarbonisation plan


Aurora Energy Research outlines the dual roles that hydrogen can play in the UK’s ambitious decarbonisation plan cover image

A new report released today from Aurora Energy Research lays out the roles hydrogen can play in meeting our national target of net zero by 2050.

In the report, 'Hydrogen for a Net Zero GB: an integrated energy market perspective', AER outlines:

  • How hydrogen could meet up to half of Britain's final energy demand by 2050;
  • Why both blue and green hydrogen are expected to play an important role, producing up to 480 TWh of energy combined - the equivalent of 45% of our final energy demand by 2050;
  • How the large-scale adoption of hydrogen could help to integrate renewables into the power system by reducing the flexibility they require during the winter months;
  • How hydrogen could boost revenues for clean power generators by around £3 billion per year by 2050;
  • And why hydrogen can boost the UK's industrial competitiveness and enable the deployment of globally competitive low-carbon industrial clusters.

The report details how falling technology costs and gas prices will drive the steady reduction in the market hydrogen price, which is expected to go below £50/MWh by 2050. Similarly, it outlines how hydrogen storage in salt caverns can provide security of hydrogen supply in most years.

Finally, the report identifies multiple policy options for to preempt challenges and tackle key uncertainties in the short term, including setting decarbonisation targets and promoting hydrogen demand in key sectors, deploying CCS in strategic locations and advancing energy efficiency and network standardisation efforts. In the medium and long term, policy focus would need to shift to harmonising markets and accelerating cost reductions.

To download the full report, click here.

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