Aberdeen City Council and bp have signed an agreement to form a joint venture, bp Aberdeen Hydrogen Energy Limited, to develop a green hydrogen hub in the Scottish city.
The Aberdeen Hydrogen Hub, which will include a hydrogen production, storage and distribution facility powered by renewable energy, will be developed in three phases.
The two organisations have committed £3 million for initial design work, with a final investment decision for the first phase – which will involve the delivery of a green hydrogen production and transport refuelling facility, powered by a solar farm – expected in early 2023.
First production has been targeted from 2024, delivering more than 800 kilograms of green hydrogen per day – enough for 25 buses and a similar number of other vehicle fleets.
Future phases could see production scaled up through additional investment to supply larger volumes of green hydrogen for rail, freight and marine as well as hydrogen for heat and potentially export.
A study commissioned by the city council estimates if the hydrogen hub enables the export of renewable hydrogen, up to 700 skilled jobs could be created in the industry by 2030.
The project supports Aberdeen City Council’s ambition to create a climate-positive city.
Aberdeen City Council Leader Councillor Jenny Laing said: “Today is a milestone in delivery of our hydrogen programme. We are now seeing the benefits of having our 2015 Hydrogen Plan in place that provided a clear statement on the scale of our ambition to deploy hydrogen power in Aberdeen.
“We were ahead of the game then and it is impressive that seven years on, we have a developing hydrogen economy with 85 hydrogen-powered vehicles deployed across the city, refuelling infrastructure and a joint venture company with bp to deliver the hydrogen production and distribution hub.
“That next phase will see scale production of green hydrogen in response to growing demand and maintains Aberdeen’s place at the forefront of the UK and Scotland’s transition to renewable energy.”