Correspondence

Hydrogen Heating Town pilot: letter to Gas Distribution Networks - update

Information about the potential hydrogen heated town pilot and the funding applications received from Gas Distribution Network operators for outline plans.

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The 2022 to 2024 Sunak government decided not to progress work on a hydrogen town pilot.

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Update 9 May 2024

The government has decided not to progress work on a hydrogen town pilot until after 2026 strategic decisions on the role of hydrogen in decarbonising heat.

This follows careful consideration of the future of the work in light of the decision in December 2023 not to proceed with the hydrogen village trial in Redcar.

We believe that low carbon hydrogen may have a role to play in heat decarbonisation, alongside heat pumps and heat networks, but in slower time in some locations. We plan to take a decision in 2026 on whether, and if so how, hydrogen will contribute to heating decarbonisation.

We will assess evidence from our wider research programme, the neighbourhood trial in Fife and similar schemes across Europe, to take this decision.

We would like to thank the Gas Distribution Networks for their work on their applications. The evidence they provided will be helpful in informing 2026 decisions.

We issued an open letter to the 4 Gas Distribution Networks on 27 October 2022, inviting applications for funding to develop outline plans for how a roll-out of hydrogen heating might take place in each of their network areas.

The purpose of developing outline plans was to provide further information on the practicalities of rolling out hydrogen heating, inform policy decisions and contribute to development of plans for a possible hydrogen heated town by 2030.

We received applications from each of the Gas Distribution Networks in January 2023.

Updates to this page

Published 27 October 2022
Last updated 9 May 2024 + show all updates
  1. Government has decided not to progress work on a hydrogen town pilot until after 2026 strategic decisions on the role of hydrogen in decarbonising heat.

  2. The application window has closed.

  3. First published.

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