An international energy company has been approved to be the Joint Venture partner to deliver the ambitious Aberdeen Hydrogen Hub which will build a solar power facility connected to green hydrogen production and refueling facility.
Aberdeen City Council`s city growth and resources committee today agreed on the move which was hailed as transformative by the Council Leader by furthering work for the city`s energy transition on the route to net zero.
City growth and resources convener Councillor Ryan Houghton said: “I am incredibly proud of this next step Aberdeen is making with our commercial partner BP, which has advised the council on the delivery of our Energy Transition Strategic Infrastructure Plan and this exciting announcement builds on that work.
“We`re proud that hydrogen is already here in Aberdeen and this significant commercial partnership with bp is set to support our ambitions. We plan to create a blueprint that can be replicated around the world by the cities and regions looking to reach net zero. Aberdeen`s position as a leader in the energy industry requires ongoing investment and partnership and the Hydrogen Hub is a fantastic example.”
BP has been approved to become the official joint venture partner of Aberdeen City Council, building Scotland`s first scaleable “green” hydrogen facility. The project is hoped to unlock £700m of economic opportunities for Scotland`s economy by 2030 and is also expected to create thousands of new jobs in Aberdeen and the surrounding area.
The council has not yet identified the site of its new hydrogen plant, but installation and running costs over the next decade are expected to be around £215m.
A report to the committee said that managing the demand of hydrogen across existing local bus fleets, and increasing the production of it at the same time as coordinating supply chain and training, could lower the price of hydrogen and catalyze use by other growth sectors seeking to decarbonize heat, industry, maritime, and rail.
The commercial hydrogen production, storage, and distribution facility in Aberdeen will be powered by renewable energy, with associated training and supply chain support to facilitate uptake by fleet, heat, industry, and export.
Oil and gas giant BP has been identified as a commercial partner for Aberdeen’s hydrogen ambitions. It is already predicted that if the city becomes a major hydrogen hub, hundreds of jobs could be created within 10 years.
The City Growth Resources Committee of the Aberdeen City Council has approved a partnership with BP. Granite City already has a fleet of double-decker buses that run on hydrogen. BP is a major player in the fossil fuel industry and has often been criticized by environmentalists, but claims that the company is also investing in renewable energy.
In October, Greenpeace lost a lawsuit against the British government over its North Sea oil field permit. In 2018, BP was granted permission to drill at the Vollich site off the coast of Aberdeen.
Green hydrogen refers to the case where the gas is produced from renewable energy, as opposed to the method of releasing greenhouse gas emissions. Aberdeen Hydrogen Hub has “Created 700 jobs”, Aberdeen Zone also funded to support the Green Energy Transition. As Council Chair Jenny Rein said: “Aberdeen has a worldwide reputation as a pioneering hydrogen city and by working in partnership with BP, we intend to put Aberdeen at the forefront of the green economic recovery.”
Louise Kingham, BP’s UK head of the country and senior vice president for Europe, said the company was committed to providing “integrated energy solutions” such as the hydrogen hub.
“We look forward to working with the local authority to deliver this exciting project, drawing on the skills and expertise of our people and their vast experience delivering complex energy projects”, she said.
Hydrogen’s most likely uses, at least initially, are in heavy industry, and heavy transport including trucks, buses, and rail. It could also be used in home heating if the technology can allow for a transition from natural gas.
Following today`s official approval for BP, ACC leader Jenny Laing said the investment in clean energy would be a transformative step for Aberdeen on its route to NetZero.
The proposed Aberdeen Hydrogen Hub (AHH) is another highlight of the granite city where the world is working on new technologies to replace fossil fuels. Since its launch in 2015, more than 2 million passengers have boarded the city’s eco-friendly hydrogen buses. The CO2 reduction before is estimated to be over 100 tons.
The world’s first hydrogen-powered double-decker bus debuted on the city’s road network about a year ago. Reported to today’s committee members, it is possible to reduce gas costs by managing hydrogen demand across the fleet and increasing gas production while coordinating supply and training.
The report also states that it also acts as a catalyst for the increased use of hydrogen fuel in the growth sector of the regional economy. What does the
Hydrogen Hub look like? AHH is expected to be developed in three stages in response to the rising demand for hydrogen.
Initial production for public consumption, including providing a resilient, cost-effective, commercial-based hydrogen supply to the market to support existing and planned transportation projects. Short- to medium-term expansion to connect to “Hydrogen Mass Use-Railway, Truck, Ship Use”.
Hydrogen for heat and export as part of a “comprehensive supply and demand approach” with a “hub” of innovation, skills, and transitions that support the expansion of the regional supply chain.
Author: Diva Maharani | Illustrator: Akbar Nugroho
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