Aberdeen City Council and BP have signed an agreement to form a joint venture partnership that will deliver a scalable green hydrogen production, storage and distribution facility in the city powered by renewable energy.
Both partners will operate the joint venture under BP Aberdeen Hydrogen Energy Limited. The JV has committed £3 million for initial design work with a final investment decision for the phase one facility build expected in early 2023. Aberdeen City Council has spent £7 million to date to deliver a hydrogen programme.
The Aberdeen Hydrogen Hub is to be developed in three phases. The first phase will focus on delivering a green hydrogen production and transport refuelling facility powered by a solar farm. It targets the first production from 2024, delivering over 800 kg/day of green hydrogen, which is enough to fuel 25 buses.
In the future stages, production will be scaled up through further investment to supply larger volumes of green hydrogen for rail, freight and marine, and supply of hydrogen for heat and potentially export.
This expansion would be enabled by the expected increased availability of local renewable energy sources, including developments from the ScotWind offshore wind leasing round.
The Aberdeen Hydrogen Hub programme will support Aberdeen City Council’s ambitions to create a climate positive city and build inclusive growth through supporting hydrogen supply chain development, skills and training, and wider community benefits.