East Coast Hydrogen lands £96m regulator support for UK hydrogen backbone
The UK’s East Coast Hydrogen programme has secured £96 million in Ofgem funding to support engineering and development work on a new hydrogen pipeline network spanning Yorkshire, the Humber, the North East and East Midlands.
The investment – confirmed Friday 20 June – will enable the project’s lead partners National Gas, Cadent and Northern Gas Networks to begin detailed planning, consultation and early design work on infrastructure that could ultimately form the backbone of a national hydrogen transmission system.
The East Coast Hydrogen scheme is one of the country’s most ambitious clean energy infrastructure plans.
The project aims to repurpose sections of the UK’s existing gas network while building new hydrogen-ready pipelines to connect future hydrogen production sites with major users across energy, industry, transport and heat.
Ofgem’s support comes via the RIIO-2 price control mechanism and follows this month’s £500 million government commitment for hydrogen transport and storage projects.
The East Coast Hydrogen team says the new funding allows work to “continue at pace” ahead of a planned delivery phase later this decade.
Starting point for Project Union
National Gas said the funding will directly support the early stages of its wider Project Union concept – a proposed 1,500-mile hydrogen backbone linking production, storage and demand across the UK.
The firm’s CEO, Jon Butterworth, said the East Coast segment would be the starting point for the national buildout: “By repurposing existing infrastructure, we will connect hydrogen production, storage and demand, helping to deliver flexible electricity, decarbonise industry, and protect jobs in some of the UK’s most energy-intensive regions.”
Cadent boss Steve Fraser described the Ofgem decision as “a major milestone” for the UK’s energy transition, adding that the project will “lay the foundations” for a new low-carbon gas network.
Northern Gas Networks CEO Mark Horsley said the funding was essential to delivering the technical design work needed to get the infrastructure operational “in time to meet government net zero plans.”
Connecting major users
The East Coast Hydrogen initiative now includes more than 120 organisations across the public and private sectors – including hydrogen producers, energy networks, manufacturers, airports and hospitals.
It aims to support the decarbonisation of major industrial clusters and offer a scalable alternative to natural gas.
One of the early backers is glass packaging firm Verallia UK, which says the network could play a vital role in cutting emissions from energy-intensive manufacturing. Darren Hall, Raw Materials Buyer at Verallia, said:
“As a significant energy user with ambitious decarbonisation plans, we’re delighted to hear East Coast Hydrogen has secured its next phase… it will help ensure glass is a sustainable packaging choice for the future.”
Hydrogen flows on the network are expected to begin in the early 2030s.
