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Agreement for the Low Carbon Hydrogen Production Business Model


The Heads of Terms for the Low Carbon Hydrogen Agreement sets out the government’s proposal for the final hydrogen production business model design. It will form the basis of the Low Carbon Hydrogen Agreement, the business model contract between the government appointed counterparty and a low carbon hydrogen producer.
The business model will provide revenue support to hydrogen producers to overcome the operating cost gap between low carbon hydrogen and high carbon fuels. It has been designed to incentivise investment in low carbon hydrogen production and use, and in doing so deliver the government’s ambition of up to 10GW of low carbon hydrogen production capacity by 2030.

Related subjects: Policy & Socio-Economics
Countries: United Kingdom

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