A planned green hydrogen plant for Barrow has won Government backing.
The first of its kind in Cumbria, the plant will supply hydrogen to Kimberly-Clark’s manufacturing facility.
Carlton Power is behind the scheme, which has been successful in round one of the government’s Hydrogen Allocation Round.
The company’s project in Barrow, plus its projects at Trafford in Greater Manchester and Langage, near Plymouth, has been awarded a financial contract from the Department of Energy Security & Net Zero.
Subject to reaching a financial investment decision in the early part of next year, the Barrow project should enter commercial operation within two years, Carlton Power said.
The Barrow Green Hydrogen project has been developed in partnership with Kimberly-Clark. It will create 23 jobs.
Carlton’s scheme, on Park Road, will supply green hydrogen to the company’s neighbouring manufacturing plant and will reduce the company’s reliance on natural gas by up to 30 per cent.
Eric Adams, Carlton Power’s hydrogen projects director, said: “Securing a contract for Barrow – 30MW of capacity and an investment of circa £50m, and with planning consent – is a major achievement and places Carlton Power among the leading British companies that are helping to build the hydrogen economy in the UK. Barrow is a pioneering project for Cumbria’s hydrogen ambitions.”
Keith Clarke, founder and chief executive of Carlton Power, said: “We are supporting local industry to decarbonise their operations, supporting Cumbria’s efforts to reach net zero and we are a catalyst for green investment and jobs.
“Working with our financial partners, Schroders Greencoat, we can now work towards a final investment decision for the Barrow scheme in the early part of next year and thereafter work to have it enter commercial operation within two years.”
Kristian Høeg Madsen, co-head of hydrogen at Schroders Greencoat, said: “As one of the Europe’s leading investors in renewable energy infrastructure, we are incredibly pleased that our partnership with Carlton as one of the UK’s leading developers has progressed today with this successful outcome from HAR1.
“Hydrogen can provide robust, reliable and carbon-free returns for investors, and we’re excited to continue to drive green hydrogen build-out in the UK in line with the Government’s hydrogen ambitions.”
Barrow and Furness MP Simon Fell said: “Barrow and Furness has numerous energy intensive businesses, including Kimberly Clark. This exciting new project will take companies like this off the mains grid completely and have them run solely on hydrogen power, thus providing cleaner energy to industrial Cumbria.
“This project directly supports the Government’s ambition to decarbonise industry in line with net zero attracting inward investment and securing long-term job opportunities for our area.
“The Barrow Green Hydrogen project will also attract investment into the constituency, providing supply chain developments that will accelerate the net zero transition. This early adoption and promotion of hydrogen in Cumbria will facilitate the development of skills for a green economy and enable critical local businesses to remain competitive in a global market and safeguard local jobs.”
