BRITS’ energy bills are set to soar under the government’s “green gas” hydrogen homes plan.
The Government is attempting to fund its ambition to produce 5GW of hydrogen for use in heavy industry, transport and home heating by 2030, according to reports.
1
The plans could see bills rise for everyone – despite only 10 per cent of the country’s homes set to be heated with the greener gas.
The scheme will be modelled on subsidies that helped to boost the UK’s offshore wind industry over the past decade.
And the government expects hydrogen to provide enough energy for just 67,000 homes, or 0.2 per cent, by 2030.
This figure is then set to rise to meet up to 10 per cent of domestic heating demand by 2035, according to the Telegraph.
But some experts have blasted this scheme as bill payers could be forced to fork out for the development of “pointless” technology.
Decisions over whether these hydrogen energy sources will replace gas boilers will be made by 2026.
Hydrogen can be made either using methane, with the emissions captured and stored, classed as “blue”, or through electrolysis, considered “green” if renewable electricity is used.
The gas will most likely be used in industries like shipping, steel making and fertiliser use – which will struggle to decarbonise.
As a result, the use of hydrogen for home heating is expected to be concentrated near industrial clusters and not for the general population.
Juliet Phillips, an energy expert at think tank E3G, said: “The risk is that gas payers end up paying for what’s used in a few industrial clusters.
“That doesn’t seem very fair or progressive.”
Sir John Armitt, chairman of the national infrastructure commission, said a carbon price on natural gas would be needed to incentivise its use across the economy.
He said: “The real challenge is that it’s likely to be more expensive than natural gas.”.
Ofgem Chief Exec Jonathan Brearley admits biggest rise in energy price cap ‘is going to be difficult for many families’
