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Frazer-Nash Consultancy provides recommendations for hydrogen transport and storage infrastructure to assist BEIS

13/12/2022
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The Department for Business, Energy and Industrial Strategy commissioned the report.

Frazer-Nash Consultancy, in partnership with Cornwall Insight, recently completed a study for the UK government Department for Business, Energy & Industrial Strategy (BEIS) assessing hydrogen transportation and storage infrastructure requirements to 2035.

Following the government’s commitment to review systemic hydrogen network and storage requirements in the 2020s and beyond (as outlined in the UK Hydrogen Strategy), the UK government contracted the consultancy services of Frazer-Nash to research the UK’s future hydrogen transport and storage infrastructure needs. The aim being to create a foundation for the government’s future policy development to help meet its hydrogen production targets, and enable the hydrogen economy to deliver its potentially substantial carbon and economic benefits.

The report found that to meet hydrogen demand up to the year 2035, new large-scale hydrogen production centres are required, whilst most hydrogen produced in large centres will likely need to be distributed via pipeline, rather than by road.

The research also recommends a review of the current rules for the transport of hydrogen by road, as well as the storage of hydrogen in surface storage tanks, to assess their suitability for more widespread use.

In conclusion, the report found that large-scale storage, such as salt caverns, will be required to provide security of demand for hydrogen producers and security of supply for consumers. The recommendations made by the team involved suggested that an early, interim, or innovation funding model for salt cavern projects should be considered.

To read the report in full, please click here.

Frazer-Nash Government Energy Business Manager, Felix Ritchie, said:

Delivering this crucial piece of research relating to hydrogen transport and storage requirements will provide important insights for how we develop policy to support the UK’s ambitions for a hydrogen economy. By combining Frazer-Nash’s technical experts with Cornwall Insight’s specialists, we have been able to go further in pursuit of detailed analysis for BEIS. We are ready to help BEIS and industry realise an exciting vision for a hydrogen economy.”

Frazer-Nash Project Manager, David Munn, added:

It was great to deliver this important future-focused piece of work for the UK government, highlighting areas where there is significant uncertainty for future costs for UK infrastructure. We are grateful to the numerous stakeholders who engaged with us in developing the framework for estimating future costs and understanding potential commercial arrangements.”

Jitendra Patel from Cornwall Insight commented:

Developing a fit for purpose, operationally and commercially viable hydrogen economy is crucial for decarbonisation, helping to unlock investment. Understanding how other similar industries have developed their rules and governance structures is a vital step in ensuring lessons learnt are carried forward. We at Cornwall Insight are grateful to be part of this journey.