Hydrogen Allocation Round 2

The UK aims to develop up to 10GW of low carbon hydrogen by 2030, subject to affordability and value for money (VfM), with the intention that at least half of this will be from electrolytic hydrogen. Our ambition is to support up to 1GW of electrolytic hydrogen being in construction or operational by 2025.

To achieve this we plan to run yearly allocation rounds for the Hydrogen Production Business Model (HPBM).

The Hydrogen Allocation Round 2 (HAR2) market engagement government response confirms the design and delivery for this second round.

We hope to support up to 875MW of low carbon hydrogen through HAR2, but we retain the right to allocate less if not enough projects apply that meet our eligibility criteria or that provide sufficient VfM.

Application guidance and supporting documents

The Application Guidance contains detailed guidance for projects looking to apply to HAR2 for HPBM revenue support. Alongside the guidance we have published:

• Project Application Form – a series of key questions relating to the detail of the project submission, which along with the Project Datasheet will form the primary basis for government to undertake the eligibility check and score projects on the basis of evaluation criteria
• Annex A (3 versions) - Project Datasheet: requires information regarding the eligibility and evaluation criteria for HAR2. Complete the version relevant to your production technology type:
  • Annex A1 - electrolytic
  • Annex A2 - gasification/ pyrolysis of biomass/ wastes
  • Annex A3 - gas splitting producing solid carbon production technologies
• Annex B - References Matrix: - reference all evidence submitted alongside your Project Application Form and completed templates, noting which application questions the evidence supports

Engagement sessions   

We are holding a Competition Briefing Webinar to share details of HAR2 and the application process:

• register to join the Competition Briefing Webinar, 18 December 2023, 10.30-11.30 am

We will also hold 2 engagement sessions (both covering the same content) to provide information about the application form and supporting templates:

• Engagement Session, Monday 15 January 2024, 2.00-3.30 pm
• Engagement Session, Monday 22 January 2024, 2.30-4.00 pm

Register your interest to receive a link to join your preferred session.

There will be a final engagement session in February 2024 which will focus on the HAR2 process and criteria. We will share the invitation to this session with you once you have submitted your Expression of Interest - see How to apply.

How to apply

Submit an Expression of Interest

To be considered for an application to HAR2, you (as project representative) must submit an Expression of Interest (EoI) on behalf of your project:

• submit your Expression of Interest by 11:59 pm on 5 February 2024

Once you have submitted your EoI, you will be given access to the Online Application Form and the final engagement session (see Engagement sessions).

See Section 2.2 of the HAR2 Application Guidance for further information.

Submit your application

You (as project representative) must submit your application, with all the required supporting evidence, by 23:59 on 19 April 2024.

The application submission window will open at 00.01 on 6 February 2024. Applications submitted before this date will not be considered.

Contact

Contact HAR2@energysecurity.gov.uk if you have questions relating to this competition.