Hydrogen Production Delivery Roadmap
We have laid the foundations of our hydrogen economy. We have developed a world leading Low Carbon Hydrogen Standard, providing us with a robust methodology to measure the carbon intensity of hydrogen, ensuring that the hydrogen we support is genuinely low carbon and is contributing to our net zero goals.
We have also developed the Hydrogen Production Business Model (HPBM), giving us a means of providing revenue support to projects, and the Net Zero Hydrogen Fund, supporting early projects to bring forward hydrogen production at scale. We have also launched allocation processes for both electrolytic and CCUS enabled hydrogen production projects.
The first hydrogen allocation round (HAR1) launched in July 2022, offering both NZHF capital and HPBM revenue to support electrolytic projects. A total of 11 projects were successful through this process, totalling 125MW, with first projects becoming operational in 2025.
Building on the success of HAR1, we have now launched HAR2 to award contracts for up to 875MW of projects (subject to affordability and value for money) to continue to support our aim of 1GW of electrolytic hydrogen in construction or operation by 2025. Following the selection of HyNet and the East Coast Cluster as Track-1 CCUS clusters in November 2021, and the publication of the March 2023 CCUS Track-1 Project Negotiation List,