UK budgets billions for clean hydrogen and carbon capture projects

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🗞️ Driving the news: The UK government has pledged billions to accelerate green energy development, including £3.9 billion for carbon capture projects and funding for 11 green hydrogen initiatives
• Chancellor Rachel Reeves highlighted these efforts as part of making Britain a "clean energy superpower," focusing on jobs, growth, and low-carbon technology

🔭 The context: The budget includes £21.7 billion allocated over 25 years to support carbon capture, as well as £1 billion over three years for local energy projects to decarbonize public infrastructure
• An additional £2.7 billion will be used toward Sizewell C's nuclear project, with other investments targeting heat pump manufacturing and fuel poverty solutions under the £3.4 billion Warm Homes Plan

🌍 Why it matters for the planet: These investments in carbon capture, hydrogen, and public sector decarbonization could help the UK achieve its climate goals by reducing industrial emissions and supporting clean energy infrastructure
• However, experts warn that insufficient grid capacity and connection delays could hinder progress

⏭️ What's next: The government will need to address grid connection issues and expedite network reinforcement, as the current first-come, first-served grid access is causing viable projects to be delayed
• The Spring 2025 decision on Sizewell C’s future will also be a critical step in advancing nuclear energy

💬 One quote: "Opening the cheque book for new projects is vital, but... viable projects often find themselves stuck behind a horde of zombie projects," - Philip Silk of Conrad Energy

📈 One stat: The capital budget for the Department for Energy Security and Net Zero is set to increase by 14.7% for 2024/25, with a potential rise to 36% if carbon capture and hydrogen spending is included

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