Teesside, long associated with the UK’s industrial backbone, is poised to become a strategic hub for hydrogen infrastructure following a £96 million funding boost announced by Ofgem.
The regulator’s backing will support preparatory work for East Coast Hydrogen, a pipeline repurposing initiative aimed at decarbonizing gas transmission across the North of England.
Three anchor sites—Teesside, Darlington, and Newcastle—have been earmarked for key infrastructure in the project, which ultimately seeks to replace natural gas with low-carbon hydrogen throughout Yorkshire, the Humber, the East Midlands, and the North East. The funding will be used for engineering studies, stakeholder consultation, and detailed planning—a necessary step before physical construction can begin later this decade.
The East Coast Hydrogen project is one of the UK’s most ambitious hydrogen infrastructure plans to date, involving over 120 organisations, including hydrogen producers, utilities, power generators, major industrial users, and public service providers such as airports and hospitals.
The initiative complements last week’s £500 million commitment by the UK government for hydrogen transport and storage infrastructure, and is designed to form the spine of a national hydrogen network. It also represents a significant advance for Project Union, National Gas’s plan to develop a 1,500-mile hydrogen backbone across Great Britain.
While hydrogen remains a contested solution for domestic heat, its application in high-temperature industrial processes and flexible power generation is increasingly seen as non-substitutable. Teesside, with its industrial clusters, access to renewables, and proximity to carbon capture and storage (CCS) infrastructure, is well positioned to serve as an early launch pad for hydrogen uptake.
According to the project proponents, a hydrogen-ready pipeline network could deliver material progress on decarbonization while supporting new supply chains and industrial competitiveness.
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