The government has been urged by the UK Petroleum Industry Association (UKPIA) to expedite the delivery of its projected commercial model for low-carbon hydrogen transport and storage or risk postponing initiatives required for Net Zero.

It was released in response to a request for proposals issued by the UK government on November 22 for the creation of business models for infrastructure for the transportation and storage of hydrogen.

Plans to publish the business model in the middle of 2023 have raised worries from UKPIA, who claim that this could delay important investment decisions.

It has stated that a coordinated strategy is required to match the growth of transportation and storage facilities with that of significant hydrogen production facilities, ensuring that the accompanying demand for hydrogen production can be met. Failure to do so could result in production plants starting without customers or empty storage and transportation facilities caused by a lack of production infrastructure, according to UKPIA.

Additionally, UKPIA concurred with the UK Government that the economic models for hydrogen and natural gas needed to be compatible, arguing that as the UK moves toward Net Zero, there may be advantages to leveraging natural gas infrastructure for hydrogen.