The Scottish Government is allocating £3.4 million in funding to eleven projects across the country, designed to accelerate the development of Scotland's burgeoning hydrogen economy.

The funding is intended to support projects focused on developing green hydrogen production capabilities, improving the hydrogen supply chain, and enhancing necessary transport and storage infrastructure.

Opening a parliamentary debate on Scotland's hydrogen future, Acting Net Zero Cabinet Secretary Gillian Martin highlighted the strategic importance of the sector: "Hydrogen stands as a critical pillar of Scotland's route to net zero by 2045, but also, alongside the development of our offshore wind capacity, as one of Scotland's greatest industrial opportunities since the discovery of oil and gas in the North Sea."

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Ms Martin added: "A just transition remains at the heart of our approach, and we are determined that no community, particularly those which have powered our economy for generations, will be left behind as we move away from burning fossil fuels towards a low carbon energy system. We are working to build a hydrogen economy in which the benefits of our energy transition are shared, and which harnesses the full potential of our skilled people, our worldclass industries, and our natural resources."

The funding follows an application process launched in September 2024, where projects were invited to apply for a match-funding grant award of up to 50%, with a maximum value of £2 million. Scottish Enterprise acted as the delivery partner for the process, which saw 18 projects shortlisted to submit full applications, ultimately resulting in 11 successful projects receiving a share of the £3.4 million allocation.