SSE Thermal and Equinor join forces for a hydrogen and carbon capture projects

The projects would utilise the parallel hydrogen and CO2 pipeline infrastructure being developed by the Zero Carbon Humber (ZCH) partnership

Equinor and SSE Thermal have unveiled plans to jointly develop two first-of-a-kind, low-carbon power stations in the UK’s Humber region, comprising one of the UK’s first power stations with carbon capture and storage (CCS) technology, and the world’s first 100% hydrogen-fuelled power station.

The plans, underpinned by a new cooperation agreement between the two companies, would support the UK’s transition to net zero and accelerate the decarbonisation of the Humber, the UK’s largest and most carbon-intensive industrial cluster. The projects have the potential to create thousands of skilled jobs and revitalise a key industrial heartland.

The projects would utilise the parallel hydrogen and CO2 pipeline infrastructure being developed by the Zero Carbon Humber (ZCH) partnership – which includes Equinor and SSE Thermal – and offshore CO2 infrastructure developed by the six-member Northern Endurance Partnership (NEP), which includes Equinor. Both ZCH and NEP won public funding from the UK’s Industrial Strategy Challenge Fund in March.

As part of the agreement announced, SSE Thermal and Equinor are also developing options for hydrogen blending at SSE Thermal’s Keadby 2 project (already under construction), aiming to progressively decarbonise the UK’s newest and most-efficient power station. The companies also have the intention to collaborate on projects elsewhere in the UK.

“We’re delighted to be announcing this agreement with Equinor through which we aim to develop these first-of-a-kind low-carbon power stations. These projects would play a major role in decarbonising the UK’s flexible generation capacity, while supporting a green economic recovery in the Humber. By utilising cutting-edge carbon capture and hydrogen solutions, we can decarbonise power generation, heavy industry and hard-to-reach sectors of the economy, which will be essential in both achieving net zero emissions and ensuring a just transition for workers and communities. With over 12 million tonnes of annual carbon emissions, ideal transport and storage options, and major energy and industrial companies working together, the Humber has to be at the centre of the UK’s decarbonisation strategy,” Stephen Wheeler, Managing Director of SSE Thermal, said.

Grete Tveit, Senior Vice President for Low Carbon Solutions at Equinor, said: “We are very happy that Equinor and SSE are building on our long-term energy partnership to also develop low-carbon projects together in the UK. These world-leading power plants at Keadby will accelerate efforts across the Humber to create a decarbonised industrial cluster, and contribute to the UK’s goals for a green industrial revolution and reaching net zero. They are a further step in Equinor’s ambitions for the Humber, following on from our H2H Saltend project that will start producing low-carbon hydrogen at scale by the mid-2020s. We believe these technologies are vital for heavy industry, flexible power and other hard-to-abate sectors to achieve net zero emissions, while also ensuring a just transition for industrial communities. We are committed to working together with stakeholders to accelerate these real-life projects and make these investments happen.”