The UK has set a target of 5GW hydrogen production capacity by 2030.
This will be "low-carbon hydrogen" capacity, so may not necessarily be green hydrogen generated from renewable energy. But industry association RenewableUK welcomed the announcement, saying there was a "clear pathway for offshore wind to produce low-cost renewable hydrogen at scale".
The government plans to invest up to £500mn in hydrogen, with £240mn going to new hydrogen production facilities. The rest will be spent on trialling homes using hydrogen for heating and cooking.
The government also pledged £525mn to "help develop large and smaller-scale nuclear plants, and research and develop new advanced modular reactors".
But it has yet to decide on support for the 3.2GW Sizewell C nuclear plant. Last year, the government opened a consultation on a regulated asset base model for funding new nuclear, which Sizewell's developer, EdF, is seeking. Sizewell could start construction in late 2021 and the project would take 10-12 years to complete.
The UK is struggling to bring a new generation of nuclear stations on line, with Hitachi recently ending work on two projects.
