GBP Millions for Hydrogen Hub on Thames, Green Corridors, Autonomous and Eco-friendly Ships

By Marek Grzybowski

Companies from the south-west of the UK can apply for funding of up to £100,000 for projects related to the development of autonomous ships, clean technologies in the maritime economy and the development of information technologies for the needs of maritime transport. Ports will receive £1.5 million for the development of green corridors. A hydrogen hub will be created on the Thames, and an island producing green hydrogen will be built off the coast of Great Britain. It will draw energy from the wind, sun and sea waves.

The competition, announced in the summer, is open to projects undertaken by micro, small and medium-sized enterprises operating in strictly defined regions. It is available to SMEs from Cornwall and the Isles of Scilly, Devon, Somerset and Dorset. The competition provides £3 million to finance projects worth £25,000 to £750,000.

The funding is divided into two types of subsidies. Smaller grants are Minimal Financial Assistance (MFA). In this case, a company can obtain up to £100,000 for an innovative project. Under the Collaborative Research and Development (CR&D) funding route, micro, small and medium-sized businesses can receive up to £750,000.

This year’s competition will be the second round of funding from the Innovate UK Marine and Maritime Launchpad for businesses operating in the Great South West. In the first round last year, 12 businesses were awarded funding totalling £1.85m.

Projects developing technologies related to the use of autonomous systems have won. Funding has also been awarded for zero-emission propulsion for unmanned surface vessels. A project to develop hydrogen propulsion for a ship has also been funded. Funding has been secured for a device that will allow water quality monitoring.

GBP 3 million for SMEs for maritime innovations
The competition announcement emphasises that the aim of the funding is to support regional activities for the development of technologies enabling the development of net zero emission ship propulsion. It is also about supporting companies operating in the maritime business located in the Greater South West of England.
In this region, companies provide 25% of jobs in the UK’s maritime industries. The organisers of the competition set general assumptions that projects should meet. The British government has focused on activity in three key areas.
Monitoring and autonomy assumes the development or use of breakthrough technologies to replace traditional solutions on ships with innovative and environmentally friendly solutions. These concern the inspection of ship equipment and propulsion. The aim is to improve marine environment monitoring operations and increase sea safety, for example in the renewable energy industry at sea.
A clean maritime economy involves the introduction of solutions enabling the transition to ships powered by alternative fuels. There is also an emphasis on propulsion using energy from low or zero emission sources or highly efficient batteries. Funding will be provided for innovations that integrate ports into the renewable energy grid. This also applies to production systems that enable the supply of fuels of the future to vessels.

Digital technologies for maritime transport are to be implemented by developing sensor and communication technologies and their connectivity and interoperability. In this case, the aim is to increase knowledge of ocean navigation conditions.

Funding will also be provided for research into the impact of operations at sea, including changes in aquaculture and emerging technologies in the maritime economy. The call for proposals opens on 2 September 2024 and closes on 16 October 2024.

£1.5m for the development of green corridors
The UK Government has launched a tender process for £1.5m of funding to create green corridors between the UK and the Netherlands, Norway, Denmark and Ireland. The funding was first announced at London International Shipping Week 2023 and covers both passenger traffic and cargo connections to and from the UK.
The funding is the fifth stage of the Clean Maritime Demonstration Competition. It aims to support feasibility studies for the development of green corridors. It will examine the development of infrastructure necessary to develop maritime connections, ensuring that ship operators have access to clean fuels. Any regulatory work will also be supported.
The UK-Ireland competition has been running since 15 April 2024. The UK-Netherlands competition for solutions was launched on 3 June 2024. Both countries will provide £430,000 of funding. The UK-Norway and UK-Denmark procurements were launched in May 2024. Government officials say the initiative will support the exploration of ways to achieve net zero emissions in maritime transport without increasing costs to taxpayers.

Andreas Bjelland Eriksen, Norway’s Minister for Climate and Environment, said: “The UK and Norway have a long-standing relationship in shipping and, thanks to the UK’s initiative under the Clydebank Declaration in 2021, we have worked closely together to develop green shipping corridors.”

The Norwegian Minister welcomed the joint work, highlighting the bright prospects: “we will see the beginning of green shipping corridors between our two countries and I look forward to contributing to this through our Green Shipping Programme.”
“To achieve the greatest impact [on green shipping – MG], we need to look at the widest range of fuels and technologies, particularly those that are available today and those that may become available in the future,” said Rhett Hatcher, CEO of the British Chamber of Shipping, adding: “In addition, we need to make sure that the necessary infrastructure is in place along the corridor, from port to port.” It is worth adding that these funds could also be used to build green corridors from Polish ports to the UK. All that is needed is an initiative from the Polish side.

Hydrogen on the Thames
A hydrogen production and distribution area is to be built on the banks of the River Thames. UK partners have joined forces to assess the feasibility of producing and bunkering green hydrogen for shipping.
Lloyd’s Register (LR) has signed a Memorandum of Understanding (MoU) with partners including H2Terminals to create a green hydrogen supply chain. It is expected to use a floating offshore hydrogen production facility and a fleet of short-haul liquid hydrogen carriers.
H2Terminals is working with supply chain partners HiDROGEN and D31M to develop a green energy supply system for industries operating on the banks of the River Thames. The green hydrogen is expected to be generated from electricity generated from wind, wave and solar power. This energy mix will be generated on a floating island located around 100 kilometres offshore in the Thames Estuary.
The project is part of the Thames Estuary Growth Board’s Private Project Action Plan, which aims to attract investment for the development of the Thames Estuary. The focus is on the whole of the Thames Estuary region, covering East London, South Essex, North and East Kent. “We are working to accelerate and drive investment in sectors including creative industries, net zero and hydrogen energy, river transport, data centres, higher education, housing and infrastructure,” says the Thames Estuary Growth Board. H2Terminals plans to convert green hydrogen produced offshore and into its liquid form at -253°C. It will be delivered to a terminal in the Thames Estuary by tankers. The hydrogen will then be used to generate electricity. Hot water and other by-products, including liquid nitrogen and oxygen, will be produced. Batteries on the barges will store the electricity until it is shipped to the point of use, explains H2Terminals, and is illustrated in a video:

The agreement includes a formal technology assessment, including the development of project designs, qualification of safety systems and floating hydrogen production and energy export systems. The agreement initiates the development of approved materials capable of storing and isolating liquid hydrogen at very low temperatures. The agreement will also set out a programme to provide for floating hydrogen production, hydrogen vessels, classification and energy export systems.

“Demand for green hydrogen is set to increase significantly over the next few years and we commend the Thames Estuary Growth Board for committing to producing an alternative fuel to provide jobs and investment opportunities in the Thames Estuary region,” said Gerry Wilkinson, CEO of H2Terminals. “We will be offering 30-year power purchase agreements to industry and utilities, as well as bidding on trading and capacity markets.

“The UK government has set an ambitious target for low-carbon hydrogen production capacity by 2030 and we look forward to working with the Growth Board, London & Partners, Lloyd’s Register, HiDROGEN and D3IM to help deliver this ambition,” H2Terminals CEO Seatrade-Maritime.com quotes.

“This project is an example of how maritime transport can support governments’ ambitions to decarbonise their supply chains and generate growth for their regional and national economies,” says Mark Tipping, Director of Power to X at LR. “This ambitious green hydrogen project, drawing on the combined expertise of LR, H2Terminals, HiDROGEN and D31M, will help create a sustainable logistics network along the Thames and lay the foundations for industry growth.”

H2Terminals says it is “developing a state-of-the-art liquid hydrogen terminal in London”, which will be moored on the Thames. The first phase of the project, scheduled for completion in late 2025, will have the capacity to receive and store 70,000 tonnes of liquid hydrogen per year. The terminal will supply 100 MW of fuel cell power plants, which will provide clean electricity, heat and water to local industries and the national grid.

The terminal will be expanded to 1 million tonnes of liquid hydrogen per year by 2030. It will support a 2 GW hydrogen-electric power plant, capable of powering a third of London with zero-carbon green hydrogen.