Key takeaways from SLR’s hydrogen transmission and distribution roundtable

As the UK advances towards net zero, hydrogen is emerging as one of the key energy solutions to help make this happen. The role of hydrogen in decarbonising our energy networks is no longer theoretical – the technology and engineering capabilities exist, with hydrogen infrastructure already being tested across the country. But while the potential of hydrogen is evident, progress on delivery is struggling to keep pace.

To explore what’s slowing momentum and what needs to change to unlock progress, SLR hosted a roundtable with leaders across the hydrogen value chain, as part of the 7th UK CCUS and Hydrogen Decarbonisation Summit. Barriers to delivery remain complex, and SLR guided the discussion to explore a range of topics and viewpoints, with key themes summarised below:

Hydrogen policy and investment

The government has supported the UK hydrogen economy through several initiatives, such as its announcement to invest to £500 million in the UK’s hydrogen transport and storage infrastructure, the UK’s hydrogen allocation rounds (HAR1 and HAR2), as well as its Hydrogen Production Business Model. However, despite this, many in the industry feel momentum has slowed, with current policy delays creating uncertainty around the UK’s long-term hydrogen strategy. This has affected the confidence of investors, producers, gas networks, and off-takers to further invest in hydrogen plans. Comparisons can be drawn with the UK’s Sustainable Aviation Fuel (SAF) mandate that came into effect in 2025, which has provided market certainty and helped the UK to emerge as a SAF leader.

Hydrogen production from local and imported renewable feedstocks

The technology and expertise needed to build facilities and produce hydrogen at scale is already available, however, off-taker interest needs to be guaranteed before producers can justify major investment in these facilities.

Switching to hydrogen

Hard-to-abate sectors have targets to decarbonise, with boards and C-suite needing to make decisions now on which route they will take to achieve this. As the policy framework for hydrogen currently remains uncertain in the UK, businesses are looking to alternative routes to achieve decarbonisation, such as wind, solar, and electrification.

Blending

UK gas networks have undergone major upgrades over the last decade, with around 90% of existing networks expected to be ready for hydrogen blending by 2032. Testing has been underway, including the transportation of hydrogen over long distances, and networks are calling for clear, ambitious policy decisions on transmission‑level hydrogen blending to unlock immediate progress.

Practicalities of deployment

There is a need for a regional-based approach before building a nationwide network. Smaller, localised hydrogen markets that align hydrogen production, transmission, and demand should be established first and then scaled up. However, in early‑stage markets, resilience and security of supply is critical to build market confidence, e.g. the availability of gaseous or liquid hydrogen to provide back‑up during planned maintenance or unplanned outages.

The path forward for UK hydrogen

SLR’s takeaway from the discussion is that the hydrogen industry is facing multiple, intersecting barriers, and solving just one challenge isn’t enough to unblock the sector. What’s required to restore confidence in the UK hydrogen market is a co-ordinated, collaborative approach from all stakeholders, with clear momentum from policymakers. Only then will we see the UK accelerate progress and position itself as a hydrogen leader.

How SLR can help

SLR is at the forefront of providing advisory, technical, and professional services to the energy sector around the world, supporting regulators, producers, generators, and consumers. We have a reputation for delivering expert knowledge and support an extensive range of energy technologies and infrastructure, particularly sustainable sources and renewables.

Our One Team culture underpins everything we do. Our strength lies not only in the depth of our advisory and technical expertise, but in our ability to collaborate seamlessly across disciplines and regions. Our integrated delivery model enables us to provide high-quality, end-to-end support across the full project lifecycle and low-carbon energy spectrum.

This includes our specialist expertise in route corridor modelling and site selection, which is strengthened by our in-house digital routing tool that rapidly assimilates large datasets of environmental and engineering constraints to develop route options and select suitable sites. The tool supported our pre-FEED work for Cadent’s East Coast Hydrogen North project, which played a key role in securing vital funding.

SLR is continuing to support Cadent through the next phase of the project, having been recently awarded the FEED and initial Development Consent Order (DCO) contract for the H₂East Pipeline: Humber to Nottinghamshire. We will continue to apply innovative and sustainable solutions to help deliver this nationally significant legacy infrastructure project.