Source · Select Committees · Public Accounts Committee
Recommendation 31
31
Uncertainty over hydrogen's role in heating delays critical industry decarbonisation investments.
Conclusion
Several written submissions to our inquiry highlighted that uncertainty over the role of hydrogen is delaying key decarbonisation investment decisions until government makes a decision on hydrogen. Hydrogen UK, for example, told us that the decisions about trials and recent announcements had “created ambiguity in the role of hydrogen in domestic heating”. It explained that clarity around the role of hydrogen was needed to “enable industry stakeholders to make informed decisions, commit to necessary investments, and drive forward the innovation and infrastructure development required”.59 Similarly, a climate change think tank, E3G, suggested that industry was “suffering” from a lack of clarity regarding government’s “indecisiveness” on the future role of hydrogen for domestic heating.60 The MCS Foundation also told us that businesses, installers and manufacturers will be reluctant to invest in skills and technologies if there is a risk than in later years the government will focus on hydrogen rather than electrified solutions.61 Good Energy further indicated that manufacturers of heat pumps and heat network developers require “affirmative signals” over the future of hydrogen for heating.62
Government Response
A response document is linked to this report, dated 11 July 2025. Response attribution to this conclusion has not been verified. Read the response document ↗