While hydrogen is still a developing technology, its unique properties mean it could, alongside extensive renewables developments, have a strong role in Wales's future power, transport and industrial sectors. It may also offer an alternative to fossil fuel heating systems, as has been mentioned by a number of contributors, and Rhun in particular. Wales is extremely well positioned to develop and capture the rapidly emerging opportunities offered by hydrogen. It has a huge potential to reduce emissions and support the economic transition, especially in energy-intensive industries, heavy goods vehicles, rail and potentially aviation. Globally, these sectors are acknowledged as difficult to decarbonise, and hydrogen has a key role in the road map to net zero for those sectors. Llywydd, it's absolutely essential that we look to decarbonise these sectors, and we do not create incentives that lock us into a continued dependency on fossil fuels. While I recognise there is a transition for some sectors in using hydrogen generated from fossil fuels, this must be a rapid transition and as limited as possible. We have to move to the exclusive use of green hydrogen as soon as is practically possible, and I welcome the specific focus on green energy in the motion. And we have to recognise that has been the case for all the emerging sources of new energy. The cost of hydrogen generation is currently high. That's why the development of hydrogen has to be part of a much wider push for greater deployment of renewable energy. The opportunities from renewable energy generation to produce hydrogen when supply exceeds demand must be exploited. Instead of paying windfarm operators to stop generating, we should pay them to provide a renewable energy source that can be stored and utilised when needed.

We are in a cost-of-living crisis, in part driven by high energy costs. We have to ensure that our approach to decarbonising our energy system is a just one for all consumers, including businesses in Wales. Supporting innovation in both the private and public sectors is essential to ensure hydrogen and other forms of low-carbon energy contribute to our Net Zero Wales plan and support the economic and social regeneration of our communities. That is why we have been supporting projects across Wales. Our Smart Living hybrid small business research initiative scheme supported 17 hydrogen feasibility and demonstration projects across Wales. The 17 projects in the first year of the scheme are delivering in all regions of Wales. They range from studies of microgreen hydrogen generation, hydrogen in rural areas, sustainable aviation fuel production, vehicle market development, community-based hydrogen production, and a digital one-stop-shop hydrogen advice and networking platform. A further phase of a hybrid launches next week in Merthyr Tydfil, with support at the same level. This will fund a pipeline of business feasibility projects as well as higher level demonstrator and prototyping work on the ground across the country.

Our track record of supporting world-leading hydrogen demonstration projects in Wales also includes, as many people have mentioned, the Milford Haven: Energy Kingdom, ongoing development of green hydrogen production hubs in Holyhead and Deeside, also mentioned by various Members, and the feasibility work of floating green hydrogen offshore platforms for the Pembrokeshire coast. Other ongoing work we support in mid Wales, Bridgend, Swansea and Neath Port Talbot, with local government, overseas investors and academic partners, including Flexis and South Wales Industrial Transition from Carbon Hub, promises significant take-off in hydrogen supply and demand creation, especially in transport and heat. We will create a pipeline for new Welsh businesses, supporting local ownership and wealth retention across Wales, and as we do so, we are committed to working with the UK Government, and have already been successful in leveraging UK funding on the back of our investment. And whilst of course we welcome that funding, as it is available from the UK Government, it must be recognised, especially by people on the opposite benches, who really could play a role in supporting this, that if we are to achieve our ambitions for 10 GW by 2030, then more funding is urgently needed from the UK Government. I would love to commit Wales to achieving the ambitions set out in the UK Government's 10-point plan, but without a scaling up of funding from the UK Government, those trials will be extremely limited, which is a real shame.

We've supported Welsh stakeholders with their potential bids for UK funding; we'll be learning the lessons from hydrogen heating trials elsewhere in the UK. In the meantime, we are assessing the role of hydrogen and heating in our heat strategy, due next year, and as part of our energy planning work. I hope, Janet, you will be making strong representations to colleagues in Westminster, to ensure a greater level of funding, since you are so supportive of this strategy. It's available to support future projects across all parts of the UK, including in Wales.

Llywydd, we are absolutely committed to Wales being at the forefront of the development of this new sector, and setting out our strategic approach to make that happen. In December 2020 we published a hydrogen pathway, dealing with opportunities for hydrogen across different sectors, aligned with our energy policy ambitions for achieving net zero. Our pathway and its 10 objectives focus on short-term actions driving demand, production and cross-cutting action to 2025. They also set out avenues to plan for larger scale projects, to ensure Wales is well positioned with respect to hydrogen and fuel-cell technologies.

Since the publication of the Wales hydrogen pathway, the role of hydrogen in the energy sector as a whole has become more established. Our pathway defines a set of 'no regrets' actions to position Wales to take advantage of the range of benefits that increased uptake of hydrogen can bring. Reports to the pathway report have been analysed, and initial recommendations summarised, and they will be published very shortly.

The vast majority of respondents supported the concept of developing hydrogen energy applications in Wales, and whilst recognising, as Rhun absolutely did, that this is not a silver bullet, we reflect that view about the increased role for hydrogen across our Net Zero Wales publications as well. As we build on the pathway, this will provide the strategic focus we need to make sure that hydrogen plays that important role in meeting net zero and make sure that Wales is well placed to be at the forefront of this developing sector.

Llywydd, I completely welcome this debate, and the Government will support the motion as proposed, noting the development of the hydrogen pathway as the strategy the motion calls for. Diolch.