Hydrogen Fuel

1. Questions to the First Minister – in the Senedd on 15 November 2022.

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Photo of Joel James Joel James Conservative

(Translated)

1. What are the Welsh Government's plans for the use of hydrogen fuel for automotives in Wales? OQ58713

Photo of Mark Drakeford Mark Drakeford Labour 1:30, 15 November 2022

Llywydd, I thank the Member for that question. Right across Wales, from north to south and west to east, the Welsh Government works with others to advance practical plans for the use of hydrogen in the decarbonisation of transport in Wales.

Photo of Joel James Joel James Conservative

Thank you, First Minister. Despite all the interest surrounding the potential for hydrogen to become a major game changer in decarbonising the automotive industry, we are at present yet to see any real evidence of this on our roads. I, like many here, I'm sure, believe that there's a huge opportunity for green hydrogen to become a major part of the solution in decarbonising the automotive industry, especially because it eliminates some of the reasoning people use not to change to electric vehicles. If this Government is serious in its intentions that green hydrogen becomes a major fuel, then we are not moving anywhere near fast enough in building infrastructure and creating the market conditions needed. Shell last week announced the closure of three hydrogen filling stations, citing a lack of demand from consumers, which is concerning because it shows that the market is not responding well enough to the potential of green hydrogen as a fuel source, and, therefore, First Minister, we need to be advocating more vocally that this is a worthwhile and long-term investment. With this in mind, First Minister, and given the potential for green hydrogen production from projects such as the Statkraft green energy hub in Pembrokeshire, what conversations have you had with industry to encourage further investment in green hydrogen production and filling station infrastructure?

Photo of Mark Drakeford Mark Drakeford Labour 1:31, 15 November 2022

I thank Joel James for that supplementary question, Llywydd, and I welcome him as a recruit to those of us who've always believed that it is the role of Government to step in where the market fails. So, it's good to know that that idea is alive on the Conservative benches. I agree with what the Member said about the potential for green hydrogen and the importance of this being a partnership between private businesses and public authorities. I'm not quite as pessimistic as he sounded about the potential for this to make a breakthrough into making an actual difference in the transport regime here in Wales. The Statkraft example that Joel James referred to, Llywydd, is a facility to produce green hydrogen, to store it as well, at Trecwn in Pembrokeshire. I've had an opportunity to discuss this with Statkraft representatives when I visited Ireland recently. I'll be meeting EDF, another major investor in renewable energy, with ambitions in green hydrogen as well, later today. Here in Wales, we are determined to work with those major investors to give them the confidence that they need, and to make sure that, where those investments depend upon a partnership between public authorities—the Statkraft investment in Pembrokeshire depends on a partnership with Pembrokeshire council because the plan is to make sure that the green hydrogen produced will power buses across Pembrokeshire and will help with rail travel as well—and where that partnership is key to unlocking investment and creating that green hydrogen future, then the Welsh Government will always be active partners in that endeavour. 

Photo of Ken Skates Ken Skates Labour 1:34, 15 November 2022

First Minister, the HyNet North West programme has the potential to radically change the way that we fuel our transport and business needs across the north-west of England and, of course, north Wales. The programme is being championed by the metro mayor of Liverpool city region, Steve Rotheram, and it's supported by Wrexham and Flintshire councils, as well as the north Wales business council. Would you join me in calling on the UK Government to accelerate delivery of HyNet in order to move transport and industry towards our carbon zero targets?

Photo of Mark Drakeford Mark Drakeford Labour

Well, Llywydd, I agree with Ken Skates that HyNet represents a major opportunity for the economy of north-east Wales, working with our partners in the north-west of England. Earlier in the autumn, I was able to discuss the development of HyNet with the metro mayor of Liverpool, Steve Rotheram. In an ecumenical sense of answering this question, I shall recognise the investment of the UK Government in HyNet. And it is an example of where we have been able to work with UK Government Ministers to play our part alongside them and elected representatives in the north-west of England to bring that project to fruition. I'm very grateful for the contribution that Flintshire County Council, in particular, alongside the North Wales Economic Ambition Board, have made. The ambition to have a key site for hydrogen generation and storage at the Deeside Industrial Park is one of the reasons why we have that investment, which reaches across that economy that combines north-east Wales and the north-west of England. And working together will offer us the best opportunity to do what Ken Skates said, Llywydd, and that is to accelerate our ability to maximise those opportunities.