Households across the nation could see their annual energy bills rise by £600 million if swift approval isn’t given for blending hydrogen into domestic gas supplies, as warned by National Gas.
The company, tasked with managing the high pressure gas transmission network, has raised concerns, stressing the need for a decision on hydrogen blending by July.
Without immediate action, costly infrastructure investments will be necessary to maintain gas imports from Europe, estimated at up to £600 million annually, leading to increased costs for consumers, according to National Gas Chief Executive Officer Jon Butterworth.
The boss of National Gas told The Telegraph: “When we have a cold day in the UK, we need to import gas from Europe through the two interconnections.
“So we need to make sure that we’re ready to receive that and that we’ve got all the approvals.”
Mr Butterworth said: “Allowing hydrogen to be blended into the gas transmission network could save British consumers up to £600 million a year and deliver energy security for decades to come.
“National Gas is committed to working with the government and our regulators to unlock this important decision that will benefit households and businesses across the country.”
A Department for Energy Security and Net Zero told Energy Live News: “We do not recognise these highly speculative figures and cannot progress with regulatory changes until we have received sufficient safety evidence.
“Hydrogen has the potential to play a key role in decarbonising homes and supporting industry cut their emissions, which is why we support the use of hydrogen blending in limited scenarios.
“Suppliers being able to meet the required safety standards will be a key factor in enabling the wider rollout of blending into the gas network.”
