Meeting of the Parliament 01 May 2025
Can I just keep going on this point?
The key factor about the situation at Grangemouth is that it is not just about increasing the supply of green hydrogen; we also need the demand and the market to supply it to. That involves encouraging industry growth in the private sector, as well as exploring how public investment could unlock existing opportunities, and linking them with our key renewable energy sources.
I am keen to see our Governments working together. I noted the positive aspects of the cabinet secretary’s speech. We need a clear approach to new onshore and offshore wind resources to ensure that the electricity that we will generate across our homes, our transport and our economy will be used where we need it. We are already seeing the development of pumped hydro storage and battery storage, so factoring in how we will supply electricity to deliver green hydrogen will be key. Last year, constraint payments made to wind farm operators reached the level of £380 million for curtailing 4.3 terawatt hours of wind energy. That is bonkers, and it is why I am articulating the need for a joined-up approach.
Hydrogen production could use that extra electricity, lead to lower network costs and help to bring down bills for individuals and businesses. However, we must also ensure that we have the grid capacity to supply that electricity where it is needed. Where sites are due to be developed for green hydrogen, we must ensure that they have electricity supplies.
Earlier in the debate, members discussed where we can do that, but we must also do it for our industrial and transport sectors. I mentioned buses, transport, rail and heavy goods vehicles. We must decide the locations across the country where the best opportunities sit. The Scottish Government needs to do some work on thinking strategically about locations, and we must consider how we prioritise the opportunities. As we look to the future, it is clear that green hydrogen will be a cornerstone of Scotland’s renewable energy strategy, which just needs to be joined up. We have had a long history of project commitments, but we have not always seen them being delivered.
If we are to meet our climate targets, support new jobs and see economic development across the country, we need a strategy that maximises the use of our natural resources but also develops industrial sites that could deliver on those opportunities. By investing in cutting-edge technology, we can drive innovation, foster economic growth and protect our planet for future generations. We all need to work together across the parties, but we must also see our Governments doing so. By that I mean not only our UK and Scottish Governments; we need to bring local government in, and think about planning, the supply chains and transport connectivity.
I hope that members will support Scottish Labour’s amendment. It aims to be constructive and to ensure that we have a joined-up approach to production, supply and use of hydrogen where it makes most sense, which potentially ticks our climate boxes, creates new jobs and supports our economy. If there were to be support across the chamber I hope that that would give confidence to new investors. It might not be 100 per cent—that would be impossible to achieve in here—but at least there could be positive support for ensuring that we maximise the opportunities in Scotland and get on with them.
I move amendment S6M-17399.3, to insert at end
“; further calls on the Scottish Government to ensure that clear, strategic plans for hydrogen infrastructure are included in its long-awaited energy strategy, and calls on the Scottish Government to deliver joined-up thinking on how to maximise the low-carbon opportunities and efficient usage of hydrogen.”
15:29Motions, questions or amendments mentioned by their reference code.