Hydrogen Central

Hydrogen Business Model – Updated Terms – UK – Burges Salmon blog

Hydrogen Business Model


Hydrogen Business Model – updated terms – UK – Burges Salmon blog.

Last week BEIS published updated heads of terms for the Hydrogen Business Model support.  This document is much more detailed than the original HOTs and contains some important concepts that producer and demand side customers will need to consider particularly in the context of hydrogen offtake contracts.  

We have highlighted what we consider to be some of the big points for electrolytic hydrogen projects in our latest briefing available on our website.  If you would like to discuss any aspect of the Business Model please get in touch.

Low Carbon Hydrogen Production Business Model Update (burges-salmon.com)

The Hydrogen Business Model….”will support selected Producers of low carbon hydrogen by paying them a premium, calculated as the difference between a Strike Price (reflective of the Producer’s unit cost of production and negotiated on a project-by-project basis) and a Reference Price (based on the price at which the Producer sells their hydrogen, with a floor at the natural gas price”.

READ the latest news shaping the hydrogen market at Hydrogen Central

Hydrogen Business Model- updated terms, December 19, 2022

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