Joseph Cyril Bamford (JCB), a leading British manufacturer of construction equipment has signed a major deal that will allow it to buy billions of pounds of green H2. In the deal, JCB will take 10% of green H2 produced using renewable energy that is produced by an Australian firm known as Fortescue Future Industries (FFI), a company that’s in the forefront in the production and distribution of clean energy.
Going by the trends and developments in the energy and other industries, the deal is “First-of-a-kind,” that might see FFI become the UK’s leading supplier of clean fuel. FFI will do the production outside the UK beginning next year. On the other hand, JCB together with another company called Ryze Hydrogen will jointly do the distribution work in the UK.
According to Lord Anthony Bamford, JCB’s chairman, the newly signed deal will boost the efforts to find a viable energy solution in green H2. While sharing details to BBC about the deal and what they intend to do, Anthony described the partnership as the “Right thing to do,” as the world seeks to transition into the use of green H2 as an alternative to fossil fuels.
Construction industry players are some of the leading emitters of carbon due to their heavy use of fossil fuels. To curb the problem, hydrogen is so far touted as a clean alternative as it does not produce any carbon emissions. It is, therefore, a likely energy source replacement for industries such as those making cement, steel, and even shipping companies.
“Our deal is a major advancement on the road to making green H2 a viable energy solution,” said Lord Bamford. He also encouraged the government to invest in green H2 projects. More precisely, he called on the government to consider having aircraft, trains, and buses that are fuelled by green hydrogen.
In support of Bamford’s statement, Robert Buckley an energy analyst working at Cornwall Insights had this to say: “Green H2 has the potential to be a very vital energy source for heavy transport and industry.” He further went on to commend the partnership between UK’s JCB and Australian FFI. In his statement, he expressed his optimism that with the efforts, the two countries will likely enjoy an early advantage in the production and export of green H2.
UK Hydrogen Strategy that was published in August also focused on developing the UK’s green H2 industry. While it didn’t emphasize the importance of developing its production capacity, it acts as the basis for entering into partnerships with relevant companies within and even outside the UK as it transitions to net-zero carbon emissions.
Since the launch of the strategy, many agreements have been signed and many projects have also been launched. Some are already ongoing while others are at early stages. The recent partnership between JCB and FFI is just a clear example of what the future of green H2 is like not only in the UK but in many other parts of the world.
