In a significant stride towards sustainable manufacturing, consumer goods behemoth Kraft Heinz, in collaboration with energy developer Carlton Power, is set to establish a 20MW green hydrogen production facility. This pioneering initiative aims to harness water electrolysis, powered entirely by renewable electricity, for hydrogen production.
The generated hydrogen is intended to supplant fossil fuels in the heating processes at Kraft Heinz’s Kitt Green factory. According to the company’s projections, this innovative project could supply at least 50% of the factory complex’s natural gas requirements, while concurrently slashing its annual power-related carbon emissions by 16,000 tonnes.
Kraft Heinz is steadfast in its commitment to achieving a global net-zero target by 2050, with a nearer-term objective of reducing emissions by half across all scopes from 2021 to 2030.
Pending the receipt of planning approval and the securing of necessary financing, the hydrogen facility is poised to commence production in 2026. Over the next 18 months, Kraft Heinz and Carlton Power will be engaged in seeking planning permissions and financial backing through the UK Government’s Hydrogen Production Business Model’s second funding tranche, including conducting pre-application consultations.
Cllr Tom Ross, Trafford Council Leader and Greater Manchester’s Green City-Region lead, praised the initiative: “Greater Manchester is advancing towards its carbon neutrality goal by 2038, necessitating collaborative efforts across the board. The partnership between Kraft Heinz and Carlton Power is a commendable step towards our net-zero journey, positioning Wigan as the site for Kraft Heinz’s inaugural green hydrogen-powered facility. This venture not only fosters green employment opportunities within our city-region but also significantly propels the establishment of a hydrogen economy in Greater Manchester.”
In line with the national strategy, the UK Government aspires to host 10GW of low-carbon hydrogen production by 2030, with a minimum of half deriving from green or renewable sources. Additionally, to qualify for government funding under the ‘Low-Carbon Hydrogen Standard’, projects must adhere to stringent lifecycle emissions criteria.
As 2023 concluded, the Department for Energy Security and Net-Zero (DESNZ) endorsed 11 green hydrogen projects for funding under its Hydrogen Business Model scheme, collectively capable of producing 125MW. This funding will facilitate diverse projects, including Sofidel’s transition to hydrogen-gas blend for paper milling in Port Talbot and the InchDairnie Distillery’s adoption of a pure hydrogen boiler.
The strategic application of hydrogen in hard-to-abate industrial processes is widely supported in the UK for its potential environmental and economic benefits. However, the debate intensifies around hydrogen’s role in domestic heating, given the feasibility of electrification for home heating compared to industrial and specific transport sectors. Against this backdrop, the gas industry is advocating for its infrastructure and workforce, with the UK Government expected to finalize its stance on hydrogen’s role in gas networks by 2026.
