The Kraft Heinz Company has teamed up with United Kingdom energy infrastructure development company Carlton Power to develop its first green hydrogen project in the U.K.
The two companies aim to develop the project at Kraft Heinz's Kitt Green manufacturing plant in Wigan, Greater Manchester. The plant is one of the largest food processing plants in Europe and one of Kraft Heinz's largest facilities in the world. The facility produces 250,000 tons of food annually.
The green hydrogen plant will produce 200 megawatts and will meet more than 50% of the plant’s annual natural gas demand. The green hydrogen will be produced by an electrolyzer, using renewable energy, including wind and solar power.
The project is the first to be brought forward by Kraft Heinz and the fifth green hydrogen project that Carlton Power is taking forward within the U.K.
Green hydrogen is an exciting energy source that aligns with net-zero emission economies. It is produced using the excess power of renewable power plants by means of an electrolysis process. However, its high cost of production, storage, and transport has presented a challenge to the wider adoption of green hydrogen.
Despite the cost, the United States Department of Energy is investing in green hydrogen, identifying seven hydrogen hubs that are expected to collectively meet about a third of the country's 2030 clean energy production targets. The DOE has $7 billion in available funding for the projects.
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Kraft Heinz and Carlton Power will work to obtain planning permission for the hydrogen scheme. The $50 million scheme aims to enter operation in 2026, though the project hinges on receiving financial support from the U.K. government’s second Hydrogen Allocation Round of the Hydrogen Production Business Model. The model was created by the government to support industry’s transition to hydrogen and encourage the hydrogen economy.
“We’re delighted to be working with Kraft Heinz to bring forward a green hydrogen facility at Kitt Green to help the company accelerate its efforts to decarbonize their operations,” Eric Adams, hydrogen projects director at Carlton Power, said in a statement. “It is critical that projects like this are brought forward to support British companies, especially in manufacturing, in reducing their carbon emissions and reaching net zero.”
The two companies will also work together to obtain grant funding and operational financial support from the U.K. Department of Energy Supply and Net Zero (DESNZ). They plan to submit to DESNZ, via the hydrogen allocation round, after consultations with local and national stakeholders.
