May 23 (Renewables Now) - UK independent energy infrastructure developer Carlton Power and specialist investment manager Schroders Greencoat LLP have agreed to form a joint venture with the objective of building a green hydrogen project portfolio of 500 MW by 2030.
Following its launch, the new firm, called Green Hydrogen Energy Company Ltd (GHECO), will focus on three particular projects originated by Carlton Power: Trafford in Greater Manchester; Barrow-in-Furness in Cumbria; and Langage, near Plymouth, in Devon.
The two partners said they are making an initial funding commitment of GBP 200 million (USD 248.4m/EUR 230.5m) from funds managed by Schroders Greencoat to deliver these projects along with future developments within Carlton’s pipeline. They expect all three to enter commercial operation in 2025.
Earlier this year, the project trio was shortlisted by the UK Department for Energy Security & Net Zero (DESNZ) to get financial backing from the Hydrogen Business Model / Net Zero Hydrogen Fund in the first Hydrogen Allocation Round (HAR1). Carlton Power intends to submit further green hydrogen projects in Hydrogen Allocation Round 2 (HAR2), the announcement says.
As part of the new JV, Carlton Power will manage the development, construction and operation of the green hydrogen plants, while Schroders Greencoat will lead the project financing.
“We are aiming for GHECO to become one the UK’s most ambitious hydrogen investment platforms. As one of the leading renewables investors in the UK, we have been long-time front-runners in the deployment, management, and optimisation of the country’s renewable infrastructure — it made perfect sense for us to partner with Carlton, one of the country’s leading developers,” commented James Samworth, Partner and co-head of Schroders Greencoat's Energy Transition team.
(GBP 1.0 = USD 1.241/EUR 1.153)