SIF funding case study: Unlocking large-scale, long-duration hydrogen storage for a greener future

To accelerate the UK's transition to net zero, a new joint network hydrogen storage project is creating a solution for long-duration, large-scale hydrogen storage.

Funded by SIF, the new HyScale initiative aims to develop a cost-effective and scalable storage solution using Liquid Organic Hydrogen Carrier (LOHC) technology.

As renewable energy sources like wind and solar gain traction, their unpredictable generation patterns limit their effectiveness. When the sun isn’t shining or the wind isn’t blowing, the grid faces shortfalls in green energy supply. Hydrogen presents a promising solution by acting as an energy buffer, but only if it can be stored efficiently and cost-effectively.

Currently, the UK has around three gigawatts of hydrogen storage capacity, primarily through geological salt caverns or pressurised vessels. The new LOHC-based technology offers a game-changing alternative: by chemically bonding hydrogen to a reusable organic carrier through a process called hydrogenation, hydrogen can be stored in stable, liquid form over long periods and in large quantities – perfect for a rainy day. When needed, it is released via a dehydrogenation process.

NGN will host the test site for the project, installing the storage facility at our Net Zero Research Village in Low Thornley to significantly reduce capital expenditure (CapEx) and test the technology’s impact on both domestic and industrial applications.

Currently in its design phase, the project completed its Alpha stage in May 2025 and is preparing to enter the Beta stage. With further funding, the team aims to build and demonstrate the full-scale facility by 2028.