International News
UK Government Funds West Wales Hydrogen Project
March 11, 2026
The UK Government, through the Department for Energy Security and Net Zero, has reached a final investment decision (FID) on the West Wales Hydrogen project led by MorGen Energy with ITM Power as the prime contractor. This project involves the supply and installation of a 20MW Poseidon core electrolysis process module at the Milford Haven Refinery and includes a 10-year long-term service agreement for maintenance and operational support. The initiative aims to produce 2,000 tonnes of green hydrogen annually by 2028 to supply industrial customers in the Welsh industrial cluster, supporting the UK's industrial decarbonization goals and hydrogen sector growth.
- Why this matters: This project represents a significant government-backed infrastructure investment in green hydrogen technology, signaling strong policy support and market demand in the UK energy transition.
- Procurement professionals should note the long-term service contract opportunity alongside the core equipment supply, indicating ongoing operational support needs.
- Companies specializing in electrolysis technology, hydrogen production, and plant maintenance may find emerging opportunities in the UK hydrogen sector.
- The project's location in Wales highlights regional industrial decarbonization efforts, relevant for contractors targeting UK government energy initiatives.
Reaching FID on West Wales Hydrogen is a defining milestone for MorGen and the UK hydrogen sector. This project demonstrates that green hydrogen projects in the UK can be delivered as bankable infrastructure investments when strong industrial demand is combined with a clear and stable policy framework.
— Werner Lieberherr, Chief Executive of MorGen Energy
The MorGen Energy West Wales project is an important milestone for green hydrogen in the UK, and we are proud that our technology will be at its core. Our partnership with MorGen Energy highlights our dedication to providing reliable, high-performance electrolysers that aid the UK's industrial decarbonisation efforts.
— Dennis Schulz, Chief Executive of ITM Power
Agencies
Department for Energy Security and Net Zero, UK Government
Vendors
ITM Power, MorGen Energy
Contracts
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Locations
Sources
- Project including ITM Power tech reaches final investment decision - Sharecast.com · Sharecast.com · Mar 11