Gas infrastructure is supported by a RAB financing model
UK risks falling behind on hydrogen gas network
Trade association calls for regulated asset base mechanism to support rollout of hydrogen pipelines
The UK must accelerate the creation of a regulatory framework for hydrogen transportation and storage via gas networks, according to trade association Hydrogen UK. The government is consulting on a potential support scheme for hydrogen transportation and storage, which is likely to mimic the framework that exists for UK gas networks. Gas infrastructure is supported by a regulated asset base (RAB) model, which provides a fixed return during construction rather than operation. Hydrogen UK has come out in favour of this model for both growth and steady-state phases of infrastructure development. “However, RAB would have to be supplemented with an additional external funding mechanism due to the
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