Hydrogen fuel price UK. Updated

Prices per Supplier

Supplier	Average Price (£/kg)	Price Range	Main Locations
Shell Hydrogen	13.20	12.50-14.00	London, Birmingham, Cardiff
ITM Power	11.80	10.90-12.50	Sheffield, Merseyside
BOC	13.50	12.80-14.50	Glasgow, Edinburgh
Air Products	12.30	11.50-13.20	London, Southampton

Supplier

Average Price (£/kg)

Price Range

Main Locations

Shell Hydrogen

13.20

12.50-14.00

London, Birmingham, Cardiff

ITM Power

11.80

10.90-12.50

Sheffield, Merseyside

BOC

13.50

12.80-14.50

Glasgow, Edinburgh

Air Products

12.30

11.50-13.20

London, Southampton

Price Evolution (2020-2024)

The market has experienced significant fluctuations:

2020: £10-12/kg (start of commercial network)
2021: £11-13/kg (+8% due to increased demand)
2022: £12-14.50/kg (+12% energy crisis)
2023: £11.50-14/kg (-5% stabilization)
2024: £12.50-15/kg (+10% inflation)

The main factors The variation factors include electricity costs for electrolysis (40% of the final price), distribution costs (25%), and government subsidies (currently reduced by 15%).

Grants and Incentives

The British government maintains support programs:

1. Plug-in Car Grant

Up to £3,000 for the purchase of new hydrogen vehicles, with emissions requirements <50g CO2/km and a minimum range of 70 miles. £12 million has been allocated to this program in 2024.

2. Hydrogen for Transport Program

Grants cover up to 60% of the cost of infrastructure development. £8.7 million has been approved for four new stations in 2023.

3. Tax Benefits

Exemption from the congestion charge in London (savings of £15/day), a 50% reduction in road tax for commercial vehicles, and preferential corporate rates for fleets.

Future Outlook (2025-2030)

The Department for Transport projections indicate:

2025: Target of £10/kg through economies of scale
2027: Expansion to 30 national stations
2030: Target of £7-8/kg with localized production

The National Hydrogen Strategy foresees 5GW of low-carbon production capacity by 2030, with confirmed investments of £900 million by 2026.

Key Stations

Main operational refueling points:

Shell Beaconsfield M40 (M25/M40 interchange)
ITM Power Sheffield (Bessemer Park)
BOC Glasgow (Clyde Gateway)
Air Products Rainham (London)
Shell Cobham Services (M25)
Cardiff Hydrogen Station

The price of hydrogen at UK refueling stations depends on several factors, including production methods, distribution infrastructure, and regional demand. Although currently more expensive than traditional fuels per kilometer traveled, hydrogen offers significant environmental benefits and has the potential to become a key player in the transition to sustainable energy.

As technology advances and infrastructure expands, hydrogen prices can be expected to fall, making it a more viable option for consumers. For now, those considering hydrogen fuel cell vehicles must weigh the current costs against the long-term benefits of reduced emissions and a cleaner environment.