Troll, wake up smell the coffee....4 Jun 2026 11:08
Industry view:
It certainly looks challenging for the UK hydrogen sector as we enter summer 2026, with significant frustration evident across the industry due to continued policy delays.
Current Mood and Industry Reaction
Widespread Frustration: At the recent REHIP conference in March 2026, the mood was described as one of "honesty, realism and frustration" rather than the usual hype. Delegates expressed doubt that the delayed UK Hydrogen Strategy Refresh would lead to anything "meaningful," with one panelist noting that "smoke signals" from the government were insufficient.
Policy Drift: Analysts from Clean Air Task Force highlighted in late 2025 that inconsistent frameworks and delays were creating major barriers. The cumulative effect of pushing the Strategy Refresh from 2025 into 2026, alongside the yet-to-launch Hydrogen to Power Business Model, signals "policy drift" to investors.
Investment Risks: There is a growing fear that without immediate clarity, the UK hydrogen market could become a "rounding error" globally, overshadowed by Chinese production capacity and clearer European mandates.
Specific Project Impacts
Cadent HyNet Pause: The most tangible sign of trouble is Cadent's continued pause on its HyNet North West planning application. The operator explicitly stated it cannot proceed until the Hydrogen Transport Business Model (HTBM) is finalized, a process now slipping past the "Spring 2026" target into the summer uncertainty.
HAR2 Stuttering: The Hydrogen Allocation Round 2 (HAR2), expected to conclude in early 2026, has also faced delays, leaving 27 shortlisted projects in limbo regarding their final contracts and revenue support.
The "Smoke Signals" Problem
While the government maintains that the first allocation rounds for storage and transport will launch in the first half of 2026, the lack of a published Strategy Refresh by June has led many to believe these dates will slip further into late 2026 or 2027. The industry is no longer asking for "strategic planning" but for certainty now to unlock Final Investment Decisions (FID).
This Labour Government have not got a clue!
There is no way UKOG can survive this without a major investor and no one will go near UKOG!
As I've said before; no update RNS's indicate UKOG are hiding bad news, bad news indeed - insolvency is near!
Still, what do I know!