Barrow Hydrogen Project Given Formal Go-Ahead
A major green hydrogen project in Barrow has been given the formal go-ahead. With construction expected to begin in the coming weeks.
The project will supply green hydrogen to Kimberly-Clark’s manufacturing site in Barrow, where products including Andrex and Kleenex are made. It is expected to become operational in 2028 and could help the factory cut its natural gas use by up to 50 per cent.
The scheme is also expected to bring jobs and investment to the area. Around 200 workers are expected to be employed during the construction phase. Once the hydrogen plant is running, it is expected to create around 10 to 15 full-time jobs.
Key Dates for the Project
The Barrow hydrogen project was first developed by Carlton Power and was conceived in early 2022.
In 2023, the Green Hydrogen Energy Company was formed as a joint venture between Schroders Greencoat and Carlton Power. This company now owns and is delivering the project.
In June 2025, Carlton Power signed a Low Carbon Hydrogen Agreement with the UK Government. This followed the Government’s first Hydrogen Allocation Round.
On May 20, 2026, the project reached its final investment decision. This means the funding, commercial plans and delivery arrangements have now been confirmed.
Construction is expected to begin in the coming weeks, with the site on track to be up and running in 2028.
What the Hydrogen Project Will Do
The project will create green hydrogen for Kimberly-Clark’s Barrow manufacturing plant.
Green hydrogen is made using electricity from renewable sources. This electricity powers equipment called electrolysers, which split water into hydrogen and oxygen. The hydrogen can then be used as a cleaner fuel.
At the Barrow site, the hydrogen will help replace some of the natural gas currently used by the factory. Schroders Greencoat has estimated this could reduce the site’s natural gas use by up to 50 per cent.
The project is also expected to cut carbon dioxide emissions by around 18,300 tonnes.
Why This Matters for Barrow
The project is important because it links clean energy investment with a major local employer.
Kimberly-Clark’s Barrow factory is already an important part of the local economy. By supplying the site with green hydrogen, the project aims to help secure cleaner manufacturing in the area for the long term.
For local people, the main benefits include construction work, new permanent jobs and the chance for Barrow to play a bigger role in the UK’s clean energy sector.
Michelle Scrogham, MP for Barrow and Furness, said the scheme shows how government support can help bring private investment into the area. She said Barrow’s geography and manufacturing background mean it is becoming a key player in the green energy transition.
Jobs and Local Investment
The project is expected to create two main types of employment.
The first will come during construction. Around 200 workers are expected to be involved as the plant is built. This could support local contractors, suppliers and skilled workers.
The second will come once the plant is operational. Around 10 to 15 full-time roles are expected to be created to run and maintain the facility.
The wider benefit could also come through supply chains. Large energy projects often need engineering, transport, maintenance, safety, administration and specialist technical support.
Who Is Involved?
The project is being delivered by the Green Hydrogen Energy Company. This is a joint venture set up by Schroders Greencoat and Carlton Power.
Several other organisations are also involved. SEFE will provide power for the plant through a long-term power purchase agreement. Plug Power will supply hydrogen electrolysers. Dalkia Engineering, which is part of EDF, will deliver construction and commissioning work.
The project is also one of 10 being supported in the first phase of the Government’s flagship hydrogen programme.
A Step Forward for Clean Industry
The Barrow project is described as one of the first renewable hydrogen production facilities in the UK to reach final investment decision.
Supporters say this is a major milestone, not just for Barrow, but for the wider UK hydrogen sector.
Minister for Energy Michael Shanks said the project shows how clean energy can help produce everyday essentials found on supermarket shelves. He said hydrogen will be important in reducing reliance on fossil fuels, driving investment and creating jobs in Cumbria and across the UK.
For Barrow, the project means cleaner energy, new jobs and another sign of the town’s growing role in low-carbon industry.
