Government Halts BP's Hydrogen Dream: What's Next for Teesworks?
Redcar, Saturday, 6 September 2025.
The UK government’s delay on BP’s hydrogen plant at Teesworks raises questions about the future of hydrogen initiatives in the region. The land dispute complicates plans for a clean energy hub.
The Cause of the Delay
So, here we are, folks. The UK government’s decision on BP’s blue hydrogen plant at Teesworks, originally due by 28 August, has been pushed back to 30 October. Why, you ask? Well, the land dispute between BP and South Tees Group (STG) over a patch of land is as much to blame as the government’s need for further information [1][2]. It’s like trying to organise a picnic with a bunch of people who can’t settle on a location. The UK government insists this is necessary to evaluate the site’s infrastructure further [8].
Competing Interests
Now, imagine if you wanted to build a sandcastle, but someone else wanted to plant a flag in the same spot. That’s pretty much what BP and STG are dealing with. BP wants to construct one of the UK’s largest blue hydrogen plants, which could contribute more than 10% of the government’s hydrogen production target by 2030 [1][3]. However, STG has its eyes set on an AI data centre—a project they deem of ‘critical national importance’ [1]. This little tug-of-war is causing quite the headache for everyone involved.
The Larger Picture
This isn’t just about who’s going to get their way with the land. It’s about the UK’s hydrogen future. The Teesworks site is pivotal for the energy transition, with expectations for significant investment in infrastructure [8]. BP’s hydrogen plant is part of a broader ambition to create a clean energy hub in the region [3]. Yet, with all these delays and disputes, investor confidence is taking a hit, and the future of the Teesworks site is looking as clear as a London fog [4].
The Human Element
At the heart of it all, there are people—investors, workers, and local communities—who are all waiting on tenterhooks for a resolution. Tees Valley Mayor Ben Houchen has expressed concerns that these delays are scaring off potential investors [4]. It’s a bit like waiting for a bus that’s late, only to find out it’s been rerouted. The tension in the air is palpable, and the clock is ticking.
Looking Ahead
So, what’s next? The UK government must step in and make a decision come 30 October. Whether it’s a green light for BP or a thumbs-up for STG’s AI data centre, the choice will set the course for Teesworks’ future. Until then, the region’s hydrogen ambitions are in a state of limbo, much like waiting for that delayed bus, hoping it doesn’t break down halfway through [2][3].