RWE is investigating the feasibility of a green hydrogen unit at its Pembroke gas plant, in order cut carbon emissions. 

The British government said it will allocate funding to projects in Scotland, South Wales and the North West, Humber and Teesside in England to help decarbonize the industry.

That will include projects to capture, store and use carbon emissions, and those to use cleaner fuels such as hydrogen.

The so-called South Wales Industrial Cluster - a consortium of which RWE is a member - received 20 MM pounds ($28 MM) for projects to create a net zero emissions industrial cluster zone in the region by 2040.

RWE said its feasibility studies will investigate how hydrogen and carbon capture can help reduce carbon emissions from its 2.2 GW gas-fired Pembroke power station.

They will also look into the viability of establishing a new green hydrogen production facility - which typically produce the fuel using renewable energy - to support its partners in the industrial cluster.