Andrex and Kleenex maker Kimberly-Clark UK & Ireland has today announced an innovative green hydrogen deal.
Alongside energy partners, Carlton Power and HYRO (a joint venture between Octopus Energy Generation and RES), the manufacturer is investing more than £125 million into green hydrogen at its two plants in Barrow-in-Furness, Cumbria and Northfleet, Kent.
Known as “offtaker hydrogen supply agreements”, the arrangement means a green hydrogen facility will be installed next to Kimberly-Clark’s Barrow plant, and on the company’s Northfleet plant. Almost one billion Andrex toilet rolls and more than 150 million boxes of Kleenex tissues are produced at these locations every year.
These two green hydrogen projects have support and funding from the UK government after being selected for the government’s Hydrogen Production Business Model and Net Zero Hydrogen Fund. These initiatives represent an industry first for the consumer goods sector in the UK and Ireland.
Carlton Power’s Barrow green hydrogen project secured local planning consent in June 2023. HYRO’s project at the Northfleet paper mill received planning permission, after the local council granted consent for the scheme in August 2024.
Kimberly-Clark said the Barrow hydrogen project will supply 100GWh of hydrogen annually while the Northfleet project will supply 47GWh per annum. Green hydrogen – created through the electrolysis of water using electricity from renewable sources, like wind and solar – creates energy without emitting polluting gases during combustion or production.
Dan Howell, vice president & managing director at Kimberly-Clark UK & Ireland, commented: “This is a significant investment into a green hydrogen solution, and alongside other investments that support our ambition to move our UK manufacturing operations to 100% renewable energy by 2030.
“Now is the right time for us to tap into hydrogen’s significant potential, improving energy supply and our decarbonisation needs. We are delighted to be the first UK consumer goods manufacturer to really embrace green hydrogen, showing that an energy intensive industry can take the lead and overcome the technical challenge and adopt green hydrogen at scale.”
What the experts say:
Minister for industry, Sarah Jones: “This government is rolling out hydrogen out at scale for the first time, with ten of the first projects now shovel-ready to start powering businesses with clean, homegrown energy from Teesside to Devon. Hydrogen will help us cut industrial emissions and support Britain’s industrial renewal by creating thousands of jobs in our industrial heartlands as part of the Plan for Change.”
Keith Clarke, founder & CEO of Carlton Power: “Kimberly-Clark’s commitment to using green hydrogen in its operations is a significant move and shows great ambition and leadership. Our development of the Barrow scheme has been forged through strong partnerships with Kimberly-Clark, our financial partner Schroders Greencoat and with DESNZ as well as with local agencies and stakeholders. Our Barrow Green Hydrogen facility will be the first in a series of projects that we will bring into commercial operation over the next 2-4 years to support UK industry make the transition to using green hydrogen and away from fossil fuels.”
Alex Brierley, co-head of Octopus Energy Generation’s fund management team: “This is an exciting milestone for HYRO and for green hydrogen in the UK’s industrial sector. HYRO’s project with Kimberly-Clark at their Northfleet paper mill has progressed well, with government funding contracts in place and planning permission approved too. Green hydrogen will play a significant role in decarbonising hard-to-electrify industries – and Kimberly-Clark has been a pioneer in this space. This scheme will help produce household products using renewables and flush away fossil fuels for good.”
Lucy Whitford, RES UK & Ireland managing director: “Green hydrogen, created using British low carbon energy, will revolutionise how we power industry, helping the UK to build a globally competitive, zero carbon economy in the process. We are proud of the success of HYRO’s Northfleet project and this latest backing for the plans by Kimberly-Clark shows how we can make green hydrogen a reality.”
The initiatives are expected to enable Kimberly-Clark UK & Ireland to achieve a total reduction of its operational greenhouse gas emissions by more than 80% in 2027 versus a 2015 baseline. These improvements will also help Kimberly-Clark meet its sustainability ambitions to achieve a 50% reduction of absolute Scope 1 and 2 GHG emissions globally, from a 2015 base year by 2030.
Read more about hydrogen power in Green Retail World
[image credits: Kimberly-Clark]
