Member News: Apollo – partners in pioneering hydrogen study for UK data centres

February 14, 2025
Member News: Apollo – partners in pioneering hydrogen study for UK data centres

Apollo partners in pioneering hydrogen study for UK data centres

Apollo is proud to be supporting a first-of-its-kind feasibility study into the role of hydrogen in powering and decarbonising UK data centres. Led by Wales & West Utilities in partnership with SGN, the study will develop a strategic and technical evidence base for the potential of natural gas, a hydrogen blend, or 100% hydrogen in the data centre sector and wider supply chain.

With data centre demand expected to drive a sixfold increase in industry power consumption over the next decade, the need for alternative energy solutions is clear. Data centres are critical to the UK economy, yet lengthy delays in connecting to the electricity grid are stalling development. This study will explore how low-carbon hydrogen could provide a clean, secure energy solution—unlocking sites faster, managing energy costs, and reducing emissions.

Wales & West Utilities and SGN have appointed engineering consultancy, Apollo, and integrated engineering design firm, Hydrock, now Stantec, in the study.

By using a homegrown and renewable energy source like low-carbon hydrogen, data centres could meet their energy needs while unlocking sites faster, managing energy-related costs and reducing emissions.

Apollo and Hydrock, now Stantec, will provide an analysis to understand current ambitions, possible applications across a site, barriers to deployment, and the geographical implications of using the existing gas network infrastructure to supply hydrogen to data centres.

The study will assess how the sector is meeting its current energy demands and how these may expand in the future. With the growing demands of AI, data centre storage capacity is expected to more than double from 2023 to 2027.

The project will produce case studies, comparing how different technology and energy vectors could help meet the needs of the sector, including providing much-needed energy resilience and security.

The study will also explore how data centres could become central in distributing green gas across Wales, Scotland, and the south and south-west of England, with the potential to feed into other industries and domestic customers.

Matt Hindle, Head of Net Zero & Sustainability at Wales & West Utilities, commented: “As increased digitalisation drives demand for data centres across the UK, we see there’s a role for low-carbon hydrogen as an enabling energy source. This green gas could not only offer the data centres a way to power and decarbonise their own operations, as well as provide essential energy security for the sector but also stimulate the hydrogen economy in the surrounding areas—benefiting both industry and domestic consumers who currently rely on natural gas.”

“We’re delighted to partner with SGN, Apollo and Hydrock, now Stantec, as a first step in exploring the possibilities for hydrogen in this expanding sector and the opportunities for cross-collaboration.”

Phil Westmorland, Decarbonisation Director at Apollo, said: “Hydrogen has the potential to transform how data centres operate—providing both a sustainable energy solution and the resilience that the industry needs. Our role in this study is to apply our expertise in energy systems and engineering to assess the practical applications of hydrogen and the impact it could have across the data centre sector. We look forward to collaborating with our partners to explore innovative solutions that support the energy transition.”

The project will run until April 2025.

 

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