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Scotland’s hydrogen supply chain opportunity: building for global investment and growth

12 Mar 2026 • 5 minute read

The hydrogen supply chain in Scotland must support ambitions to produce 25 gigawatts from this renewable energy by 2045.

Scotland is building an expanding hydrogen industry, but there remains significant potential for the industry to meets its objectives. This is the view of Francesca Gregory, Senior Energy Transition Analyst at GlobalData. 

The Scottish Government published a Hydrogen Action Plan in 2022 that has ambitions to generate five gigawatts of renewable and low‑carbon hydrogen production by 2030, and 25 gigawatts by 2045. These ambitions are not targets, yet underline the importance of investment across the hydrogen supply chain, from production and infrastructure through to end‑use technologies.

As a global energy hub, Scotland brings more than 60 years of transferable experience from offshore engineering and advanced manufacturing. This capability is now being redeployed to hydrogen, supported by a progressive policy environment, world‑class universities and a connected industrial base. For investors, this translates into immediate opportunities across hydrogen supply chains, not just future production capacity.

Critical to scaling hydrogen supply chain in Scotland

The pace of deployment depends on the availability of reliable components, standards and services. A solid hydrogen supply chain is critical to scaling the sector in Scotland. While start‑ups play a vital role in innovation, hydrogen requires capital‑intensive infrastructure and manufacturing capability. 

Many companies have roots in oil and gas and energy services. Their ability to adapt facilities, skills and supply networks for hydrogen reduces risk across the value chain where survival does not depend solely on hydrogen demand.

Francesca Gregory, Senior Energy Transition Analyst at GlobalData, adds: “Many countries continue to maintain or grow their bank of hydrogen projects. Although the industry is falling below projections in most economies, this nascent market is still making important steps towards achieving commercial scale.”

In Scotland, companies are actively growing by working with academia and industry partners to help define and validate solutions.

Stewart‑Buchanan Gauges is one such company strengthening hydrogen supply chain capability. Based in Kilsyth, the manufacturer supplies valves, gauges and thermometers to more than 50 countries. These are across sectors including oil and gas, renewables, defence, aerospace, and food and drink. The company manufactures an estimated 32,000 product variations, enabling bespoke solutions where off‑the‑shelf hydrogen components do not yet exist.

A growing hydrogen supply chain ecosystem

As hydrogen standards continue to develop, the firm is applying its manufacturing expertise to help close gaps between regulation, research, and commercial supply.

Working with Glasgow Caledonian University (GCU), the company undertook a project to test industrial hydrogen valves against Regulation No. 134 of the United Nations Economic Commission for Europe (UN/ECE). The regulation provided a robust framework for wider hydrogen infrastructure.
Over the two-week project, Stewart-Buchanan Gauges worked with a team led by Dr Mahmood Anwar, Deputy Head of Department of Engineering at GCU. 

Another partner involved in the project was International Gas Detectors, based in Manchester. It has been providing hydrogen detection services for more than 100 years. Funded by Scottish Enterprise, the project conducted independent monitoring in its testing phase. 

Many other established companies in Scotland are also applying their experience gained in other industries to help develop a green and low-carbon hydrogen sector. Green hydrogen is produced by using electrolysis to split water into its chemical elements. 

The £40 million Aberdeen Hydrogen Hub

Aberdeen is home to a diverse range of companies now serving the emerging hydrogen industry. These include Hydrasun, which has a background in providing integrated fluid transfer systems and power, and control solutions. The engineering company has been involved in more than 40 hydrogen projects worldwide, and contributes to significant projects closer to home. 

The £40 million Aberdeen Hydrogen Hub is a joint venture between BP and Aberdeen City Council. This hub will feature a refuelling station with on-site green hydrogen production, storage and distribution capabilities. 
 
Nearby, Norco operates the Aberdeen City Hydrogen Energy Storage (ACHES) facility. It supplies green hydrogen to vehicles and supports trials of hydrogen-powered generators. 

Penspen is another global company with offices in Aberdeen. Headquartered in London, the company is an international provider of energy consultancy services, serving every aspect of the hydrogen supply chain. 

Outside of Aberdeen, more companies are developing hydrogen niches in Scotland. Founded in 1878, Cochran is an established Scottish provider of industrial boilers and related solutions. 

Global investment in Scotland’s hydrogen sector

International firms are highly important to Scotland’s energy industry. Swagelock is a global provider of industrial fluid system components and engineering services for a range of sectors. The company was founded in the US and has offices all around the world, including in Aberdeen. 

Scotland’s growing hydrogen sector doesn’t just advance new industry solutions, it also strengthens the nation’s engineering pipeline. 

As Scotland continues its journey to become a leading hydrogen nation, investment in supply chains, technology and talent will be critical to meeting its ambitions. In turn, this will creates jobs at home and position Scotland as a global player in the hydrogen economy.

Explore Scotland's hydrogen energy sector 

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