The UK and Scottish Governments have unveiled a new agreement to establish two Green Freeports in Scotland with a GBP 52 million investments and hydrogen to play a major role within these. Scotland boasts significant renewable energy potential and, with an abundance of offshore and onshore wind farms currently being developed, hydrogen production projects are being coupled with these to produce green hydrogen. For instance, the Scottish Cluster is targeting a hydrogen production capacity of 3.7GW by the mid-2030’s produced from wind farms.A green freeport is a large zoned area within a defined boundary which includes a rail, sea or airport. Operators and businesses in the zone can benefit from a package of tax and other incentives through a combination of devolved and reserved levers. To do so, they will have to show that they contribute to objectives defined within the prospectus. These will include contributing towards a just transition to net zero emissions by 2045 and supporting the creation of high quality employment opportunities with good salaries and conditions.By introducing green freeports, it provides a basis to integrate hydrogen technologies for maritime use in addition to creating supply and demand for the clean energy carrier. The green freeports will have net-zero targets at the heart as prospective bidders will have to make a pledge to reach Net Zero by 2045.The bidding process will open in Spring, closing in Summer, after which the bids will be assessed, and successful locations announced. It’s hoped that the new sites will be operational by Spring 2023.