Aberdeen to launch fire sale of hydrogen buses as council looks to break off production venture with BP

Aberdeen’s multi-million-pound hydrogen bus fleet is to be sold off, The Press and Journal understands — after secretive talks appear to have ended plans to build the city’s future economy around green hydrogen.

An urgent, behind-closed-doors meeting of councillors ended on Thursday afternoon with the local authority poised to pull out of a joint venture with BP to produce the fuel from solar power at the former Ness landfill site.

Aberdeen City Council has committed £20 million to the partnership, which confidential documents, seen by The P&J, reveal is now on the ropes.

According the the leaked dossier, top officials have been sanctioned to enter break up talks with the supermajor.

The Hareness Road site could then be repurposed as an electric vehicle charging station, The P&J understands.

Aberdeen’s parking the hydrogen bus has been coming…

It comes after we revealed First Bus, which has been lumbered with a fleet of 25 hydrogen-powered double-deckers without fuel to drive them, could not rule out handing them back to the local authority.

First leases the £500,000 Wrightbus vehicles from Aberdeen City Council, which arrived in early 2021 paid for with help from the Scottish Government and European Union.

The hydrogen taps were turned off in Aberdeen back in July 2024 as the council struggled to get parts to repair 10-year-old fuelling stations at Cove and Kittybrewster.

At least 575 days later, council chiefs have been told to halt trying to fix them while the lesser future of hydrogen production in Aberdeen is mapped out.

Last week, SNP council co-leader Christian Allard was unable to say when those pumps would be fixed.

And even if they were, he suggested at that time that the council might not share produced hydrogen with First Bus, as it might be used for Aberdeen’s fleet of dual-fuel municipal vehicles instead.

A fortnight ago, city chiefs told how they were still retrofitting bin lorries and other vehicles for dual-fuel use.

Aberdeen City Council co-leader’s ‘no comment’ on hydrogen bus sell off

On Thursday at Aberdeen Town House, Mr Allard refused to comment on anything that was discussed inside.

“I have to play by the rules on confidential commercial matters,” he told The P&J.

We asked the council co-leader directly about selling off the hydrogen double-deckers and ending the joint venture with BP.

Through a poker-table smile, Mr Allard began filibustering about the chances of Scotland beating his native France in the men’s Six Nations rugby a week on Saturday.

He also praised Aboyne’s Hollie Davidson, who became the ever first woman to officiate a men’s game in the championship a fortnight ago.

The SNP group leader then walked away into another meeting in the council chamber.

Confidential talks on Aberdeen’s hydrogen-powered future revealed

The hastily-arranged urgent business committee that preceded had started with the immediate ejection of the public and press out of the room.

Executive director Andy MacDonald, commercial chief Craig Innes and financial chief Jonathen Belford shared hurried whispers about an adjournment ahead of the urgent meeting at Aberdeen Town House.

Noticing the press waiting in the lobby, the skulked high-clearance talks were taken to a keycard-access corridor.

Lib Dem council co-leader Ian Yuill chaired the meeting, which did take a break for around 20 minutes almost as soon as the press were excluded.

Aberdeen City Council chief executive Angela Scott, and council solicitors Jenni Lawson and Alan Thomson cut serious figures beside Mr Yuill before talks began.

Papers shared with the public only reveal that a “commercial matter” was to be discussed.

The private dossier prepared for councillors had another 35 pages of confidential detail.

What did Aberdeen City Council agree on hydrogen?

And the leak shared with The P&J, detailing how the SNP and Lib Dems voted to proceed, shed some light on their content.

The huddled officials reportedly had spelled out that the energy market had shifted “significantly” away from hydrogen, towards battery-powered EVs.

This prompted the ruling administration to vote to remove all hydrogen buses from service, and not to extend their hire contract with First Bus.

Commercial chief Mr Innes has been cleared to sell off Aberdeen’s 25 hydrogen buses “to secure a capital receipt” – despite the “reduced role” the fuel is forecast to play in the market.

He’s also been instructed to negotiate a “managed exit” from the BP joint venture, and to look to repurpose the solar arrays at Hareness Road for EV charging.

Meanwhile, Aberdeen City Council could look at the feasibility of decommissioning, leasing or selling off each of its hydrogen sites.

As recently as last week, the latest site at the £400m Teca complex near Bucksburn was expected to soon begin production.

A council spokesman initially refused to comment.

Soon after The P&J published our exclusive, he said: “Aberdeen City Council and bp have been engaged in ongoing discussions concerning the future viability of the hydrogen hub, prompted by significant advancements in EV technology.

“As manufacturers and operators increasingly favour EVs, demand for hydrogen in transport has diminished.

“In light of these developments, both parties are reassessing their strategic direction to align with the evolving market landscape.

“The council and BP will negotiate the transfer of the joint venture to the council, ensuring Aberdeen’s assets are optimised to facilitate the city’s shift towards low-carbon EV transport.

“The steps agreed will strengthen Aberdeen’s electric vehicle charging infrastructure, reaffirm the council’s dedication to renewable energy, secure best value for the city, and, alongside First Bus Aberdeen, agree a full transition away from hydrogen in favour of electric vehicles in public transport.”

BP and First Bus have been invited to comment.

[Source: Press and Journal]