Industry-First Green Hydrogen Deals Signed by Andrex® and Kleenex® Producer, Kimberly-Clark
The company announces today that together with its energy partners, Carlton Power and HYRO (a joint venture between Octopus Energy Generation and RES), it is investing over £125 million into the emerging energy solution at its two plants in Barrow-in-Furness, Cumbria and Northfleet, Kent. Combined, the two sites produce nearly one billion Andrex toilet rolls and over 150 million boxes of Kleenex tissues every year. Through the investment, Kimberly-Clark expects to see a 50% reduction versus its 2024 consumption of natural gas across its UK production lines from 2027.
The two long-term offtaker hydrogen supply agreements signed with energy partners Carlton Power, and HYRO– will mean a green hydrogen facility is installed next to Kimberly-Clark's Barrow plant, while a separate facility will be built on Kimberly-Clark's Northfleet plant.
These two green hydrogen projects are being supported with funding from the UK government after being selected for the Government's Hydrogen Production Business Model (HPBM) and Net Zero Hydrogen Fund (NZHF) – a global first (also known as Hydrogen Allocation Round One – HAR1). Carlton Power's Barrow Green Hydrogen project secured local planning consent in June 2023. HYRO's innovative project at the Northfleet paper mill received planning permission, after the local council granted consent for the scheme in August 2024.
The Barrow hydrogen project will supply 100GWh of hydrogen per annum while the Northfleet project will supply 47GWh per annum. Collectively the displacement of natural gas with hydrogen will reduce carbon emissions by 28,500 tonnes per annum, equivalent to removing approximately 20,000 petrol cars off the road every year*.
These projects will further decarbonise the production of toilet and facial tissues by directly replacing fossil-fuel natural gas used for steam generation. Green hydrogen – created through the electrolysis of water using electricity from renewable sources, like wind and solar – allows a versatile energy source to be generated and stored without emitting polluting gases during combustion or production.
Dan Howell, Vice President and Managing Director at Kimberly-Clark UK & Ireland said: '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. This initiative builds on the investments and progress we've already made with innovative technologies for our business, our consumers and our customers.'
Minister for Industry, Sarah Jones, said: '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 and Chief Executive of Carlton Power, said: '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 said: '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' Managing Director, UK & I, said: '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 (vs 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.
It represents another major milestone in Kimberly-Clark's ambitious drive towards low carbon energy in the UK, following its announcement in September 2023 of a power purchase agreement supporting the opening of a new £75 million onshore wind farm in South Lanarkshire, Scotland. Managed by Octopus Energy Generation on behalf of Octopus Renewables Infrastructure Trust (ORIT), RES also provides the necessary asset management services for the wind farm which has been supplying green power to Kimberly-Clark's operations since it was commissioned.
Sources:*Emissions equivalency based on UK Government's average passenger vehicle emission factor: 120 gCO2/km, assuming 12,000 km driven annually.
Notes to editors
Imagery:
About Kimberly Clark's ongoing sustainability projects Kimberly-Clark's global 2030 sustainability strategy aims to address the key social and environmental challenges of the next decade, improving the lives and wellbeing of one billion people in underserved communities around the world.
This announcement represents a milestone in Kimberly-Clark's ambitious drive towards green energy and its global goal to reduce its scope 1 & 2 emissions by 50% against a 2015 baseline. Other recent Purchase Power Agreements include:
multi-country European power purchase agreement supporting three solar farms in Italy and Spainlargest rooftop solar photovoltaic systems at Kimberly-Clark's manufacturing site at Salamanca facility in SpainInstalling rooftop solar photovoltaic systems at Kimberly-Clark's manufacturing site in Cape Town, South Africa in 2024Opening a new £75 million onshore wind farm in Scotland, UK in 2023
Kimberly-Clark also recently announced that its plant in Koblenz, Germany had become the company's first tissue plant on path to 100% renewable energy, expected to reduce carbon emissions at the facility by approximately 50,000 MTCO2e per year.
For more information: Sustainability Report 2024
About Kimberly-ClarkKimberly-Clark (NASDAQ: KMB) and its trusted brands are an indispensable part of life for people in more than 175 countries and territories. Our portfolio of brands, including Huggies, Kleenex, Scott, Kotex, Cottonelle, Poise, Depend, Andrex, Pull-Ups, Goodnites, Intimus, Plenitud, Sweety, Softex, Viva and WypAll, hold No. 1 or No. 2 share positions in approximately 70 countries. Our company's purpose is to deliver Better Care for a Better World. We are committed to using sustainable practices designed to support a healthy planet, build strong communities, and enable our business to thrive for decades to come. To keep up with the latest news and learn more about the company's more than 150-year history of innovation, visit the Kimberly-Clark website.
About Carlton Power ( www.barrowgreenhydrogen.co.uk / www.carltonpower.co.uk )Carlton Power, headquartered in Stokesley, North Yorkshire, is one of the leading green hydrogen developers in the UK. In addition to Barrow, its first phase of green hydrogen schemes are at Trafford in Greater Manchester and Langage (Plymouth) in Devon. These three projects, via HAR1, represent 33% of the total capacity awarded contracts by the UK Government (11 projects were awarded HAR1 contracts). In April 2025, its projects at Hartlebury in Worcestershire and in Walsall (West Midlands) were shortlisted for financial support in DESNZ's Hydrogen Allocation Round 2. Carlton is a member of Hydrogen UK and the North West Hydrogen Alliance. Carlton Power has more than 25 years of development experience in the UK including bringing forward over 3.5GW of gas fired generation and 8MW of solar, with c2.5GW of energy storage at various stages of development.
About Octopus Energy GenerationOctopus Energy Generation is driving the renewable energy agenda and building green power for the future. It is reshaping the market by leading the transition to a cleaner, greener future through renewable projects connected more deeply to customers and businesses. As one of Europe's largest specialist renewables investors, it manages 4.3 GW of energy projects like wind and solar farms in over 18 countries, worth £7bn ($9bn).
Octopus comes up with innovative tech-enabled products to change ingrained thinking about energy, positively influence the net zero economy and deliver cheaper energy for customers. This includes the 'Fan Club', a world-first tariff providing discounted energy to people living near wind turbines when it's windy, which has seen 35,000+ requests for local wind turbines, and Winder (Tinder for Wind), Octopus' tech platform to speed up new turbines development driven by community demand. For more information, check out our website.
About RESRES is the world's largest independent renewable energy company, working across 24 countries and active in wind, solar, energy storage, green hydrogen, transmission, and distribution. An industry innovator for over 40 years, RES has delivered more than 28GW of renewable energy projects across the globe and plans to bring more than 26GW of new capacity online in the next five years.
RES is the power behind a clean energy future where everyone has access to affordable zero carbon energy bringing together global experience, passion, and the innovation of its 4,500 people to transform the way energy is generated, stored and supplied. Visit: www.res-group.com.
Media enquiries
Kimberly-ClarkE: [email protected] | M: +44 (0) 7802 380 481 - Isabella Reed
Georgina Coro, KCC UK & Ireland Communications ManagerE: [email protected] | M: +44 (0)7971 602092
Octopus Energy GenerationE: [email protected] | M: +44 (0)20 4530 8369
RESSam Murgatroyd, Stakeholder Engagement Manager, UK&I - [email protected]
Carlton PowerPaul Taylor, Taylor Keogh Communications – 07966 782611 / [email protected]
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