INSIGHTS / Blog

The Hydrogen and Sustainable Transport Economy Accelerator (HSTEA) has been a driving force behind clean transport innovation in the West of England. Backed by a £2.5m investment from the West of England Combined Authority and delivered by SETsquared with IAAPS, the programme was designed to give SMEs and start-ups the tools, connections, and confidence to scale up hydrogen and sustainable transport technologies.  

HSTEA operated from the IAAPS facility at Bristol & Bath Science Park and worked closely with the University of Bath, creating a collaborative hub for the next generation of net-zero innovators. From pioneering clean shipping solutions to developing green hydrogen systems, HSTEA has supported companies tackling some of the toughest net-zero challenges. We caught up with Yuchen Gu, SETsquared’s Sector Manager, to reflect on the programme’s goals, successes, and what its legacy means for the region.

What was HSTEA, and why was it important for the West of England?

HSTEA was a £2.5m programme that supported SMEs and start-ups developing hydrogen and sustainable transport technologies. It played a crucial role in positioning the West of England as a UK leader in net-zero transport innovation, helping to build the region’s hydrogen cluster, spark new partnerships, and accelerate the commercialisation of low-carbon solutions.

What were the main goals of the programme, and how successful was HSTEA in achieving them?

The programme set out to:

• Support SMEs to innovate and scale in hydrogen and sustainable transport
• Build collaborations between academia and industry
• Strengthen the region’s hydrogen cluster
• Contribute to net-zero ambitions

HSTEA successfully delivered on these aims. It supported 70 SMEs and helped participating companies secure £6m in new funding, laying strong foundations for the region’s hydrogen economy.

Which SMEs or start-ups have been standout success stories, and what impact did HSTEA have on their growth or innovation?

Two companies in particular illustrate the programme’s impact:

GT Wings (formerly GT Green Technologies) is developing AirWing™, a retractable wind-assist propulsion system that reduces fuel use and emissions in shipping. In 2023, GT Wings secured a £3.7m Clean Maritime Demonstration Competition grant. Building on this success, and with HSTEA’s crucial support in consortium building, introductions to IAAPS researchers, and bid development, the company subsequently won a £225k Smart Shipping grant in 2024. GT Wings is now integrating AI-driven controls into AirWing, paving the way for real-world deployment.

Latent Drive, based in Dorset, is developing SeaStack, a seawater-to-hydrogen electrolyser for offshore and portside applications. With guidance and introductions through HSTEA, the company secured a £630k Innovate UK Launchpad grant in 2025 for the HydroPort project at Portland Port, producing green hydrogen to fuel a harbour patrol vessel. Soon after, Latent Drive gained international recognition by winning the Green Hydrogen Innovation Award at IRENA’s Innovation Week.

Both companies show how HSTEA has helped start-ups move from concept to demonstration, funding, and international recognition – addressing different but equally vital parts of the transition to net-zero transport.

How has HSTEA strengthened the hydrogen and sustainable transport ecosystem in the region?

The programme connected SMEs, researchers, investors, and policymakers through events, mentoring, and the Innovation Platform. It also tied into bigger initiatives such as Hydrogen South West, GW-SHIFT, and Western Gateway, ensuring the West of England is recognised nationally as a hydrogen hub.

What measurable outcomes or benefits has the programme delivered, such as funding secured, partnerships formed, or technologies piloted?

What element or outcome of the programme has made you personally most proud?

The most rewarding aspect has been seeing early-stage businesses grow in confidence, secure funding, and build partnerships they otherwise might not have achieved. Watching these companies progress from ideas to funded projects has been a highlight of the programme.

Even though the programme has ended, how will its legacy continue to support businesses and the regional hydrogen economy?

The Innovation Platform will remain available for SMEs, IAAPS will continue to provide world-class R&D support, and the partnerships and case studies developed will continue to strengthen the hydrogen cluster.

Looking ahead, what do you hope the long-term impact of HSTEA will be on the region’s clean transport and hydrogen sector?

The vision is a thriving hydrogen economy in the West of England, with strong SME growth, inward investment, and leadership in clean transport innovation. Thanks to HSTEA, the region is now well-placed to be a national exemplar in net-zero mobility, delivering benefits for the UK economy and environment.

Closing thoughts

HSTEA has shown the power of collaboration and targeted support in accelerating clean transport innovation. By giving start-ups and SMEs the confidence, tools, and networks they need, the programme has helped turn ambitious ideas into groundbreaking projects.

HSTEA laid the groundwork for a thriving clean transport and hydrogen ecosystem in the West of England, a foundation that is now being built upon by GW-SHIFT. GW-SHIFT aims to evolve from a nascent cluster into a fully established supercluster, uniquely positioned to lead the development of the green hydrogen economies needed to decarbonise the UK. Its impact is expected to span mobility, power, heating, and chemicals, leveraging the region’s distinctive mix of urban, rural, and coastal testbeds and resources.

Together, HSTEA’s achievements and GW-SHIFT’s ambitions form a seamless continuum, ensuring the West of England remains at the forefront of the UK’s clean transport and hydrogen future.

To continue receiving support, join the Innovation Platform to access our online community, networking opportunities and collaborative R&D resources.

Sign up today