Three hundred households across Levenmouth will become the first to use zero carbon hydrogen for heating and cooking.
Gas company SGN has now lodged a formal planning application for its ambitious project at Fife Energy Park in Methil.
The proposal includes a demonstration centre, built to look like a typical house.
It will showcase hydrogen appliances such as boilers and gas hobs so people can see how the technology works.
They can then decide whether they want to take part in a five-year trial starting later this year.
The planning application will go before councillors for a decision on April 28.
Free hydrogen appliances
If approved, the first 300 customers will be given a free hydrogen connection, free replacement hydrogen appliances and free maintenance over the length of the project.
There will be no need to replace radiators or plumbing, however, and household bills will stay the same.
Using hydrogen for heat could save energy customers across Britain billions of pounds.”
Angus McIntosh, SGN.
SGN said the hydrogen appliances will connect to existing pipes for zero carbon cooking and heating.
Energy regulator Ofgem has provided £18m for the project, hailing it as revolutionary.
The Scottish Government, SGN shareholders and other gas networks have also given funding.
If successful, the scheme could be extended to homes and businesses across the UK.
The Levenmouth network will be based on the site of the old Wellesley Colliery, next to the mothballed BiFab yard.
It will be powered by the large offshore wind turbine.
SGN said the aim is to demonstrate how renewable energy from offshore wind can create a reliable supply of hydrogen to heat homes.
It will also give an insight into customer appetite for hydrogen energy.
How it will work
As well as the demonstration facility, the plans include buildings to produce and store the hydrogen.
A plant at the heart of the operation will use electricity from the turbine to split water into hydrogen and oxygen.
This process is known as electrolysis.
Five days-worth of hydrogen will then be stored in six 80-feet steel tanks.
A separate pressure reduction station will prepare the gas for domestic use.
A new pipe network will run alongside the current natural gas system and customers will get the choice of staying with natural gas or switching to green hydrogen.
SGN’s director of energy futures Angus McIntosh said Fife will be playing a vital role in leading Britain’s transition to a net zero energy system.
“Using hydrogen for heat could save energy customers across Britain billions of pounds as the energy system adapts to deliver net zero,” he said.