Distributed vs. decentralised vs. centralised generation

This has arisen because it is cheaper to transport gas via pipeline that electricity over long distances.

Local supplementary generation should be encouraged but unless such systems are robust, predictable and can be centrally managed by the grid managers, too much unpredictable power generation would inevitably caused system stability problems.

A centralised model does not fit well with the use of renewable primary energy. Also, it is more at risk from single failures than a more de-centralised one. Spreading the generation across a nation and deploying or using an existing national electrical power grid is the most robust manner to take most advantage of hydrogen based power and fuel generation.