Under the proposals, the plans would generate clean fuel for fleet vehicles ranging from council gritters to recycling and refuse collection lorries.

It could also supply clean fuel for emergency response vehicles, and potentially be used to heat buildings and facilities such as schools and local swimming pools.

Cllr John Spanswick, the council's cabinet member for communities, said: 'This memorandum of understanding formally acknowledges that Bridgend County Borough Council and Marubeni are working in partnership to explore these extremely ambitious new plans together.

'The proposals are hugely exciting, and have the potential to not only contribute towards the council’s own decarbonisation targets, but to help meet national Welsh Government targets on achieving a carbon neutral public sector by 2030 and establishing renewable hydrogen production sites as part of the Net Zero Wales agenda.'

Bridgend County Borough was selected by Marubeni following discussions with Welsh Government as the preferred UK location for a green hydrogen demonstrator project.