Iberdrola and Fertiberia have signed an agreement to investment over Euro 150 million to construct a large plant to produce green hydrogen for industrial use in Europe. The companies are planning to build the plant in Puertollano and the plant is expected to be operational in 2021. According to the agreement, Iberdrola will be responsible for the production of green hydrogen from renewable energy sources. The plant will also consist a 100 MW solar photovoltaic plant, a 20 MWh lithium-ion battery system along with a 20 MW electrolytic hydrogen production system.
The green hydrogen produced will be used at Fertiberia’s ammonia plant in Puertollano. Fertiberia will update and modify the plant to be able to use the green hydrogen produced to manufacture green fertilizers. With this, Fertiberia will be able to reduce natural gas requirements at the plant by over 10 per cent.
The annual hydrogen production in Spain is estimated at 0.5 Mt H2 per year, which is used as a raw material in the refining, chemical and fertilizer industries. Most of the hydrogen production is through fossil fuels. Efforts are now being made to decarbonise hydrogen production through the use of renewable energy sources.
Commenting on the development Ignacio Galan, chairman, Iberdrola said, “Today we are launching the first major green hydrogen project in Europe, demonstrating that thanks to renewables and technological innovation, it is possible to continue to meet the needs of the electrification and decarbonisation of our industry. The initiative shows the path and opportunities offered by the energy transition to develop innovative projects as the focus for industrialisation and employment in our country.”