By 2030, a group of seven German energy companies plans to construct 10 GW of green hydrogen producing capacity. The agreement falls in with Germany’s hydrogen targets for the same time frame. The companies, including steel magnate Salzgitter and the German wing of oil and gas giant BP, announced the agreement with the goal of replacing gas-based “grey” hydrogen with solar and wind-based “green” hydrogen in German heavy industry. German gas distributors Nowega and Thyssengas, the oil company NWO, the energy firm Uniper, and the Dutch gas supplier Gasunie will all join the group.

The project is centred on Wilhelmshaven, Germany’s only deep-sea port. Reportedly, the area is expected to become the country’s hub for producing hydrogen. Gasunie and Thyssengas have already appealed to the EU for funds to help build a hydrogen link between Wilhelmshaven and Cologne. Uniper and BP have also asked the EU about funding for ammonia imports in order to aid the project. Ammonia can act as a carrier for hydrogen that has greater stability and energy-density for easier storage. Nowega and NWO will both contribute existing pipeline infrastructure from their respective grids to the project. 

Earlier this month, the Port of Rotterdam Authority announced that it would be building an 11-hectare (ha) site on the Maasvlakte that would be suitable for a green hydrogen plant capable of producing up to 1 GW. The facility could accommodate up to 1 GW of electrolysis and is next to the proposed location of the Tennet Amaliahaven (380kV) high-voltage cable.

REGlobal’s Views: As Europe faces an energy crisis with severe disruptions in gas supply, large industries are increasingly exploring green hydrogen as an ideal solution for meeting their energy needs. Thus, this large project planned by companies across steel and oil and gas sectors will significantly help them to reduce their fossil fuel demand and move towards green energy transition.