H2 Energy Europe AG, a developer of large-scale green H2 ecosystems, and ONTRAS Gastransport GmbH (ONTRAS), a German transmission system operator (TSO), have signed a Memorandum of Understanding (MoU) to define the technical and commercial measures needed to establish a green H2 transport network within the European H2 Backbone (EHB) initiative.
The collaboration aims to explore ways to transport green H2 from H2 Energy Europe's planned 1-GW production facility in Esbjerg, Denmark, via the proposed German H2 core network and the ONTRAS Green Octopus Mitteldeutschland (GO!) pipeline project to German industrial areas around Salzgitter, Berlin, Eisenhüttenstadt, Magdeburg and Leipzig-Halle. H2 is expected to play an important role in the decarbonization of hard-to-abate industries including chemical manufacturing, steel production and power generation.
ONTRAS's comprehensive experience in transportation of gaseous energy will play a pivotal role in establishing a H2 pipeline network for Germany and Europe. As a combined approach, ONTRAS and the other German TSOs have proposed a H2 core network which will provide the necessary infrastructure for the efficient transportation of H2 within and through Germany. ONTRAS is currently repurposing Germany’s first pipeline for the transport of green H2. This involves analyzing the pipeline network for suitability, planning new sections or repurposing existing ones, and coordinating with other operators to establish a comprehensive H2 backbone.
ONTRAS and H2 Energy Europe will determine the technical and commercial transport requirements, as well as potential exit points within the new H2 network. Additionally, both companies will prioritize stringent security measures to ensure the safe and reliable long-term supply of H2, adhering to the industry standards and regulatory requirements. Once these system requirements have been defined, the goal will be for the two companies to enter into a long-term capacity contract.
“This agreement perfectly symbolizes our dedication to creating a comprehensive H2 backbone on a European level. Hard-to-abate industries will be able to substantially reduce their carbon emissions using renewable H2 delivered to them through our network from sources such as this ambitious project in Denmark,” said Ralph Bahke, ONTRAS Managing Director Controlling and Development.
Cyril Cabanes, CEO of H2 Energy Europe, said, "Our collaboration with ONTRAS should enable us to expand the H2 infrastructure essential for meeting the growing demand for sustainable energy solutions by industry. By linking our planned 1-GW green H2 production project in Denmark with ONTRAS’s robust gas transport network in Germany we plan to contribute to the development of an integrated, reliable H2 economy that spans across Europe."
This strategic initiative aligns with Germany's national goals of establishing a resilient H2 infrastructure that integrates sources of domestic and international production. According to the H2 import strategy published by the Federal Ministry for Economic Affairs and Climate Action in July, the Federal Government of Germany anticipates a significant rise in H2 demand by 2030, estimating demand to reach 95 TWh/yr−130 TWh/yr, with 50%−70% of supply expected to be met through imports. The agreement between ONTRAS and H2 Energy Europe supports these objectives by enabling H2 imports via cost efficient pipelines from Denmark to Germany.
ONTRAS is part of the EHB initiative which consists of a group of thirty-three energy infrastructure operators, united through a shared vision of a climate-neutral Europe enabled by a thriving renewable and low-carbon H2 market. The EHB initiative aims to accelerate Europe’s decarbonization journey by defining the critical role of H2 infrastructure – based on existing and new pipelines – in enabling the development of a competitive, liquid, pan-European renewable and low-carbon H2 market. Furthermore, ONTRAS, together with five further European TSOs, is part of the Nordic-Baltic H2 Corridor (NBHC) which aims to transport renewable H2 from production sites in Finland through the Baltics, Poland and Germany to the respective industrial customers.