Gasgrid Finland and Fingrid, the Finnish state-owned transmission system operators, have embarked on a joint project to investigate the potential of the hydrogen economy and its impact on Finland’s energy system.
The project, initiated in 2021, has produced three scenarios that analyze alternative paths for hydrogen production, consumption, and the role of energy transfer in facilitating its development.
In these scenarios, Finland is projected to become a significant producer of clean hydrogen and Power-to-X products. Hydrogen production is expected to become the largest consumer of electricity, while wind power will dominate electricity generation. Gasgrid envisions the construction of a hydrogen transmission network that would enable the export of clean hydrogen gas to Northern Sweden and/or Central Europe. Furthermore, Finland aims to increase its market share to over 10% of clean hydrogen production in the EU by 2030, aligning with the country’s government resolution.
Achieving Finland’s hydrogen targets will require substantial investments in both electricity and hydrogen networks. Streamlining permitting processes for transmission networks and garnering strong political and social support for projects are crucial factors, according to Mikko Heikkilä, Fingrid’s Head of Strategic Grid Planning.
The envisioned hydrogen network will connect producers and consumers not only within Finland but also across Europe, enhancing Finland’s pioneering role in the energy future and attracting industrial investments. Gasgrid Finland’s Senior Vice President of Hydrogen Development, Sara Kärki, highlights the company’s active involvement in the development of Finnish and pan-European hydrogen infrastructure and market through initiatives like the European Hydrogen Backbone (EHB) group, the Nordic Hydrogen Route project, the Baltic Sea Hydrogen Collector project, and the Nordic-Baltic Hydrogen Corridor project.
These efforts aim to create favorable conditions for industrial investments in Finland, particularly concerning the further processing of hydrogen. By positioning itself as a leading hydrogen producer, Finland can contribute to the decarbonization of the energy sector, bolster its energy security, and play a prominent role in the European hydrogen economy.
