A significant bill is currently under discussion in the Belgian Federal Parliament, specifically in the House of Representatives. The bill aims to establish a regulatory framework for the transport of hydrogen through pipelines in Belgium.
This move is part of the government’s broader strategy to position Belgium as a hub for renewable molecules and strengthen its leadership in hydrogen technologies. In this article, we will explore the goals, technology, potential impact, and challenges surrounding this proposed legislation.
Belgium has recognized the importance of hydrogen as an energy source and has set specific objectives to harness its potential. These objectives include positioning Belgium as a hub for importing and transit of renewable molecules in Europe, strengthening leadership in hydrogen technologies, establishing a robust hydrogen market, and promoting international cooperation.
Despite the attention given to hydrogen, the regulation surrounding its transportation remains fragmented in Belgium. Unlike the well-established regulations in the gas and electricity markets, hydrogen lacks a comprehensive regulatory framework. The proposed bill aims to address this gap by introducing regulations specific to the transport of hydrogen through pipelines.
The bill outlines several key provisions that will shape the regulatory framework for hydrogen transportation in Belgium. These provisions include the appointment of a hydrogen transport network operator, guaranteeing free and non-discriminatory access to the network at regulated tariffs, development of a network development plan and investment planning, and ensuring the quality of the transported hydrogen.
To ensure fairness and prevent discrimination, the hydrogen transmission system operator must adhere to strict unbundling conditions. This includes vertical unbundling, where the operator cannot be involved in the production or supply of hydrogen, natural gas, biogas, biomethane, synthetic methane, or electricity. Horizontal unbundling requires that the operator’s ownership of storage infrastructures and terminals should be separate from the hydrogen transport activities.
The bill also includes transitional measures to accommodate existing hydrogen transport pipelines in Belgium. The current operators of these pipelines can continue their operations under their existing contracts but are required to facilitate interconnection with the network of the hydrogen transmission system operator. The aim is to promote seamless integration and avoid hindering the development of the operator’s network.
The Commission de Régulation de l’Electricité et du Gaz (CREG) will be responsible for monitoring and regulating the hydrogen market, similar to its role in the natural gas and electricity markets. The CREG will have the power to adopt binding decisions, subject to the jurisdictional control of the Market Court.
The draft bill is currently being discussed in the Federal Parliament, and its adoption was scheduled for June 8, 2023. However, the item has been referred to the competent commission for further deliberation. Additionally, the bill will be supplemented by royal decrees and ministerial orders to allow flexibility and ensure the regulatory framework can adapt to the evolving hydrogen market.
