Engie has decided to cancel its ambitious green hydrogen-to-synthetic methane project in Belgium. This decision stems from concerns about the project’s viability and financial sustainability.

The project initially aimed to create synthetic methane by using green hydrogen. Green hydrogen is produced through electrolysis powered by renewable energy, making it an attractive alternative fuel source. The synthetic methane was intended to be used to reduce carbon emissions in energy-intensive industries, as it still burns cleaner than fossil fuels.

Engie had planned to build a facility in Belgium where renewable energy would be utilized to produce green hydrogen. This hydrogen would then be combined with carbon dioxide to create synthetic methane. By capturing CO2 in the process, the project promised a more sustainable energy solution.

However, Engie has now scrapped the project. The company raised concerns about the project’s economic feasibility, particularly the costs involved in producing synthetic methane compared to other alternatives. This cost factor played a significant role in the decision to abandon the project.