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green hydrogen

Germany’s Ambitious Hydrogen Network Faces Criticism

Arnes BiogradlijaBy Arnes Biogradlija08/03/20242 Mins Read
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Germany’s ambitious project to establish a hydrogen “core” network has sparked controversy among critics who argue that the proposed network is oversized and may lead to unnecessary costs.

The initiative, slated to start construction promptly and be completed by 2032, is facing scrutiny over concerns that the network’s capacity will far surpass the demand for hydrogen at that time. Benjamin Pfluger from the Fraunhofer Research Institution for Energy Infrastructures and Geothermal Systems IEG highlighted, “The infrastructure will be underutilized for a long time.” Additionally, key figures such as the managing director of the gas storage system association INES and politicians within the coalition government have voiced skepticism regarding the project’s scale.

The envisioned core network plays a pivotal role in Germany’s strategy to transition its industrial sectors towards climate neutrality. It aims to interconnect industrial hubs, coastal ingress points, prospective storage facilities, and hydrogen-based power plants. Repurposed natural gas pipelines will form a substantial portion of this network, facilitating both domestic distribution and the import of hydrogen from global sources. Initial estimates suggest that approximately 20 billion euros will be required to realize this infrastructure; however, negotiations regarding funding are still ongoing.

Energy assessments commissioned by the German Economy Ministry (BMWK) underscore the necessity for expanded hydrogen storage capacities to facilitate the integration of renewable energy sources such as solar power. In a recent development, the European Union approved 4.6 billion euros in state aid from Germany for hydrogen infrastructure projects as part of the Important Projects of Common European Interest (IPCEI) initiative.

The growing discourse surrounding Germany’s hydrogen network underscores the complexities involved in balancing infrastructure development with projected demand. While the project’s scale reflects the nation’s commitment to sustainable energy solutions, critical evaluations raise valid concerns regarding economic feasibility and optimization of resources in line with future requirements.

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