When compared to the alternative of developing electricity infrastructure, a study produced by the European project Ready4H2 (Ready for Hydrogen), in which GGND (Galp Gás Natural Distribuiço) participates, estimates that investment in European gas distribution networks to receive and distribute hydrogen allows annual energy infrastructure savings of 41 billion euros.
This result shows “the significant beneficial influence that investment in existing gas networks will have on a worldwide solution for the energy transition,” according to a statement published by the GGND on Monday.
Ready4H2, an effort comprising over 90 gas distributors from 17 European nations, conducted research that compared the investment required for present gas networks to collect and deliver hydrogen to the growth of electrical infrastructure between 2031 and 2050.
“In a decarbonization scenario that includes considerable amounts of hydrogen and green methane, the first option is expected to cost around a third less than the alternative, resulting in an average yearly savings of 41 billion euros.” As a result of the local gas grid’s role in facilitating a competitive hydrogen market, customers will have access to more hydrogen at a cheaper cost.
According to the GGND, a research by the business AFRY, ordered by the Portuguese Association of Natural Gas Companies (AGN), was completed in March 2020 with the assistance of GGND (Galp Gás Natural Distribuiço) and REN/Portgás, and came to a similar result for the Portuguese reality. “It was discovered that the path of total electrification would cost the national economy an additional 9 billion euros,” he says, adding that the same study “refers that the path of decarbonization of the Portuguese energy system by 2050 must be done through the use of ‘zero-carbon gases’ and the resulting use of gas infrastructure.”
The company, which manages natural gas distribution in nine Portuguese regional concessions, also emphasizes that gas distribution networks in Portugal and throughout Europe are ready for hydrogen conversion, “representing a flexible and low-cost way to carbon neutrality, while responding to the challenges of the future energy system.”
In December 2021, the first Ready4H2 research determined that the great majority (96 percent) of European gas distribution pipes, which service 67 million households, companies, and industries, can now carry hydrogen.
Energy storage and management that is efficient
The gas infrastructure “is essential to ensure a safe and reliable energy supply in periods of adverse weather conditions, such as the absence of wind or cloudiness, which affect the distribution of renewable energy sources, such as solar and wind power,” according to the second report released by Ready4H2.
According to the GGND, “large-scale underground storage facilities coupled to hydrogen networks provide a quick and long-term storage capacity, ensuring energy supply continuity.”