WUN H2 GmbH wants legislation reform to allow direct use of green electricity

Everyone praises the alternative energy source as essential to a future with sustainable energy.

In Wunsiedel, one of the biggest German factories for the production of green hydrogen was established as soon as this was realized. But, the current economic strategy is under scrutiny. Reason: A cost-effective purchase of green electricity is impossible due to the national electricity price brake.

The idea was to sell the electricity generated by ZENOB’s solar and wind farms directly to WUN H2 GmbH, the company in charge of running the hydrogen system at the Wunsiedel energy park.

The issue is not the power price brake itself, but rather its financing structure. The federal government takes a cut of so-called chance profits in order to cover the subsidies for private homes and businesses. More specifically, the majority of the price differential between the market price and the sum of the manufacturing costs and the profit margin must be forfeited.

A wind farm may go into the red if it now sells power to the H2 plant for less than the going rate on the exchange. He generates more electricity than he makes from selling it to the state. A deal for the direct supply of power from ZukunftsEnergie Nordostbayern GmbH (ZENOB) to WUN H2 is now being prevented by this.

The Wunsiedel facility is anticipated to provide about 1,350 tons of hydrogen annually at the current level of expansion. Clients include businesses like glass and ceramics manufacturers, transportation providers, and even sawmills. Truck trailers are used to deliver goods to customers in northern Bavaria, Thuringia, western Bohemia, and southern Saxony, all of which are located less than 200 kilometers apart.

In addition to the hydrogen, waste heat and oxygen are produced. Also, when there is a shortage of electricity on the grid, the hydrogen used to produce electricity is to be burned in the combined heat and power facilities in the area. The local heating system receives the heat that results. The operator WUN H2 expects a very high total utilization rate of roughly 90 percent for its system – an exceptional number compared to previous systems, which can only be reached thanks to intelligent sector coupling.

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