Welcome to the September edition of Work In Process – Coalesce Management Consulting’s monthly look at the latest developments in the European Process Manufacturing industry, brought to you by our sector experts.
This month we’re focusing on the hydrogen industry with a roundup of stories including:
- The European Commission’s €5.4bn hydrogen project, featuring Alstom, Daimler, Ansaldo, Bosch and Enel.
- Shell’s FID on Holland Hydrogen I
- A series of groundbreaking Hydrogen projects on the Iberian Coast
- The launch of a Hydrogen alliance between Canada and Germany
Watch the video below to hear from Consultant Services Associate, Cain van Heyningen, or read on for all the stories you need to know this September:
According to Deloitte’s latest hydrogen economy outlook report, nearly half a trillion euros are needed to kickstart the hydrogen economy. Clean hydrogen presents tremendous opportunities for investors, but technological and regulatory uncertainty presents a challenge.
Therefore it stated that an investment of €490 bn will be required to achieve the 168 GW of projected capacity, producing 20.3 MtH2 /year.
If there is a future for hydrogen, these are the projects that will be leading the drive towards these goals.
41 projects approved for €5.4bn EU hydrogen scheme
In a strong commitment to the hydrogen economy, the European Commission made a ground-breaking announcement this summer when it approved a €5.4bn hydrogen project jointly funded by a total of 15 EU countries and 35 companies. Seeking to gain the edge in this innovative sector, this project includes companies like Alstom, Daimler, Ansaldo, Bosch, and Enel.
The group will take part in 41 projects in the hydrogen scheme focusing on generation of hydrogen, fuel cells, storage, transportation and distribution of hydrogen and end-users applications, particularly in the mobility sector.
At a recent press conference, the Commission’s Vice-President Margrethe Vestager told, "Russia's unprovoked and unjustified military aggression against Ukraine has only underlined the need for Europe to diversify its energy sources and fast-forward the green transition,"
Shell announces FID of Holland Hydrogen I
The next story is about Shell’s announcement of its final investment decision to build Holland Hydrogen I. Once the plant becomes operational in 2025, it will be Europe’s largest renewable hydrogen plant.
Holland Hydrogen I will use a 200MW alkaline electrolyser supplied by Thyssenkrupp and will be powered by the yet-to-be-built 759MW Hollandse Kust Noord offshore wind farm in the Dutch North Sea. The 200MW electrolyser will produce up to 60,000 kilograms of renewable hydrogen per day.
Shell’s Executive Vice President of Emerging Energy Solutions at Anna Mascolo, Shell confirmed that “Renewable hydrogen will play a pivotal role in the energy system of the future and this project is an important step in helping hydrogen fulfil that potential.”
The Iberian Peninsular To Become Hydrogen Hub
There’s been a series of announcements within the Iberian Peninsular recently, so we’ve rounded up all the biggest stories from the region here.
Iberia is looking to develop itself into one of Europe’s most important green hydrogen hubs. Portugal and Spain are expected to be able to produce green hydrogen more affordably than other parts of Europe. Geological advantages such as high solar irradiation and relatively strong winds allow for these countries to gain this competitive advantage.
An example of an initiative is the 500MW green hydrogen project at the Portuguese port of Sines (€1bn). This project is led by Denmark’s Copenhagen Infrastructure Partners and is due to be completed in 2025.
Another significant investment 2GW SHYNE project in northern Spain, a consortium led by Repsol who will invest a total €3.23bn The first 500MW of the is also scheduled to be finished in 2025.
Next, the construction of the first 500MW of the 2GW Project Catalina in northeast Spain is due to begin next year. Initiated by CIP and Vestas, this investment will be powered by 1.7GW of wind and solar energy.
And then lastly for the Iberia region, production is also scheduled to begin at the 7.4GW HyDeal España project by the end of 2025.
Launch Of The German-Canadian Hydrogen Alliance
Our last story to share is the new “hydrogen alliance” between Canada and Germany. A recently announced export agreement between Canada and Germany offers Canada an opportunity to export hydrogen to Europe. The Hydrogen Alliance proposes a “transatlantic Canada-Germany supply corridor” to start exporting hydrogen by 2025. With the export of hydrogen from Western Canada. The exportation could be initiated even sooner
The supply chain proposal is to ship ammonia7 from Alberta to Europe in specifically-designed ammonia freight containers via the Port of Churchill in Manitoba. Ammonia containers shipped from Alberta would connect with the Hudson Bay Railway for delivery to a container terminal located at Churchill. From there, the ammonia could be delivered directly in a container ship to Europe or proceed via a feeder service to Halifax to be loaded onto larger container ships to cross the Atlantic Ocean.
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