The first approval of Germany's hydrogen core grid is now in place, and work on creating the infrastructure of the future can begin. The German Federal Network Agency has approved an application submitted in July 2024, ending the intensive planning phase and paving the way for the establishment of a network that will connect central hydrogen locations throughout Germany.
The core grid will consist of 9,040 kilometers of pipelines, of which 60 percent. of the pipes will be converted from natural gas. The remaining part will be built from scratch. In 2032, a capacity of 101 GW for import and 87 GW for withdrawal is expected.
- The grid sets a decisive signal for Germany's future. This is a prerequisite for hydrogen to be a success and for making the industry more competitive and climate-friendly, says German Minister for Economic Affairs and Climate Robert Habeck.
The infrastructure will be built gradually, and the first pipelines will be put into operation as early as next year. There will be 13 border crossings with neighboring countries such as the Netherlands, Belgium, France, Poland and the Czech Republic, as a large part of Germany's future hydrogen needs will be covered by imports. Investment in the network is expected to amount to 18.9 billion euros by 2032.
The financing of the pipelines will mainly come from private investors, and users of the network will pay for its operation through user fees. Since there will initially be relatively few customers, a coverage system has been introduced to ensure that lost income in the first years is offset by future profits. This is according to the Bundesnetzagentur.
This network is the starting point for a new infrastructure and a central element of Germany's energy transition. Germany is leading the way in Europe, and this sends an important signal to our neighboring countries, with whom we work closely, says Habeck.
Plans are also being made for an expansion of the network based on market developments. Until then, the costs in the early stages will be kept down for users through a coverage system that ensures that any lost revenue in the first years is compensated for later.
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