German government plans to build a hydrogen core network of 9,700 kilometers

The German Federal Ministry of Economy and Climate Protection said on the 14th that the German government is promoting the hydrogen pipeline network planning. Robert Habeck, Minister of the German Federal Ministry of Economy and Climate Protection, announced at the plan promotion meeting that by 2032, Germany will build a hydrogen energy core network of 9,700 kilometers. The network will connect ports, industrial centers, storage facilities and power plants. The government wants to pay 19.8 billion euros in advance.

The German Association of Transmission System Operators (FNB) said the construction cost would be 19.8 billion euros. The network does not need to be built from scratch. Sixty percent of the existing gas pipelines can be utilized. FNB Chairman Thomas Gmann said the first hydrogen will start flowing in 2025. "We know the clock is ticking. Excavators must start next year."

Habeck said the next step is to plan further connections. The grid originally planned was too large, with 270 terawatt hours of on-grid power. Demand in 2030 is currently expected to be between 95 and 130 TWH. "It means we are planning for the future."

In the long term, Habeck expects Germany to produce 30 to 50 percent of its own hydrogen energy needs. The remaining hydrogen must be imported by pipeline or by ship in the form of ammonia.

Germany's federal cabinet hopes to make a legislative decision on the financing of the core network as early as Wednesday. As with gas and electricity, these pipeline lines will be financed by the private sector and ultimately paid by the user. However, due to the relatively low initial demand, the state intends to advance payments over the next few years to promote the development of a hydrogen economy. And given the increasing use of the Internet, the German government assumes that it will break even by 2055 at the latest. If there is still a shortfall by then, pipeline operators will have to pay 24 percent of it, according to the draft.