The Hydrogen Stream: Germany expands global hydrogen alliances

Germany advanced its hydrogen ambitions this week with a fresh call for the International Green Hydrogen Promotion Program in Latin America, a collaborative deal with the UK government, and a tie-up between DHL and Sasol for sustainable aviation fuels based on green hydrogen (eSAF).

Image: US Department of Energy

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UK Minister for Energy Efficiency and Green Finance Lord Callanan and German State Secretary for Energy Philip Nimmermann signed a joint declaration of intent in Berlin this week to bolster the international hydrogen market and expedite the integration of low-carbon hydrogen into their respective energy portfolios. The agreement requires the two nations to collaborate on safety, regulatory measures, and market analysis to facilitate government and industry planning and investments.

GIZ, the German development agency, has launched the International Green Hydrogen Promotion Program (H2Uppp) on behalf of the German Ministry of Economics and Climate Protection (BMWK). The program aims to bolster green hydrogen projects and their value chains in Chile, Argentina, Colombia, Uruguay, Mexico, and Brazil. The funding for the projects ranges from €50,000 ($52.874) to €2 million, with a requirement that the private sector contributes at least 50% of the contract. Eligibility criteria include the lead applicant company being based in the European Union and having a minimum of three years in existence. The call for proposals remains open until the end of the year.

DHL, HH2E, and Sasol have signed an agreement to set up a collaborative project focused on building potential production capacities for sustainable aviation fuels derived from green hydrogen (eSAF). The project will be built in an undisclosed location in eastern Germany to serve various airports, including Leipzig/Halle. The initial plan foresees a production volume of at least 200,000 tons of eSAF per year, with the potential to scale up to 500,000 tons annually. This scaled production is expected to lead to a reduction of 632,000 tons of CO2 emissions yearly. Airbus is also expected to join the consortium at a later stage.

Tata Motors has supplied two 12-meter-long hydrogen fuel cell-powered (FCEV) buses to Indian Oil Corp., the largest petroleum company in India. These deliveries are part of Indian Oil's ongoing trials of 15 buses powered by green hydrogen across Delhi, Haryana, and Uttar Pradesh.

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Mauritania could be in an advantageous position to export hydrogen to international markets, potentially surpassing countries such as Morocco and Egypt in this regard, according to Michaël Tanchum, a non-resident fellow at the Middle East Institute. Mauritania's smaller population, vast coverage by the Sahara Desert with abundant direct normal irradiation (DNI) levels, and rich wind energy resources contribute to its favorable position. Additionally, being the only Sahel nation with a coastline allows Mauritania to facilitate off-take for export markets.

Galp has made a final investment decision on two large-scale projects to reduce the carbon footprint of the Sines refinery, including a 100 MW of electrolyzers for up to 15 ktpa of green hydrogen production. The unit, for a total investment of €250 million, is expected to have its first start up in 2025. The electrolyzers will be supplied by renewable power, originating from long-term supply agreements. Plug Power was awarded the order for the 100 MW proton exchange membrane (PEM) electrolyzers, while Technip Energies will be the main EPCM provider.

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