(Berlin) - The Federal Cabinet has decided on a regulatory framework for the ramp-up of a hydrogen network. This would allow additional hydrogen consumers and producers as well as storage facilities to be integrated across the board. This is the “foundation stone for the hydrogen future,” said Economics Minister Robert Habeck.
Map of the planned hydrogen core network. © FNB
The resolution to amend the Energy Industry Act (EnWG) also regulates the financing of the hydrogen core network, on the basis of which a private sector ramp-up can take place. According to Habeck, this gives the “economy planning security for investments in the decarbonization of company and production processes”. According to the Ministry of Economic Affairs, the core network should be financed “in principle entirely through network fees” and thus built up privately. The fees will be capped to prevent very high fees from hindering the hydrogen ramp-up in the first few years.
Network development plan every two years
The future core network operators will be granted “a risk-appropriate interest rate and subsidiary risk insurance from the federal government, taking into account a deductible”. By “shifting fees” over time, later users would bear the costs of setting up the network.
With the new regulations in the EnWG, a network development plan for gas and hydrogen should be approved by the Federal Network Agency for the first time in 2026. In the future, transmission system operators and regulated operators of hydrogen transport networks will create a framework for this every two years.
Network planned with 9.700 kilometers
According to the Association of Transmission System Operators Gas eV (FNB Gas), the draft application for the hydrogen core network was submitted in parallel to the Federal Network Agency and the Federal Ministry for Economic Affairs and Climate Protection. The total length is therefore around 9.700 kilometers. Of this, 710 kilometers are attributable to lines from 17 other potential hydrogen network operators, which commented on the initial planning status in early summer.
At that time, the line length was around 11.200 kilometers. But he had FNB emphasized in July that this was not “the final draft”. The route variants were still being evaluated and optimized. The association assumed that the core network would “be smaller after optimization”.
Around 60 percent of the network now consists of converted natural gas pipelines, the remaining 40 percent are being newly built. The investment costs amount to 19,8 billion euros. The entry capacity is around 100 gigawatts and the exit capacity is 87 gigawatts. The draft meets the goals anchored in the EnWG amendment of a “Germany-wide, expandable, efficient and quickly realizable hydrogen network by the target year 2032,” said FNB Gas managing director Barbara Fischer. “This puts Germany at the forefront in Europe when it comes to building infrastructure.”
Construction is scheduled to start in 2024
The Federal Network Agency is now examining the draft application and starting a general consultation. Associations and actors have until January 8, 2024 to comment. After the amendment to the EnWG comes into force, the network operators are expected to officially submit the final joint application in the first quarter of 2024, which will then be consulted, examined and approved again by the Federal Network Agency. The construction of the core network should begin next year.
According to the Federal Ministry of Economics, the draft application represents the first stage of the network ramp-up. The core network is the prerequisite for converting large combined heat and power plants and gas power plants to hydrogen or replacing them with new hydrogen power plants. It is also the basis for a European integrated network infrastructure.
The draft application is available as PDF (61 pages) on the FNB website. The association is an association of 15 companies.
Photos
Federal Minister of Economics Robert Habeck and Thomas Gößmann (right), CEO of FNB Gas, present the draft of the hydrogen core network. © BMWK / Susanne Eriksson
