(Berlin, Germany) – The German Federal Cabinet has adopted the draft Hydrogen Acceleration Act (HydrogenBG). The aim, according to the draft, is to "significantly accelerate the market ramp-up of hydrogen" and to "contribute to Germany's transformation into a climate-neutral economy." Simplified approval procedures are intended to establish clear guidelines and deadlines, providing industry and the economy with a more reliable framework.
Expand infrastructure for imports
In addition, the draft proposes to advance the long-term transition to climate-neutral hydrogen, based on a growing share of renewable energies from domestic production and imports. The ramp-up requires "effective, coherent, and transparent framework conditions that optimally complement existing funding instruments." The focus is on simplifying and digitizing planning, approval, and procurement procedures, particularly for the production, storage, transport, and import of hydrogen. This will enable the national domestic infrastructure for imports of hydrogen and its derivatives to be expanded more quickly, less bureaucratically, more digitally, and more comprehensively.
Draft law also includes supply chain
The law also addresses the entire hydrogen supply chain: from production to import, storage, and transport. It specifies, among other things, onshore and offshore electrolyzers, import facilities for hydrogen and its derivatives, storage facilities, and pipelines. To decarbonize shipping and air transport in particular, it also covers facilities for the production of synthetic fuels.
In addition, the production of natural hydrogen will be simplified. This should facilitate its promotion and related projects to further improve the national hydrogen supply.
Investments in the public interest
Facilities and pipelines within the scope of the law are intended to be in the "overriding public interest." Thus, hydrogen projects are given "particular weight" in approval decisions. The interests of public water supply (especially drinking water protection) and water resources are safeguarded.
In a statement, Mahmut Özdemir, rapporteur for the SPD parliamentary group in the Bundestag, stated that it was “not a question of immediately using only green hydrogen,” but rather of pushing ahead with the ramp-up “pragmatically, safely and across sectors in order not to lose touch with international competition.”
BDEW demands financial reliability
According to the German Association of the Energy and Water Industries (BDEW), "a suitable proposal is now on the table to advance infrastructure and generation, at least procedurally." However, more is needed, the industry lobby demands: "It is crucial that the legislature also enshrines substantive legal simplifications – such as preferential planning law, clear guidelines on procurement law, and practical solutions for pipeline repairs," says Kerstin Andreae, Chair of the BDEW Executive Board. Only in this way can procedures be "significantly accelerated and investments secured."
At the same time, a reliable financial framework is also necessary: However, the current draft budget "sends a completely wrong signal with cuts in hydrogen funding," says Andreae. "The federal government must urgently take corrective action here to avoid jeopardizing planning security, investments, and the hydrogen ramp-up." Politicians must urgently and clearly commit to the hydrogen ramp-up, which must also be reflected in the budget.
The next steps will require the Bundesrat and Bundestag to consider the draft legislation. When this will happen has not yet been determined.
The draft of the “Law to Accelerate the Availability of Hydrogen and to Amend Other Legal Framework Conditions for the Hydrogen Ramp-Up and Other Energy Law Regulations” (Hydrogen Acceleration Act) is available as a PDF (55 pages).
Photos
The Federal Cabinet approves the draft Hydrogen Acceleration Act: Now the Bundesrat and Bundestag must address it. © German Bundestag / Simone M. Neumann
