Denmark's Hydrogen Pipeline to Germany Postponed

The Danish government announced on Tuesday that the commissioning of a green hydrogen pipeline to Germany is now set for 2031, three years later than initially planned.

Timeline Adjustments

In collaboration with local transmission system operator Energinet, Denmark had been aiming to expedite the commissioning timeline to 2031, a year earlier than Energinet's latest plan. This information was shared in a statement from the Danish Ministry of Climate, Energy, and Utilities. Energinet and Gasunie have been jointly developing the Danish-German hydrogen network under a cooperation agreement. The original plans proposed a cross-border transmission connection between Denmark and Germany that would facilitate the transport of green hydrogen from 2028.

Updated Schedule

However, after the conclusion of Energinet's market dialogue on the hydrogen infrastructure, the booking requirement was recalculated, leading to an updated schedule. The operator noted that several activities on the critical path turned out to be more extensive and time-consuming than initially expected. As a result, Energinet now estimates that the 'Lower T' can be commissioned by the end of 2031 at the earliest. The interconnections to Holstebro and Lille Torup are expected to be commissioned by the end of 2032 and 2033, respectively.

Government Support

Denmark's Minister for Climate, Energy and Utilities, Lars Aagaard, stated that the government is still prepared to provide state co-financing if the industry commits to booking capacity in the pipeline. The Danish Government also announced that it would implement measures to support the potential commissioning of the first part of the hydrogen backbone in 2031.

Challenges for Green Hydrogen

Green hydrogen has faced several obstacles in Europe recently, primarily due to a lack of customers. Shell and Equinor recently abandoned plans for low-carbon hydrogen production and transportation in northern Europe due to insufficient demand. The International Energy Agency (IEA) reported last week that uncertainty around demand and incentives, along with cost pressures, are hindering the global adoption of low-carbon hydrogen. This is despite an increase in final investment decisions over the past year.

Bottom Line

The delay in Denmark's hydrogen pipeline project highlights the challenges faced by the green hydrogen industry, particularly in terms of customer demand and cost pressures. However, with government support and industry commitment, it's possible that these obstacles can be overcome. What are your thoughts on this development? Do you think green hydrogen is a viable alternative energy source for the future? Share this article with your friends and let us know your views. Don't forget to sign up for the Daily Briefing, which is delivered every day at 6pm.