Northern Netherlands Unveils €8 Billion Hydrogen Investment Plan
Eemshaven, Tuesday, 1 October 2024.
HyNorth’s 2024 Investment Plan for Northern Netherlands targets €8 billion in hydrogen projects by 2030. Eemshaven emerges as the epicenter, with five major projects accounting for 85% of planned production capacity. This ambitious initiative aims to establish the region as a leading international hydrogen ecosystem, aligning with national and European renewable energy goals.
Eemshaven Leading the Charge
Eemshaven stands out as the focal point of HyNorth’s 2024 Investment Plan, with the largest share of hydrogen projects. Among the key projects are Eemshydrogen, HyNetherlands, NorthH2, and H2M, which collectively represent 85% of the planned hydrogen production capacity. This concentrated effort underscores the region’s potential to become a cornerstone of Europe’s renewable energy landscape.
Financial Commitments and Project Phases
The plan outlines a total investment of over €8 billion projected by 2030, with nearly 90% of the projects currently in the concept or investment decision phase. This significant financial commitment highlights the confidence in the region’s capacity to deliver on these ambitious projects. Furthermore, the Northern Netherlands has been allocated 47% of the national Just Transition Fund budget, further emphasizing the strategic importance of this region in the national renewable energy strategy.
Support from National and European Initiatives
The IP2024 was established with the support of the National Program Groningen, showcasing a collaborative effort to drive the hydrogen ecosystem forward. Additionally, four projects in the Northern Netherlands have received nearly €250 million from the Operational Programme for the Environment (OWE) subsidy, which includes H2 Hollandia, Groengas Asset, RWE Eemshydrogen, and VoltH2. This financial backing from both national and European sources is crucial for the swift development and implementation of these projects.
Broader Regional Impact
In addition to the major projects, the investment plan includes 16 smaller projects with a planned electrolysis capacity of over 900 MWe. These projects, although smaller in scale, are vital for achieving a comprehensive hydrogen ecosystem in the region. The Northern Netherlands’ unique regional advantages, such as the presence of seaports, industrial clusters, offshore wind potential, and proximity to national energy infrastructure, further bolster the region’s suitability for hydrogen development.
Challenges and Future Prospects
Despite the ambitious plans, the cost estimates for green hydrogen production in the Netherlands have risen significantly since 2020, making it imperative to achieve short-term cost advantages. However, the continuous growth of the project pipeline indicates sustained ambition and investment willingness. Importing green and low-carbon hydrogen, as well as the production of blue hydrogen, are increasingly viewed as viable alternatives to meet the region’s energy needs.
Strategic Vision and Long-Term Goals
René Schutte, Director of HyNorth, emphasized the strategic vision for the Northern Netherlands, stating, ‘Northern Netherlands has everything to become a fully-fledged international hydrogen ecosystem.’ The investment plan not only aims to contribute to national and European renewable energy objectives but also positions the Northern Netherlands as a leader in the global energy transition. With the support of both local and international stakeholders, the region is set to play a pivotal role in the future of sustainable energy.