Nine gas TSOs join forces for hydrogen infrastructure in Baltic Sea region

Nine gas transmission system operators (TSOs) from the Baltic Sea region have signed a memorandum of understanding (MoU) to coordinate and facilitate the region’s hydrogen transmission and storage infrastructure.

The MoU was signed by Poland’s GAZ-SYSTEM, Estonia’s Elering, Denmark’s Energinet, Finland’s Gasgrid, Lithuania’s Amber Grid, Sweden’s Nordion Energi, Germany’s GASCADE and ONTRANS, and Latvia’s Conexus Baltic Grid.

As part of the agreement, the TSOs will coordinate their efforts to develop new hydrogen pipeline infrastructure and unlock the potential of hydrogen production, leveraging renewable energy potential in the Baltic Sea region.

This region may provide up to 45% of the clean hydrogen production by 2030 as outlined in the European Commission’s communication on REPowerEU plan. In particular, the Baltic Sea region holds substantial potential for onshore and offshore wind energy which could be used for hydrogen production and thus contribute to accelerating the up-take of a hydrogen market.

The MoU will also see the signatories share information about the developments in the hydrogen market and projects related to renewable hydrogen production and demand. Additionally, the operators plan to collaborate with European and national institutions as well as market participants, including under the umbrella of the EU’s Baltic Energy Market Interconnection Plan (BEMIP) initiative.

“The Baltic Sea offers great potential for industrial-scale production of renewable hydrogen, thus providing the security of supply of this energy carrier to the regional markets striving to become carbon neutral. GAZ-SYSTEM, together with fellow gas transmission system operators, stands ready to contribute to this process by coordinating hydrogen infrastructure development and sharing best practices with the Memorandum signatories,” said Sławomir Hinc, President of GAZ-SYSTEM Management Board.

Through this MoU, the operators also pledge their support and contribution to the Marienborg declaration signed by the prime ministers of the Baltic Sea countries in 2022. The declaration aims to explore joint cross-border renewable energy projects and identify infrastructure needs in the Baltic Sea region.

In addition, by joining forces, gas TSOs wish to facilitate the creation of a competitive and liquid hydrogen market underpinned by numerous suppliers and users of hydrogen in the region.

Hydrogen infrastructure projects in the Baltic Sea region also include the Nordic-Baltic Hydrogen Corridor, a hydrogen supply infrastructure from Finland through Estonia, Latvia, Lithuania, and Poland to Germany which aims to connect the green energy production regions in Northern Europe with the main consumption centers in Central Europe.

Other examples include the BalticSeaH2 project, a large-scale cross-border hydrogen valley gathering 40 partners from nine Baltic Sea region countries, with production potential for hydrogen to reach 100,000 tonnes annually, as well as Baltic Sea Hydrogen Collector and Nordic Hydrogen Route.