Page 5 - EurOil Week 16 2022

EurOil COMMENTARY EurOil

projects that moving hydrogen will cost €0.11- and Ukraine. This corridor would comprise
0.21 per kg per 1,000 km, which its supporters mainly repurposed pipelines, reducing costs,
believe will make EHB “the most cost-effective although EHB’s supporters caution that future
option for large-scale, long-distance hydrogen gas supply in the region is uncertain, and this will
transport.” With the initiative’s ambitions now have an impact on how the corridor takes shape.
greater, however, its participants now provide The EHB corridors would likely receive
a higher estimate for transporting hydrogen via hydrogen both via pipelines and ship import ter-
subsea pipelines of €0.17-€0.32 per kg per 1,000 minals, the initiative’s supporters say, depending
km. on which option is most viable.
EHB’s participants note that operating costs
for the network vary a lot depending on pipe- Beyond 2030
line sizes and designs, as well as the distance that Over the next decade, EHB will primarily serve
the hydrogen is transported. Meanwhile, exact hydrogen to industries, particularly those that
investment costs are hard to discern because are energy-intensive and difficult to decarbon-
there is a lot of uncertainty and variability about ise. But after 2030, the initiative is expected to
compression system designs and costs. supply hydrogen to other sectors looking to curb
their emissions as well, such as heavy transport,
Europe’s hydrogen corridors e-fuel production, construction, long-duration
In its latest guise, EHB now comprises five main energy storage and dispatchable power genera-
corridors for moving imported and Europe- tion, under the latest plan.
an-produced hydrogen to demand centres. First Beyond the five initial corridors, the initia-
there is the North Africa-Italy corridor, which tive also envisages hydrogen being sought from
would pump hydrogen from sun-drenched producers that are further afield, citing Namibia,
Tunisia and Algeria via Italy to Central Europe, Chile, Australia and the Middle East as examples.
utilising existing pipelines in Italy, Austria, “By connecting hydrogen producers with
Slovakia and the Czech Republic. The second, offtakers, this physical European hydrogen
Southwest corridor, would deliver renewa- network could enable the creation of a liquid
bles-produced hydrogen on the Iberian Penin- pan-European hydrogen market, thereby accel-
sula and dispatch it to France and onwards to erating deployment of renewables, fostering
western Germany. market competition and revitalising Europe’s
Third, there is the North Sea corridor, which decarbonised industrial sector,” the EHB paper
would build on the Netherlands’ existing plans states.
for a network connecting hydrogen-importing Critically, hydrogen will support increased
ports with industry centres. Under EHB, this renewables deployment and electrification,
network would also link with ports in Belgium while ensuring that a more decarbonised energy
and Germany that are also expected to bring the system remains both affordable and secure,
fuel ashore within the next decade. the initiative’s supporters state. As progress in
Fourth, EHB envisages the Nordic & Baltic innovating electric battery systems languishes,
corridor would carry hydrogen from the vast off- hydrogen has been touted as the best means of
shore wind farms in mind in north-east Europe. storing renewable energy, providing backup at
While the supply is there, this corridor would times when the sun does not shine and the wind
have to consist mainly of newbuild pipelines, the does not blow.
initiative’s proponents said, stressing the extra Its supporters also stress that EHB is not
need for funding access and speedy permitting. meant to be an end-goal for a European hydro-
The final, South-Eastern, corridor would gen network, but a milestone target. They envis-
hook up consumers in Central Europe with age further, significant growth in hydrogen usage
south-east European countries with significant after 2040, which will require an even bigger
renewables potential such as Greece, Romania transmission network. ™

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