The Norwegian nation introduced that it has scrapped its plans for exporting to Germany
Equinor has introduced that it not plans to export blue hydrogen to Germany as a result of the fee can be too excessive whereas the demand remains to be far too low to make the technique possible, in response to an organization spokesperson.
The plan was first put into place in January 2022
Equinor, from Norway, and RWE, from Germany, had signed a memorandum of understanding (MoE) in January 2022 with the intention of building a blue hydrogen provide chain that may provide energy crops in Germany because the nation aimed to decarbonize.
The technique concerned the manufacturing of H2 by using pure gasoline, whereas utilizing carbon seize and storage expertise to help mitigate the majority of the greenhouse gas emissions. The H2 can be produced in Norway after which exported to H2-ready gasoline energy crops in Germany. They’d use the primary offshore hydrogen pipeline to move the H2 from the place it was made to the place it might be used.
The fact across the worth and demand for blue hydrogen has modified
“The hydrogen pipeline hasn’t proved to be viable. That also implies that hydrogen production plans are also put aside,” stated Magnus Frantzen Eidsvold, spokesperson for Equinor, in a latest Reuters report. “We have decided to discontinue this early-phase project.”
The pipeline itself was not a part of RWE’s mission. As a substitute, it was one that may have drawn help from each international locations, stated a latest emailed assertion from the German firm.
In 2023, Anders Opedal, CEO of Equinor, stated that the complete provide chain’s price might require “tens of billion euros.” Simply the pipeline was anticipated to price round €3 billion (about US$3.35 billion).
The anticipated promise merely wasn’t there
Furthermore, in response to Eidsvold, Equinor wouldn’t be capable to proceed the evolution and maturation of the initiatives except European consumers had been prepared to decide to imports of the blue hydrogen.
“We are not able to make this kind of investments when we don’t have long-term agreements and the markets in place,” stated Eidsvold within the latest media report.
