The Cabinet of Germany has updated its hydrogen strategy, initially defined for 2020. While it covers a number of points (production, transport, applications), what stands out is that Germany will have to import up to 70% of its hydrogen demand if it hopes to be carbon-neutral in 2045.

Germany is giving priority to highly polluting industrial sectors that cannot be electrified, such as steel and chemicals. But it also wants to decarbonise transport. To meet these needs, Berlin’s plan is to produce green hydrogen from solar and wind energy. And the country’s electrolysis capacity targets have been doubled from 5 gigawatts (GW) to 10 GW by 2030.

Germany’s strategy relies on hydrogen importations

However, Germany will need to import around 50-70% of its hydrogen demand, amounting to between 95 and 130 TWh in 2030. The federal government is already focusing on international cooperation with countries such as Norway, Denmark, Austria, Italy, Canada and Namibia. It is also planning strategic partnerships with South and West Africa, as well as Australia.

“Instead of relying on domestic potential for the production of green hydrogen, the federal government’s strategy is primarily aimed at imports by ship,” Simone Peter, the head of Germany’s renewable energy association, said.

A long-term factor for the industry

As for the National Hydrogen Council (NWR), it has welcomed the update of the national strategy. “Hydrogen is of paramount importance in terms of industrial and technological policy,” emphasised the chair of this expert committee, Katherina Reiche. “It is only with hydrogen that we can preserve value chains and ensure that key industries remain in Germany.” For the record, the National Hydrogen Council advises the federal government on hydrogen issues. It is currently made up of 25 experts from business, science and civil society. Its chairwoman is a director of Westenergie, an energy services company belonging to the Eon group.

It should be noted that the development of the German strategy, as well as the realignment of roadmaps (France, Switzerland, etc.), will be the subject of a panel discussion at the opening plenary session of the Hydrogen Business for Climate forum on 3 October.

Do you want to learn more about Germany and its hydrogen strategy? Then our latest 2 articles on the subject should interest you. You can read them here and there. 

Article written by Laurent Meillaud and translated by Logan King