Market dialogue showed broad interest in hydrogen infrastructure

In collaboration with the Danish Energy Agency, Energinet has been in dialogue with a total of 19 market players from Denmark and abroad, who have all expressed interest in Danish hydrogen infrastructure. The dialogue has provided more clarity on e.g. the value of hydrogen infrastructure for market participants as well as the timing for establishing the infrastructure.

In order to meet the growing interest in hydrogen infrastructure among PtX-project developers, Energinet and the Danish Energy Agency launched in July 2021 a systematic process for collecting data to shed light on the need for hydrogen infrastructure. There has subsequently been dialogue with developers behind the reported projects. Here developers have elaborated on the value creation of hydrogen infrastructure structure in relation to their specific projects, and given perspectives in relation to when the need arises. All expressions of interest are non-binding and are treated anonymously in the reporting.

Developers indicate a need - also in the short term
Developers have made it clear that hydrogen infrastructure can create significant value for their projects in the form of flexibility from storage as well as the opportunity to sell hydrogen in larger markets - especially the potential for selling Danish hydrogen on the German market. In several projects it is assumed that they will initially be able to do without hydrogen infrastructure, but that it will later be necessary for a full commercial scaling. The majority of developers see this need arise already by 2030.

However, the majority of projects in the market dialogue are at an early stage, where clarifications on key technological and market issues are lacking. Consequenlt, this report does not conclude anything concrete in relation to future hydrogen infrastructure needs. However, as most of the projects are placed in Jutland, it is here that the greatest need for hydrogen infrastructure is seen in the short term.

The Danish Energy Agency includes the input provided as a background in the current work on national energy strategies, while Energinet incorporates knowledge from the market dialogue in future analysis and planning work.

The full report: Market Dialogue about hydrogen infrastructure.

If you have questions about the market dialogue, you can contact Michael Linnemann Pedersen, Tine Lindgreen or Nicolai Sørensen.