Germany will play a leading role in the hydrogen economy in the coming years – but domestic demand will far exceed its own production capacity. This means that, in addition to hydrogen production in Germany, we will also rely on significant imports to supply industry with renewable and decarbonized hydrogen and to sustainably transform the energy supply.

A large proportion of the hydrogen of the future will come from neighboring European countries and global partners. Large-scale pipeline projects to transport hydrogen to Germany are already underway. For example, the H₂Med project will connect Spain and France with Germany in the future. It is expected that up to two million tons of hydrogen per year can be imported from southern Europe. From North Africa via Italy to Central Europe, up to four million tons of hydrogen per year are expected to come via the SouthH₂ Corridor in the future.

In addition to these European import routes, hydrogen will also come to Germany from overseas. In the future, hydrogen-based energy carriers such as ammonia or synthetic fuels will also be imported by ship via existing and planned LNG terminals on the coasts to meet growing demand.

Establishing these international hydrogen partnerships is crucial to establishing Germany as a leading hydrogen nation – with a secure, diversified and sustainable supply.

A highly efficient transport and distribution grid is needed to make hydrogen widely available for industry, mobility and energy supply. The Federal Network Agency has approved the hydrogen core grid proposed by the transmission system operators. It comprises 9,040 kilometers of pipeline, which is to be put into operation in stages by 2032.

60 percent of the core grid will consist of converted natural gas pipelines, while 40 percent will have to be newly constructed. The estimated investment costs amount to 18.9 billion euros. This core grid forms the basis for a secure hydrogen supply in Germany and ensures a direct connection to the European import corridors.

The majority of commercial and industrial customers will be supplied with hydrogen via the distribution grid, along with many public and combined heat and power plants. The existing gas distribution network, which is over 550,000 kilometers long, is already largely “H₂-ready” and can be converted to operate with hydrogen.

In addition to the pipeline infrastructure, hydrogen storage facilities play a crucial role. In salt caverns – for example in Lower Saxony, North Rhine-Westphalia and Saxony-Anhalt – hydrogen is stored in large quantities. These storage facilities make it possible to balance supply and demand and ensure a secure supply even in the event of production or transport bottlenecks.

Germany needs an innovative, technologically advanced and CO₂-neutral industry that can continue to compete economically on the global market in the future. The use of hydrogen offers the industry enormous potential for reducing CO₂ in its energy-intensive processes.

Today, 1.8 million commercial and industrial customers are connected to the gas distribution grid – an existing infrastructure that can play a crucial role in the future supply of climate-friendly hydrogen.

Hydrogen is a crucial building block for the decarbonization of industry – especially in sectors where direct electrification is technically or economically difficult to implement. Above all, energy-intensive industries depend on hydrogen as a climate-friendly energy source:

• Steel industry: Traditionally, steel is produced using carbon-intensive coke. Hydrogen can be used here as a reducing agent in the direct reduction of iron ore, thus reducing CO₂ emissions by up to 95 percent. In Germany, the first pilot projects to produce climate-neutral “green steel” are already underway.

• Chemical industry: Many chemical processes, in particular the production of ammonia and methanol, require large quantities of hydrogen. Currently, this mostly comes from fossil sources (gray hydrogen). By using green hydrogen, the industry can significantly contribute to reducing emissions.

• Cement and glass production: In high-temperature processes where temperatures of over 1,000 °C are required, hydrogen can replace fossil fuels and thus reduce the carbon footprint.

• Refineries: Refineries already use large quantities of hydrogen to desulphurize fuels. Switching to green hydrogen can achieve a direct and rapid reduction in emissions here.

• Heavy goods vehicles and shipping: While passenger cars are increasingly being electrified, hydrogen is a promising solution for long-haul heavy goods vehicles, freight transport by rail and shipping – particularly in the form of hydrogen derivatives such as ammonia or synthetic fuels.

• Power plants: To ensure a secure and climate-neutral energy supply, hydrogen-capable power plants will play a crucial role in the future. These power plants can react flexibly to renewable energies by operating with hydrogen in times of low electricity generation from wind and solar energy. In this way, they make an important contribution to grid stability and ensure a reliable electricity supply, especially in times of fluctuating renewable energy production.

With the increasing availability of hydrogen, these industries, as well as the energy industry, can drastically reduce their CO₂ emissions without having to fundamentally change their core processes.