Germany to grant EUR 250m to two hydrogen projects in Hamburg

Germany's federal government and the city of Hamburg will jointly contribute over EUR 250 million (USD 271.29m) to support two major hydrogen projects: the construction of a 100-MW electrolysis plant at a decommissioned power station and the establishment of a 40-km hydrogen distribution network.

About 70% of the financing will come from the federal government and the rest will be provided by Hamburg under the IPCEI Hy2Infra package that was approved by the European Commission (EC) earlier this month.

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The Hamburg Green Hydrogen Hub (HGHH) project, developed by Hamburger Energiewerke and Luxcara, aims to establish a hydrogen hub at the decommissioned Moorburg power station. Initially, the electrolysis plant will have a capacity of 100 MW, enabling the direct production of green hydrogen on-site to meet Hamburg's needs starting from 2026.

The dismantling of the power plant in Moorburg has already commenced, and certain components such as the water treatment, the 380 kV connection, and transformers will be repurposed and integrated into the new facility. In the future, the hydrogen hub has potential for expansion, with an expected additional 700 MW of electrolysis capacity to be installed in Moorburg.

The second project, known as the Hamburg Hydrogen Industry Network (HH-WIN) and developed by Gasnetz Hamburg, seeks to establish a 40-km supply infrastructure south of the Elbe River to meet the initial hydrogen demands of the industry in Hamburg by 2027. Subsequently, the network will be expanded to 60 km to facilitate the supply of green hydrogen to local industrial firms and customers in the mobility sector.