Spain's gas TSO Enagas quits green H2 mobility alliance - report

Spanish gas grid operator Enagas SA (BME:ENG) has been forced to abandon a hydrogen mobility joint venture (JV) it formed last year in Spain following the European Commission’s concerns over conflict of interest, news outlet La Informacion exclusively reported citing sector sources.

Back in September 2021, Enagas joined forces with Spanish power and gas utility Naturgy Energy Group SA (BME:NTGY) and fuels and gas storage provider Exolum on the Win4H2 project, through which the partners would roll out 50 green hydrogen filling stations across Spain.

According to the report by La Informacion, the EU executive has imposed limits on what Enagas’ side businesses can do in the hydrogen production sector, resulting in the company quitting the JV.

Enagas, partly owned by the government of Spain, is the nation’s technical manager of the gas system and the independent transmission system operator (TSO) certified by the EU. The company is also heavily involved in the development of the green hydrogen industry in Spain via its renewable gases subsidiary and JVs with other entities.

Spain’s markets and competition regulator CNMC has also placed Enagas under its spotlight over the company’s participation in a major green hydrogen production and supply project on the island of Mallorca, given the roles and responsibilities it has in the Spanish gas system, La Informacion reported.

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