RWE’s large hydrogen projects in Germany receive €818 million boost

German federal and state governments have granted €818 million in funding to RWE’s large hydrogen projects.

Specifically, €619 million will be provided for the construction of a 300 MW electrolyzer to generate green hydrogen in Lingen, Lower Saxony, as part of the GET H2 Nukleus project, as well as a hydrogen facility in Gronau-Epe, North Rhine-Westphalia.

Additionally, €199 million has been granted to a consortium developing a 100 MW electrolyzer plant at the port of Rostock, Mecklenburg-Western Pomerania, as part of the HyTechHafen Rostock project. RWE is a member of this consortium.

The federal government is providing 70% of the total funding for each of the projects, and the states of Lower Saxony, North Rhine-Westphalia and Mecklenburg-Western Pomerania are contributing 30% to the venture on their respective territories. RWE revealed it is planning to invest a medium three-digit million-euro amount in the three projects.

In Lingen, the company wants to install hydrogen-generating capacities of 300 MW in 100 MW increments by 2027, with the first 100 MW electrolyzer to be commissioned in 2025. Green hydrogen produced in Lingen is expected to help industrial companies reduce their carbon emissions.

In Gronau-Epe, RWE is planning a storage facility, with two caverns to be used for storing hydrogen. RWE claimed that transport and storage infrastructure will play a crucial role in the ramp-up of the hydrogen economy, adding that the storage plant is aimed at balancing out the fluctuations in hydrogen generation using wind and solar energy. The first hydrogen is to be stored at the facility in 2026.

As for the Rostock project, a 100 MW electrolyzer is expected to produce green hydrogen from 2027. According to RWE, some of the hydrogen is intended to supply local consumers, and the rest is to be fed into the Germany-wide hydrogen core grid that is currently being developed. Besides RWE, companies involved in the project are ROSTOCK PORT, RheinEnergie, EnBW Neue Energien and RWE Generation.

Markus Krebber, CEO of RWE, commented: “Today is a great day for the ramp-up of the hydrogen economy. Thanks to the funding from the German government and the federal state governments, the first industrial-scale hydrogen projects in Germany can now be implemented.”

“Green electricity and hydrogen will be crucial in terms of making locations attractive to industry. It is thus vital to also invest in electrolysers producing hydrogen in Germany and the associated infrastructure including storage facilities without delay. Our Team RWE has worked tirelessly to drive our hydrogen projects forward – it is great to see that they are getting off the ground now.”

To note, the European Commission recognized the projects as Important Projects of Common European Interest (IPCEI) in February 2024, together with other hydrogen schemes. As per RWE, this made it possible for national bodies to grant funding.