New partnership looking into hydrogen network in Åland

Collaboration

Finland’s state-owned transmission system operator (TSO) Gasgrid and the Government of Åland have signed a letter of intent (LoI) to jointly explore opportunities for building a hydrogen network in Åland.

Illustration only. Courtesy of Gasgrid

As disclosed, the aim of this cooperation is to map, study, and plan a possible future hydrogen network, including the locations for production and consumption plants, and define a preliminary timetable for the hydrogen economy in Åland.

In the development phase, which will signal the beginning of the cooperation, relevant stakeholders, such as municipalities, authorities, and developers of wind power and hydrogen projects, will be mapped and included in the process.

The partner will conduct studies and analyses to assess development needs and transmission capacity as well as the technical and economic conditions to create a roadmap for possible implementation of hydrogen infrastructure.

The parties will also define the role of the Åland hydrogen network operator.

The Åland government intends to finance its share of the cooperation project with funds from the EU’s REPower instrument.

“I am very pleased that the cooperation with Gasgrid has now led to a letter of intent. Hydrogen production has significant potential to significantly supplement Åland’s offshore wind power and offer new business opportunities for Åland’s business community, thereby bringing significant societal benefits to Åland,” said Åland’s Minister for Infrastructure and Climate, Camilla Gunell.

Gasgrid CEO, Olli Sipilä, commented: “It is great to be able to collaborate with the Åland Regional Government and other stakeholders. The unified energy market in the Baltic Sea region offers benefits to everyone, and now hydrogen is being added as a new element. Through collaboration, we can jointly assess development steps and create a market step by step. Gasgrid will be able to bring synergies to the benefit of Åland, as the same things are being developed extensively elsewhere.”

In the meantime, Gasgrid is pressing ahead with the development of hydrogen transmission infrastructure in the Baltic Sea. To this end, the operator recently awarded a framework contract for owner’s engineering services to Switerzland-based StreamTec Solutions.

The contract will focus on two main projects: the Baltic Sea Hydrogen Collector (BHC) and the Nordic-Baltic Hydrogen Corridor (NBHC).

The Baltic Sea Hydrogen Collector (BHC) project envisions building an offshore hydrogen pipeline infrastructure connecting Finland, Sweden, and Central Europe to enable the production of clean and sustainable hydrogen to meet Europe’s needs.

On the other hand, the Nordic-Baltic Hydrogen Corridor (NBHC) project aims to develop a hydrogen infrastructure from Finland to Germany through Estonia, Latvia, Lithuania, and Poland by 2030.