Hydrogen: German RWE will supply 30,000 tons of hydrogen/year to Totalenergies
Germany's largest utility RWE will supply green hydrogen to French oil and gas multinational TotalEnergies in a 15-year deal starting in 2030 , in one of the largest such deals globally.
RWE will supply around 30,000 tonnes of green hydrogen per year to TotalEnergies from 2030 to 2044, the German utility giant said on Wednesday. RWE's green hydrogen will be used at TotalEnergies' Leuna refinery in Germany to reduce the plant's carbon emissions.
The offtake agreement for green hydrogen is the largest quantity of climate-friendly hydrogen ever concluded by an electrolyser in Germany, RWE said.
The green hydrogen will be produced at RWE's 300 megawatt (MW) electrolysis plant in Lingen, western Germany. The agreement makes the Total refinery in Leuna a reference customer for RWE's electrolysis plant.
“The agreement is a signal for the German market, as fuel suppliers, such as refineries, are encouraged to gradually reduce their greenhouse gas emissions over time,” RWE said.
The deal with RWE comes weeks after TotalEnergies and Air Liquide said they planned to collectively invest more than $1.09 billion (1 billion euros) in two electrolyzer projects to produce green hydrogen in the Netherlands, as part of the French supermajority's efforts to reduce emissions from its refineries in northwestern Europe.
Under the agreement, the companies will form a 50/50 joint venture that will build and operate a 250 MW electrolyser near the Zeeland refinery.
In the other joint project, TotalEnergies signed a tolling contract for 130 MW to be dedicated to the production of 15,000 tonnes per year of green hydrogen at Air Liquide's 200 MW ELYgator electrolyser project in Maasvlakte, for the TotalEnergies Antwerp platform.
TotalEnergies' plans for more green hydrogen production and one of the projects seeking grants come as analysts warn that green hydrogen will not become cost-competitive for a long time.
Green hydrogen will struggle to compete on price with gray hydrogen made from natural gas until at least 2050 , much longer than previously expected, research firm BloombergNEF said in December 2024.
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The article Hydrogen: German RWE will supply 30,000 tons of hydrogen/year to Totalenergies comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/idrogeno-la-tedesca-rwe-fornira-30-000-tonnellate-di-idrogeno-anno-a-totalenergies/ on Wed, 12 Mar 2025 16:48:03 +0000.