The construction of Finland’s hydrogen pipeline is gaining momentum

In Finland, there has been talk for a long time about the possibilities of the hydrogen economy, and now the matter is moving forward concretely.

On Wednesday, the builder of Finland’s national hydrogen network Gas grid told the new route plan of the hydrogen pipeline. In practice, the pipeline would run from Uusimaa along the west coast to the bottom of the Pärämere.

In the first phase, the construction of a roughly five billion euro hydrogen pipeline will be a really large and multi-year project, if it goes ahead. Gasgrid has a firm belief in the realization, because with the help of customer mapping and surveys that have been going on for a long time, the company now has a clearer idea of ​​how much renewable hydrogen would be used in Finland.

Based on calculations made from surveys, hydrogen production could be 50 in 2030 and already 95 terawatt hours per year in 2040. Hydrogen consumption in Finland, on the other hand, would remain at 20 terawatt hours per year. Currently, hydrogen is consumed in Finland at around five terawatt hours per year.

The result differs substantially from what has been reported about various hydrogen projects recently. For example, the Norwegian aluminum giant Norwegian Hydro just announced that it is withdrawing from its green hydrogen projects. In the past, withdrawals and project delays have been reported, among other things In thisNorwegian Children and German Uniper.

According to Gasgrid, project delays have been taken into account in Finland’s plans, and therefore the huge pipeline construction is to be carried out step by step. The actual first investment decision on pipeline construction is planned to be made in 2026 at the latest, and the construction of the hydrogen transmission infrastructure would be carried out during the years 2027–2032.

In principle, already in the fall, the stakeholder round to prepare the environmental impact assessment (EIA) assigned to the municipalities will begin. The actual launch of the EIA program would begin in late summer next year.

Gasgrid clearly wants to show a model that Finland and the Nordic countries can set an example in the production of renewable hydrogen in Europe.

Of course, the risks are clear. The price level of renewable hydrogen is still far too high for the chemical industry, which uses hydrogen, for example, as part of the fertilizer manufacturing process or in oil refining, where hydrogen can be used to improve the combustion of fossil fuels and remove sulfur from oil.

In hydrogen projects, the price risk lies with both producers and buyers. The electrolysis process of pure hydrogen requires a huge amount of electrical energy. Commit to buying electricity at the same price for the next 15 or 20 years? Do you believe that your own fossil-free steel will be competitive for decades?

The realization of Gasgrid’s vision remains to be seen. From Finland’s point of view, it would be very important for the vision to come true. At its best, the hydrogen industry could create tens of thousands of new jobs and bring tens of billions of euros of added value to the national economy.