Denmark to install hydrogen pipe with state aid

Denmark’s government has formed a rapid agreement for a hydrogen pipeline to Germany by 2030, using state aid. The pipeline from Esbjerg will have relaxed requirements and a shortened initial phase. Delays previously pushed back the project to 2031, but exports are now expected by 2030 for German industry needs. State guarantees of billions in kroner are provided, with Energinet slated to receive 7.4 billion kroner for repayment and 8.3 billion kroner in operational subsidies over 30 years. The commitment of hydrogen supply for companies will be reduced. The pipeline, integral for Denmark’s green fuel production and export, has faced multiple setbacks but is seen as essential for creating jobs in the hydrogen industry. While initially unprofitable and subsided, future user uptake and hydrogen production growth may lead to profitability.