Hydrogen
Germany Agrees First Green H2 Derivates Import
As part of its H2 Global program, Europe’s largest economy has committed to purchasing 259,000 tons of green ammonia from abroad between 2027 and 2033.
Jul 15, 2024
The amount in question is the equivalent of more than ten percent of the ammonia annually produced domestically in Germany, said the German Ministry for Economic Affairs and Climate Action.
The offtake agreement is binding and will involve set prices. The ministry foresees the costs of producing a ton of ammonia as EUR 811, with a price of below EUR 4.50 per kilo. In 2021, the ministry allocated up to EUR 900 million for the first tenders of its H2Global initiative.
Germany’s National Hydrogen Strategy foresees the country importing at least 45 terawatt hours of green H2 by 2030.
“The first offtake contracts for green hydrogen products are an important step in the transformation of Germany as an industrial location, in climate protection and in the creation of sustainable jobs,” said Minister Robert Habeck in a statement. “In order to decarbonize, German industry needs large amounts of green hydrogen and its derivatives…The availability of affordable green energy, now also in the form of hydrogen, will be an important factor for Germany as a business location.”
