UK-Germany Joint Feasibility Study on the Trade of Hydrogen
Keywords: Low-Carbon Hydrogen; Germany; UK; Hydrogen Trade | Study published: April 2025
With the UK as a leader in the development of low-carbon hydrogen infrastructure and Germany set to be one of the world’s largest importers of hydrogen and hydrogen derivatives, there is a significant opportunity to establish pipeline-based hydrogen trade between the two countries as these markets develop.
The main objective of this study is to provide the basis for the UK and German Governments to consider the potential for a future hydrogen pipeline to facilitate the trade of hydrogen between the two countries. Through Regulations, Business Models and Commercial Arrangements analyses, and a high-level Infrastructure Assessment, Arup, dena, and adelphi have laid out several key activities necessary to support the development of the international hydrogen trade market.
These activities include the development of onshore networks, the alignment of technical requirements for the trading of the hydrogen molecule, and support for the convening of the market to secure agreements between producers and offtakers. As a first step, this study outlines a series of ‘delivery enablers’ and proposes preliminary focus areas to initiate them.
The study aims to support the development of both countries' hydrogen economies, aiding their net zero ambitions, fostering collaboration, supporting hydrogen trade and transport infrastructure development, and promoting an international hydrogen market.
- German mid-streamers and offtakers are eager to develop the hydrogen market despite demand prediction challenges.
- Pipeline routes from key UK locations are technically feasible but require more certainty on how the countries’ onshore network will develop over the next decade.
- To facilitate the development of a hydrogen interconnector, five key enablers are required, covering business models, commercial arrangements, and regulatory frameworks.
