Pioneering future hydrogen supply chains
The first low-carbon hydrogen delivery from the United Arab Emirates (UAE) and the entire MENA region arrived in Germany in October 2022. The hydrogen, shipped as ammonia, was used by German metal manufacturer Aurubis to test replacing natural gas in energy-intensive processes. Subsequent deliveries were received by RWE and Steag.
Background
Background
Germany and the United Arab Emirates (UAE) promote joint energy and industry projects through targeted political support as part of the Emirati-German Energy and Climate Partnership. Tailored strategic support for flagship projects is provided by the Energy Security and Industry Accelerator (ESIA) in the fields of climate change mitigation, decarbonisation and energy security, including offshore wind power, PV and hydrogen projects as well as the establishment of the first hydrogen value chain between the UAE and Germany.
Challenge and Goal
Challenge and Goal
Green hydrogen demand in Germany and Europe is rising. While Europe is ramping up domestic hydrogen production, its volumes will not be sufficient to meet demand, especially in the short term. Countries like the UAE with favourable conditions for green hydrogen production can bridge part of Germany’s hydrogen supply gap for example through shipping derivatives such as ammonia. To make hydrogen trade work, producers in the UAE and offtakers from Germany need certainty that green hydrogen and its derivatives can be transported to and landed in Germany. Testing hydrogen value chains is therefore crucial for enabling hydrogen trade.
Action taken
Action taken
Together, the UAE and Germany have set out to test the concrete case of delivering hydrogen from the UAE to Germany. To this end, stakeholders along the entire hydrogen value chain from producers, shipping companies, ports, authorities and end use have worked together to facilitate the first hydrogen delivery from the UAE to Germany. Agreement on the delivery was reached during a visit of H.E. Minister Robert Habeck, German Vice Chancellor and Federal Minister for Economic Affairs and Climate Action, to Abu Dhabi in March 2022. During the high-level visit, multiple agreements were signed, including on cooperation between the Abu Dhabi National Oil Company (ADNOC) and the German company Hydrogenious on liquid organic hydrogen carriers (LOHC), a technology that allows shipping hydrogen in its pure form with a carrier molecule. These projects are an important step for establishing a comprehensive hydrogen value chain between Germany and the UAE.
Impact
Impact
The first low-carbon hydrogen delivery from the UAE – and, in fact, the entire MENA region – was welcomed at the port of Hamburg on October 21, 2022, by H.E. Minister Habeck, and H.E. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, UAE Climate Special Envoy, and Managing Director and Group CEO of ADNOC. The hydrogen produced by ADNOC was shipped to Germany in the form of ammonia. In Hamburg, the German metal manufacturer Aurubis used the ammonia to test the replacement of natural gas in energy-intensive reduction processes. Further deliveries were received by RWE and Steag in the months that followed.