European Green Hydrogen Transport Infrastructure Network Development Feasibility Study with Energy Market Outlook

Executive Viability Abstract

Comprehensive feasibility study for a pan-European green hydrogen transport network, focusing on the integration of the European Hydrogen Backbone (EHB). The project aims to link low-cost production zones in the Nordics, Iberia, and North Africa with industrial demand centers in Central Europe via repurposed gas infrastructure and new pipelines.

## Executive Summary This study evaluates the development of a 28,000 km hydrogen pipeline network by 2030, expanding to 53,000 km by 2040. The transition leverages existing natural gas assets to reduce costs. ## Market Analysis The European Union's REPowerEU plan targets 20 million tonnes of green hydrogen by 2030. Current demand is driven by the 'Hard-to-Abate' sectors: steel, chemicals, and heavy-duty transport. Market prices are expected to stabilize as electrolyzer scale-up reduces levelized costs of hydrogen (LCOH). ## Technical Feasibility Repurposing existing pipelines is 70-90% more cost-effective than new construction. Key technical challenges include hydrogen embrittlement of steel and the need for high-capacity centrifugal compressors. Salt cavern storage is identified as the most viable long-term buffering solution. ## Financial Projections Total investment for the backbone is estimated at €80-143 billion. Revenue will be generated through regulated network tariffs (tolling) and storage fees. Initial phases will require significant EU subsidies (IPCEI) to bridge the viability gap. ## Risk Assessment Primary risks include regulatory delays in the 'Hydrogen and Decarbonised Gas Market Package' and the slow pace of FID (Final Investment Decision) on large-scale electrolysis projects.