Repsol leads a Spanish consortium ready to invest $4.4 billion in green hydrogen
Repsol is leading a new multi-sector consortium of 33 companies and organizations that seeks to invest 3.23 billion euros ($4.4 billion) to promote the production and use of green hydrogen in Spain.
The Spanish Hydrogen Network (Shyne) will invest in hydrogen technologies and install 500 megawatts of green hydrogen capacity by 2025 and 2 gigawatts by 2030, half of the 4 GW target of the Spanish government.
It will also build renewable energy projects to power electrolyzers, promote the use of hydrogen “in all segments of transport” through the production of synthetic fuels and at least 12 new hydrogen filling stations from by 2025, while promoting the use of green hydrogen in heating and heavy industry.
The project aims to “generate an ecosystem that connects” three industrial hydrogen hubs planned in the Basque region, Catalonia and Murcia; create two new innovation hubs in Madrid and Castilla-La Mancha to develop solid oxide electrolyzers and photoelectrocatalysis – a technology that creates hydrogen directly from solar energy without the need for electrolyzers that Repsol plans to make commercially viable by 2030; and build a knowledge management center in Madrid to coordinate all activities.
“The synergies between the companies collaborating in Shyne will support coordinated industrial developments along the hydrogen value chain, maximizing investment capabilities,” the Repsol statement said.
“This premise will be essential to achieve decarbonization in the most efficient way and at the lowest cost, mainly in sectors where today electrification is not a solution, such as the steel industry in which Celsa develops its activity, or in transport segments such as aviation and long-distance maritime, rail or heavy transport, with Iberia, Balearia, Talgo and Alsa as references, thus the challenge of decarbonization becomes a great opportunity to generate wealth and technological and industrial development in Spain thanks to this new economy of renewable hydrogen.”
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Repsol says the 3.23 billion euro project is expected to generate more than 13,000 jobs in Spain.
Other members of Shyne
In addition to Repsol, which aims to achieve net zero emissions by 2050, six companies will be ‘promoting partners’ in the project: leading Spanish bus company Alsa; the engineering company Bosch, which develops hydrogen boilers; the Celsa steel company; the Spanish gas network operator Enagas; the Swedish truck manufacturer Scania; and train builder Talgo, which is due to test its first hydrogen train in March.
Scania’s involvement in the project comes a year to the day after announcing it was focusing more on battery-electric vehicles, while limiting its investments in hydrogen technologies.
At the time, Scania claimed that fuel cell vehicles were more complex, therefore would cost more to buy and maintain, would require three times as much renewable electricity to operate, and that hydrogen was a volatile gas that posed security issues.
However, he also said he would continue to work on his previous efforts in hydrogen technology and would not “close the door on any possibility”, noting that hydrogen was still a “promising energy carrier” that could play a role. an important role in decarbonization if produced in an environmentally friendly way.
On Wednesday, Sonie Garcia, director of communication and marketing at Scania Iberica, confirmed that the company was once again opening the door to hydrogen investments.
“This agreement is further proof of Scania’s commitment to driving change towards sustainable transport from different technological fronts,” she said.
“Scania sees green hydrogen as an important player in electrification in the medium and long term.”
“Collaborating partners” at Shyne include national airline Iberia, passenger ferry company Balearia, electrical equipment supplier Wartsila, local trade associations and eight research institutes and universities.