The German government plans to tender for up to 10GW of gas-fired power plants with the ability to switch to 100% hydrogen by 2035–40, under a new electricity generation strategy agreed in early February by the coalition partners.

Government funding for hydrogen-ready gas-fired plants will be awarded via a series of four back-to-back auction in the near term. The planning and consent process for the new plants will be “substantially accelerated”, the government said.

Funding will also be made available for demonstrations of 100% hydrogen-fired plants of up to 500MW.

“In addition to the consistent expansion of renewable energies and electricity networks, the decarbonisation and security of supply of our electricity system requires modern, highly flexible and climate-friendly power plants,” the government said.

“The decarbonisation and security of supply of our electricity system requires modern, highly flexible and climate-friendly power plants” German government

The strategy—designed to ensure stable power supplies as the share of wind and solar generation ramps up, and to boost the deployment of low-carbon hydrogen—also calls for a lifting of planning restrictions on electrolysers and an easing of taxation of the use of electricity to power electrolysis.

The government also said its forthcoming carbon management strategy opens the door to the deployment of CCS for power generation.

Germany previously outlined its plans for hydrogen-ready gas-fired plants in a revised hydrogen strategy published last year. The strategy envisages the country’s hydrogen demand rising from 55TWh/yr currently to 95–130TWh/yr (2.4–3.3mt/yr) by 2030, with 50–70% of that to be bet by imports.

Plans to develop a €19.8b ($21.55b) national hydrogen pipeline network by 2032 are progressing, with final proposals from the country’s natural gas transmission system operators expected shortly.

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Author: Stuart Penson