The Government of the Netherlands has announced plans to use offshore wind power to produce significant amounts of offshore hydrogen. The project will be built in the North of the Wadden Islands and will have a capacity for electrolysis of about 500 MW. It is anticipated to start operating in 2031. Reportedly, the site also offers the possibility to reuse an existing natural gas pipeline to send hydrogen ashore. The project will be the first to connect to Gasunie’s offshore hydrogen network, details of which will be decided this year, according to the announcement.

The government stated that tenders for the project will be announced after working out issues with the local Groningen region and other stakeholders. Also, the Minister for Climate and Energy Policy, said the Netherlands is taking global leadership with this plan, which comes on top of the 4-GW electrolysis target by 2030. The 500 MW undertaking will be preceded by a smaller pilot project of 50 MW-100 MW. Its location is planned to be selected later in 2023.

In February 2023, Australia and the Netherlands signed a memorandum of understanding to collaborate on the construction of a green hydrogen supply chain from Australia to Europe via the Port of Rotterdam. During Australia’s Minister for Climate Change and Energy, Chris Bowen’s visit to Europe, the MoU was signed between him and the Netherlands Minister for Climate and Energy.

REGlobal’s Views: European nations are increasing their dependence on renewable energy and reducing their reliance on fossil fuels to improve their energy security. The Netherlands, which has excellent potential for development of offshore wind, can develop large offshore wind farms that can also be used to produce green hydrogen for domestic consumption and export.