Naturgy, Enagas join forces on green hydrogen project in Spain

Spanish power and gas utility Naturgy Energy Group SA (BME:NTGY) is embarking on a green hydrogen project at home in partnership with the national gas grid operator Enagas SA (BME:ENG).

The project is promoted by Enagas, which initially planned to produce hydrogen from 200 MW of solar photovoltaic (PV) power. With Naturgy joining, the proposed project will consist of 400 MW of solar and an electrolyser of up to 60 MW, the utility said.

The companies have a goal to produce up to around 9,000 tonnes of green hydrogen per year. Naturgy did not provide details on when production could start.

The hydrogen production system will be located in the municipality of La Robla, in the Spanish region of Castile and Leon, close to Naturgy’s old thermal power plant, which the company shut down last summer. By siting the project in the area, Naturgy wants to demonstrate its commitment to mining regions and make the energy transition just after the coal shutdown, it said.

Naturgy added that it has been exploring the green hydrogen technology for years and believes that Spain’s wealth of renewable energy resource, existing infrastructure and geo-strategic position gives the country potential to become an exporter of hydrogen in the future.

For Enagas, the La Robla initiative is part of its strategy to develop non-electric renewables. The gas company has already submitted this project for consideration under the EU state aid tool for Important Projects of Common European interest (IPCEIs).

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