Hydrogen storage
Hydrogen storage facilities are essential for the success of the energy transition. They are the battery of the H2 infrastructure.
Why hydrogen storage?
Hydrogen is a crucial cornerstone of the energy transition. As a versatile energy carrier, the gas can be transported over long distances and used in numerous industries, for example in the steel and chemical industries. In addition, it offers the advantage of being storable permanently and in large quantities. Excess renewable electricity can thus be made available for industrial applications and the energy supply as needed.
Germany is particularly challenged when it comes to ramping up the hydrogen economy: large industrial clusters are located in the northwest of the country, and will require large quantities of hydrogen in the future. A comprehensive hydrogen infrastructure for the production, import, transport and storage of hydrogen will be needed here. Storengy has recognized this and we are getting ready for the hydrogen ramp-up.
The advantages of underground hydrogen storage in salt caverns
For many decades, we have been working on the underground storage of natural gas in salt caverns. This technology can be transferred to hydrogen. We see a multitude of opportunities and possibilities for the German and European energy market.
Renewable hydrogen is produced using electricity from volatile renewable sources such as solar and wind power. Since these energy sources are not constantly available, hydrogen electrolysis is subject to natural fluctuations. To optimize the utilization of the electrolyzers, the hydrogen produced at peak times must be stored temporarily. Salt caverns are the most cost-effective option for this purpose, as they can store large quantities of hydrogen.
Many hydrogen consumers, especially in industry, have a largely constant demand for hydrogen. Hydrogen storage can balance out fluctuations in hydrogen supply and ensure a consistent supply. By decoupling production and consumption times, the use of the cheapest hydrogen sources available on the market is also maximized, which ultimately leads to lower prices.
A decarbonised electricity system that relies primarily on fluctuating wind and solar power generation needs hydrogen power plants as a backup for times when renewable energies do not supply enough electricity. These power plants will have to obtain their fuel mainly from large hydrogen storage facilities, since electrolysers can only produce hydrogen when sufficient renewable electricity is available. Hydrogen storage systems, in combination with electrolysers and power plants, are therefore the key technology for storing large amounts of electricity over long periods of time. In addition, they relieve the burden on the power grid by enabling excess electricity to be converted into hydrogen. This lowers electricity prices by reducing the need for interventions such as curtailment and redispatch.
In the medium term, large quantities will have to be imported by pipeline or ship from abroad to meet Germany's hydrogen demand. Large underground storage facilities are indispensable for this. Firstly, they enable imports to be maximized because the storage option means that imports can continue even when there is no immediate demand. Secondly, they reduce the average price of imported hydrogen. In the case of pipeline imports, hydrogen can be purchased when it is particularly cheap abroad. In the case of ship deliveries, the ships can be unloaded immediately instead of having to wait in port for demand.
In order to compensate for fluctuations in network pressure that may occur during the balancing period, network operators need to rely on a sufficient buffer volume. A hydrogen network without sufficient storage will have great difficulties in balancing supply and demand, especially during the ramp-up phase of the hydrogen economy.
In a decarbonised, integrated energy system, hydrogen storage facilities also guarantee security of supply. They ensure that industry has a supply of hydrogen when imports are unavailable or electrolysers are shut down. In the electricity system, they enable, in combination with hydrogen power plants, the maintenance of the electricity supply when generation from renewable energies is insufficient, especially during periods of darkness and calm.
Safety and expertise in hydrogen storage
Storengy Deutschland operates five natural gas storage facilities throughout Germany, three of which are cavern storage facilities in the northwest of the country. These sites are ideally located from a geological point of view for creating new salt caverns. Existing salt caverns that are currently used for natural gas storage can also be repurposed for hydrogen storage.
With decades of experience and extensive expertise in the development, construction and operation of underground natural gas storage facilities, Storengy Deutschland is the ideal partner for hydrogen storage. We assume responsibility under mining law and have in-depth geological and regulatory knowledge. Our occupational safety is at the highest level: many of our operations have been working for several decades without a single accident with lost time.
Our storage facilities are also characterised by almost 100 percent technical availability, supported by our customer service and a 24/7 control center in Hanover. As part of the global ENGIE Group, we are a financially strong, reliable and very well connected partner.
We are seeking partnerships for the hydrogen ramp-up
We are interested in engaging with potential storage customers and stakeholders involved in the development of hydrogen storage facilities. Our particular aim here is to develop storage solutions that are optimally aligned with the needs of end customers and to explore options for capacity utilization in advance (e.g. through letters of intent).
In this context, we want to get in touch with various players, including:
- Potential industrial customers for hydrogen
- Companies that operate electrolysers or produce hydrogen
- Transmission system operators
- Traders and trading platforms for hydrogen
- Companies that own or develop caverns or offer a subsequent use for existing caverns (e.g. through partnerships in the field of salt production or storage development)
- Interested in end products from the use of caverns, such as salt
- Further partners or co-investors interested in the expansion of hydrogen storage.
Our network
We are involved in various national and international initiatives and associations to promote the market ramp-up for hydrogen in Europe and to contribute to the successful implementation of climate targets.
Here you will find an overview of our memberships.
References
In Germany and France, we have several references for underground hydrogen storage. We rely on cross-border cooperation and combine our European expertise to jointly develop the best possible storage solution for our customers and partners.
With the SaltHy project, Storengy Deutschland is expanding the existing Harsefeld natural gas storage facility to include salt caverns for the underground storage of hydrogen. SaltHy is thus a flagship project on an industrial scale in the developing hydrogen market.
HyPSTER is the first EU-funded project for the underground storage of green hydrogen on an industrial scale in salt caverns. The demonstration plant will be located in Etrez, France. Storengy France is leading the project.
With the SaltHy project, Storengy is also part of the FrHyGe project (Full qualification in France for large-scale Hydrogen underground storage and replication from Germany to all European countries). The project will conduct technical, economic, regulatory, environmental and safety studies. On this basis, a plan will be drawn up to start the process of converting and constructing the underground storage facilities as quickly as possible, thus contributing to the realization of the European hydrogen storage and transport network.
Do you have any questions? We look forward to hearing from you!
