Two renewable hydrogen projects, spearheaded by Spain's gas grid operator Enagas, have been included in the European Commission's list of Projects of Common Interest (PCI). This designation enables the projects to benefit from expedited permitting procedures and potential subsidies.
Enagas is strategically positioning itself in the energy transition, transitioning from its traditional role as a natural gas grid operator to overseeing a network of hydrogen infrastructure. The PCI list encompasses the H2Med corridor, a future multibillion-euro “green” hydrogen pipeline connecting the Iberian Peninsula to France and Central Europe by 2030. It also includes Enagas' planned hydrogen trunk network in Spain and two associated storage facilities.
The inclusion of these projects in the PCI list is a significant step in advancing the European and Spanish energy goals for energy independence, industrial competitiveness, and decarbonization, according to Enagas. However, the final approval of the PCI list is pending review by the European Parliament and EU Council in early 2024.
Enagas sees hydrogen as a crucial element in helping industrial customers decarbonize their production processes. The estimated investment for the Spanish Hydrogen Backbone Network and its storage facilities is around 4.6 billion euros ($5.04 billion).
Enagas CEO Arturo Gonzalo previously noted that EU funds could potentially cover 30-50% of the projects' costs, with a likelihood of greater support for international projects compared to national infrastructure. The final allocation remains subject to approval and further evaluation by European authorities.
