Cabinet strengthens basis for future energy imports | News item

News item | 02-06-2023 | 3:00 PM

Hydrogen is an indispensable link in the transition to a sustainable energy system. It is expected that, in addition to its own production of hydrogen, the Netherlands will also have to import a significant portion of the required hydrogen. To ensure that these imports get off the ground in a timely, sustainable, safe and large-scale manner, the government is actively pursuing energy diplomacy. Energy trade relations with a broad group of countries will contribute to security of supply.

The government wants to use energy diplomacy to encourage and support the development of the import of green hydrogen. This will reduce future dependence on a relatively small group of countries, as is currently the case with oil and gas. And a global hydrogen market will also contribute to tackling the climate crisis by contributing to the acceleration of the energy transition. The most important pillar of the Dutch import strategy is the development of the conditions for getting the hydrogen market off the ground, such as import terminals, infrastructure and regulation. The government wants to get these conditions in order quickly, so that the Netherlands can take a leading position in the Northwest European hydrogen market.

Energy relations

The Netherlands is strengthening energy relations with both neighboring countries and countries further afield that have a good starting position for producing and exporting renewable hydrogen. The Netherlands has already entered into hydrogen partnerships with Norway, Portugal, Chile, Uruguay, Namibia, Canada, United Arab Emirates, Oman, Australia, Spain and Saudi Arabia. Relations with neighboring countries are becoming more important due to the further integration of our electricity and gas networks. For example, the Netherlands and Germany have agreed to accelerate the development of cross-border infrastructure for hydrogen.

Transport routes, the so-called ‘strategic corridors’, are needed to connect importing and exporting regions worldwide. Within Europe, Spain, Portugal and the Scandinavian countries such as Norway are promising for export to the Netherlands. Outside Europe, the Netherlands focuses on the Gulf region, North America and Africa, among other things. Energy ties with these countries are strengthened through effective cooperation between governments and by facilitating contacts between companies to initiate transport routes. For some transport routes, pipelines may eventually play an important role, but for now most hydrogen will be transported internationally by ship.

Opportunities for business and IMVO

The developments in the field of hydrogen provide opportunities for the Dutch business community and knowledge institutions. They are supported in this by embassies and with instruments for trade promotion and financing. In developing an international hydrogen market, the government is simultaneously focusing on the careful development of equal energy relationships. Companies must operate within the international frameworks for international corporate social responsibility (ICSR). Commissioned by the Ministry of Economic Affairs and Climate Policy, Arcadis has investigated the opportunities and risks involved. It is important that production, storage and export take place in a responsible manner with attention to people and the environment.

Gas

The government will continue to monitor the security of supply of energy and essential raw materials that are necessary for the energy transition. For the security of gas supply, the Netherlands is mainly acting in an EU context and is jointly committed to strengthening relations with gas-producing countries. In addition, the Netherlands is committed to the joint procurement of gas via the recently set up European procurement platform. The first round recently took place, in which approximately 11 billion cubic meters of gas supply and demand were linked.

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