The German cabinet approved an updated hydrogen strategy, setting guidelines for hydrogen production and transport infrastructure plans as Europe's largest economy aims to become climate-neutral by 2045.

According to the Federal Minister for Economic Affairs and Climate Protection, Robert Habeck, "by updating the National Hydrogen Strategy, we are setting the framework for the new phase in the hydrogen market ramp-up, which we have consistently initiated since taking office: from research and demonstration to large-scale production. Investing in hydrogen is an investment in our future. In climate protection, in qualified jobs and the security of energy supply. The updating of the hydrogen strategy gives these investments a reliable basis and sets the course for close cooperation with our partners in Europe and around the world. In order to successfully implement the strategy, we are also currently working flat out to create the necessary infrastructure."

The measures of the update cover the entire value chain, have often already been started parallel to the development of the update of the strategy or are planned in the short term for the year 2023, in the medium term for the years 2024/2025 and in some cases already in the long term until 2030. The following target image is to be implemented with the measures:

• Accelerated market ramp-up of hydrogen: The market ramp-up of hydrogen, its derivatives and hydrogen application technologies will be significantly accelerated and the level of ambition along the entire value chain will be massively increased.
• Ensuring sufficient availability of hydrogen and its derivatives: The target for domestic electrolysis capacity in 2030 is increased from five gigawatts to at least ten gigawatts. The remaining demand is covered by imports. A separate import strategy is being developed.
• Development of an efficient hydrogen infrastructure: The creation of the necessary hydrogen infrastructure is of particular importance. To this end, the Federal Cabinet decided at the end of May with the current amendment to the Energy Industry Act (EnWG) the legal and regulatory framework for the future hydrogen core network for Germany as the first expansion stage of the hydrogen infrastructure. By 2027/2028, a hydrogen start-up network with more than 1,800 kilometers of converted and newly built hydrogen lines will be set up in Germany via the IPCEI funding; Around 4,500 kilometers are added across Europe ( European Hydrogen Backbone). All major generation, import and storage centers will be connected to the relevant customers by 2030.
• Establishment of hydrogen applications in the sectors: By 2030, hydrogen and its derivatives will be used in particular in applications in industry, in heavy commercial vehicles and increasingly in aviation and shipping. In the electricity sector, hydrogen contributes to energy security; through gas power plants that can be converted to climate-neutral gases ( H? -ready) and through system-friendly electrolysers, in particular as variable and system-friendly stabilizers or flexible loads. For the perspective use of hydrogen in the central and decentralized heat supply, the framework conditions are currently being further developed in the GEG , in heat planning and in the European gas market package.
• Germany will be the leading provider of hydrogen technologies by 2030: German providers will expand their technology leadership and offer the entire value chain of hydrogen technologies from production (e.g. electrolysers) to the various applications (e.g. fuel cell technology).
• Creation of suitable framework conditions: Coherent legal requirements at national, European and, if possible, also international level support the market ramp-up. In particular, this includes efficient planning and approval procedures, uniform standards and certification systems, and administration that is adequately equipped and coordinated at all levels.

Federal Development Minister Svenja Schulze concluded that "the new National Hydrogen Strategy is a far-sighted step, both domestically and internationally. The world market for hydrogen must be fair and therefore different than the fossil world economy ever was. Germany's message to our partner countries is: We not only want to import hydrogen reliably, we also want to help ensure that the new hydrogen supply chains also lead to good, sustainable development. In concrete terms, this means that where wind and solar power is produced for hydrogen, the energy transition is being promoted locally and the local population is being supplied with electricity". 

She also added that "from a development perspective, one thing is clear: hydrogen from renewable energies is not only the best choice for the environment, as a cheap domestic source of energy, it also leads to better development in the global south. We will therefore support our partner countries in participating with their fair share in the new world market for hydrogen.”