Methodology to estimate cost of hydrogen admission into the existing natural gas infrastructure and end use
03 October 2023
To achieve climate neutrality in Europe by 2050, there’s a growing need to use renewable gases, particularly hydrogen (H2), in the gas industry. The transition to a net-zero energy system is a complex endeavor, and one aspect to address is the suitability of European gas infrastructure for hydrogen. MARCOGAZ aims to provide clarity on this issue.
In this report, MARCOGAZ offers a method for estimating the costs associated with introducing hydrogen into existing natural gas infrastructure and end-use equipment at national or regional levels. The report also provides average European values as references for stakeholders who may lack local data. These figures are based on experiences in the gas industry and consider the technical compatibility of components with hydrogen. However, it’s important to note that the actual situation in specific regions or countries may differ from the European average.
The report primarily focuses on explaining the methodology for cost estimation and doesn’t provide specific cost figures. Instead, it offers assumptions about the feasibility of technical transformations.
The methodology consists of essential steps for assessing the cost of repurposing natural gas grids for hydrogen mixtures. These steps are categorized into five main areas: transmission, underground gas storage, distribution, pressure regulation and metering, and end use. Furthermore, the report identifies various asset types within these categories, specifying their volumes and readiness for hydrogen. These values help stakeholders determine their total asset volumes and the costs associated with necessary mitigation measures.