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7 Promoters’ submissions for HYD, RET, Bio and OTH Investments for TYNDP 2022
In TYNDP 2020 ENTSOG included a new but broad project category for Energy Transition projects. For TYNDP 2022 ENTSOG decided to replace the former ETR category with four new infrastructure categories.
The idea of this division was to allow more precise insights in different sector developments in particular in the evolving low carbon and green gases and to reflect the revision of the TEN-E:
- New or repurposed infrastructure to carry hydrogen (HYD)
- Projects for retrofitting infrastructure to further integrate hydrogen (RET)
- Biomethane development projects (BIO)
- Other infrastructure related projects (OTH)
The new four categories have been introduced to European Commission and ACER together with the revised Practical Implementation Document in a dedicated Webinar in June 2021.
161 projects consisting of 215 investments submissions have been included for TYNDP 2022 falling under the four above mentioned infrastructure categories.
7.1 HYD projects
For TYNDP 2022 promoters submitted 99 projects (152 investment submissions) related to new or repurposed infrastructure to carry hydrogen:
- 45 investments related to the repurposing of existing pipelines for hydrogen use;
- 45 investments related to the construction of on- or offshore pipelines to enable the transport of pure hydrogen;
- 3 investments related to the repurposing of existing storages to enable the storage of pure hydrogen;
- 12 investments related to the construction of storages to enable the storage of pure hydrogen;
- 7 investments related to equipment or installation essential for the hydrogen system to operate safely, securely and efficiently or to enable bi-directional capacity, including compressor stations;
- 23 investments related to hydrogen production with network related function;
- 2 investment enables the production, reception, injection, transportation, or end-use supply of hydrogen;
- 4 other hydrogen related investments.
Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022
Figure 33: Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022
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Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022, clean Version
Figure 34: Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022, clean version
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7.2 RET projects
For TYNDP 2022 promoters submitted 13 projects related to investments for retrofitting infrastructure to further integrate hydrogen:
- 8 investments regarding Retrofitting of existing gas pipelines and other network related assets for (bio-)methane-hydrogen blending;
- 4 investments regarding Retrofitting of existing storages for H2 blending;
- 1 investment regarding Retrofitting of existing LNG terminal for blending (storage and/or injection to the natural gas grid).
Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022
Figure 33: Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022
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Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022, clean Version
Figure 34: Map for Hydrogen (HYD) and Retrofitted (RET) projects in TYNDP 2022, clean version
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7.3 BIO projects
For TYNDP 2022 promoters submitted ten biomethane development projects (eleven investment submissions):
- 3 projects enabling the reverse transportation between DSO and TSO of biomethane;
- 7 network development projects enabling biomethane production/injection into the
gas grid.
Map for Biomethane (BIO) and other Infrastructure (OTH) projects in TYNDP 2022
Figure 35: Map for Biomethane (BIO) and Other Infrastructure (OTH) projects in TYNDP 2022
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7.4 OTH projects
For TYNDP 2022 promoters submitted 39 Projects related to other infrastructure related projects:
- 5 hydrogen production facilities other than the ones included in category HYD;
- 3 projects enabling the production, reception, injection, transportation, or end-use supply of hydrogen;
- 3 synthetic methane projects aiming at decarbonising the gas grids;
- 9 dedicated projects to reduce methane emission in existing infrastructure;
- 4 projects related to the transport sector (incl. road, railway, aviation and maritime transport);
- 4 projects enabling gas–electricity integration;
- 9 projects related to the conversion of natural gas network for CO2 transport or storage;
- 2 any other infrastructure related projects.
Map for Biomethane (BIO) and other Infrastructure (OTH) projects in TYNDP 2022
Figure 35: Map for Biomethane (BIO) and Other Infrastructure (OTH) projects in TYNDP 2022
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7.5 Further details on the TYNDP 2022 promoters’ submissions for HYD, RET, BIO and OTH
Similar to section 6.4., this section provides more details on the investments under category HYD, RET, BIO and OTH submitted to TYNDP 2022. The high level of investments should be considered in the context of the background described in section 6.4.
Overall, 358 investments have been submitted to TYNDP 2022 by more than 60 different project promoters including both TSOs and third-party promoters. From this number 215 investment included in TYNDP 2022 are falling under the categories HYD, RET, BIO and OTH (60 %).
The below graph provides the overview for this submission, compared to the previous TYNDP editions.
Figure 36: Comparison between TYNDP 2018, TYNDP 2020 and TYNDP 2022 – New categories
From the graph the following conclusions can be drawn:
- From 75 ETR investments in TYNDP 2020 to 215 investment (re-)submitted for the four new categories in TYNDP 2022 and thus we can detect a high increase investments;
- The high number of new investments shows the willingness of promoters to commit to the EU decarbonisation targets through the submission of newly introduced TYNDP 2022 project categories. Here the highest share falls on the construction and conversion of existing infrastructure to carry or store 100 % hydrogen.
1 From the 170 new submitted investments it is very likely that former ETRs submitted for TYNDP 2020 are included here. By introducing the new project categories and subcategories for TYNDP 2022, Promoters had the possibility to split projects to fully align with the new categories. E.g. 1 ETR Investment in TYNDP 2020 = 1 HYD Investment and 1 OTH Investment in TYNDP 2022.
The following assessment chapters will elaborate the submissions in more detail.
7.5.1 Overview per status
Considering all submitted investments for HYD, RET, BIO and OTH, when compared to the 75 ETR submissions in TYNDP 2020 an important increase to 215 in the 2022 edition can be observed. This increase stems from:
- Need of industries and societies within the European countries to decarbonise and reduce greenhouse gas emissions in the near-, mid- and long term future;
- Enhancing deployment of renewable gases, boosted by REPowerEU and the inclusion of hydrogen infrastructure and Electrolyser in the revised TEN-E.
The following figures and tables provide a statistical overview of promoters’ submissions (see TYNDP Annex A for further details) based on information such as the type of infrastructure or the FID/PCI status. Those reports reflect all the details entered as part of the data collection process by project promoters.
Figure 37 presents an overview of all the investments accepted for inclusion in TYNDP 2022 per type of infrastructure for Category HYD, RET, BIO and OTH.
Figure 38 shows the breakdown of TYNDP 2022 HYD, RET, BIO and OTH investments by project maturity status.
As seen clearly in figure 38, the majority of these investment were recorded in status “less advanced”. Only a very small share of hydrogen infrastructure investments (5 out of 215 investments) have reached the FID status.
Figure 37: Investment inclusion in TYNDP 2022 per type of infrastructure. The inner circle represents absolute numbers of investments; the outer circle represents
the share of each project type.
Figure 38: Promoters submissions by maturity status – HYD, RET, BIO & OTH
7.5.2 Overview of promoters’ investments
per geographical location
The following charts provide an overview of promoters’ submissions based on their geographical location, infrastructure type and maturity status for the four categories HYD, RET, Bio and OTH.
For TYNDP 2022, 215 investments relevant for the four above mentioned categories were included for 26 countries. Projects submitted for Ukraine and Norway are supply chain projects bringing hydrogen to the EU border.
Figure 39: TYNDP perimeter countries and countries outside European Union for which HYD, RET, BIO & OTH initiatives were submitted in TYNDP 2022
Figure 40: Number of investments per country and type of infrastructure
Figure 41: Number of investments per country and maturity status
7.5.3 Analysis of projects schedule
The majority of projects falling under the Category HYD, RET, BIO and OTH have the Less-Advanced Status (84 %) and have commission years in the mid- and long future. 49 Investments indicated to start commissioning until the end of 2025 (23 %).
Figure 42: Investments by commissioning year and by project status HYD-RET-BIO-OTH
As part of the project collection, promoters have to provide information (except for some specific situations) about the projects’ schedules of the main project phases and milestones (Feasibility, FEED, Permitting, FID, Construction and Commissioning).
ENTSOG analysed the provided data but it should be noted that the majority of projects are less advanced and several promoters for hydrogen infrastructure have reported that the development and time schedule of these projects is changing quite fast based on occurred rapid changes in the European gas market and increased hydrogen ambitions of many countries and commercial players.
Figure 43: Average duration of the Feasibility Study phase per type of infrastructure
In case of the Feasibility Study phase, the start and end dates, either past or expected, have been provided for 154 investments. The average duration of the Feasibility Study phase for these projects is 13.5 months with the highest average duration in case of BIO projects (26 months) and the lowers average duration for RET projects (11 months), see figure 43.
57 investments have indicated the completion of the feasibility study until 31.12.2022. 27 investments have started the feasibility before the 31.12.2022 but is still ongoing with the latest finalisation date in January 2030. The remaining 71 investments haven started their feasibility study by the end of 2022.
Figure 44: Average duration of the FEED phase per HYD, RET, BIO and OTH Investment
Regarding the FEED phase, the start and end dates, either past or expected, have been provided for 122 investments. The average duration of the FEED phase for these projects is 15 months with the highest average duration in case of OTH projects (18 months) and BIO (17 months) and the lowest average duration in case of RET projects (7 months). HYD projects have an average duration of 14.5 months, see figure 42.
23 investments have indicated to complete the FEED phase until 31.12.2022. 14 investments have started FEED phase before the 31.12.2022 but are still ongoing with the latest finalisation date in December 2025. The remaining 85 investments haven’t started the FEED phase by the end of 2022.
Figure 45: Average duration of the Permitting phase HYD-RET-BIO-OTH
In case of the Permitting phase, the start and end dates, either past or expected, have been provided for 123 investments. The average duration of the Permitting phase for these projects is 23 months, with the highest average duration in case of HYD projects (25.5 months) and the lowest average duration in case of RET projects (12 months) and BIO projects (14 months). OTH projects have an average duration of 17 months, see figure 43.
Ten investments indicated the completion of the Permitting phase until 31.12.2022, of which are four HYD projects (HYD-A-396, HYD-A-549, HYD-A-562 and HYD-A-745). 17 investments indicated to start permitting until 31.12.2022 with latest expected end of permitting until December 2030. 89 Investment indicated to start permitting between 2023 – 32, which the highest concentration in the years 2024 and 2025.
135 Investments provided information regarding the (expected) FID Date, with only five investment actual reaching FID status until the end of the project collections (BIO-F-437, OTH-F-541, OTH-F-632, OTH-F-743, HYD-F-1304).
Based on the lack of maturity and uncertainties on the time schedule, the FID Date as well as the construction period will be not further analysed but all information can be found in the respective Annex A for TYNDP 2022.
| Status | Completed in TYNDP 2022 | FID in TYNDP 2022 | Advanced in TYNDP 2022 | Less-Advanced in TYNDP 2022 | Cancelled/Not- resubmitted | Total |
|---|---|---|---|---|---|---|
| FID (TYNDP 2020) | 2 | 3 | 0 | 1 | 3 | 9 |
| Advanced (TYNDP 2020) | 1 | 1 | 2 | 0 | 0 | 4 |
| Less-Advanced (TYNDP 2020) | 1 | 0 | 9 | 27 | 25 | 62 |
| Total | 4 | 4 | 11 | 28 | 28 | 75 |
Table 7: Evolution of projects from TYNDP 2020 to TYNDP 2022 (Energy Transition Projects TYNDP 2020 Category)
The project category ETR in TYNDP 2020 have been replaced by the new categories HYD, RET, BIO and OTH. Promoters were able to resubmit projects using the project categories as defined in the PID for TYNDP 2022.
Of the nine investments submitted for ETR already having the FID status in TYNDP 2020:
- 2 were completed;
- 3 are still planned with FID status in TYNDP 2022 submitted under Category OTH (OTH-F-541, OTH-F-632 and OTH-F-743);
- 1 is still planned but no more FID:
- BIO-N-7282 present in TYNDP 2022 has the Less-Advanced status while in TYNDP 2020 it was FID status. The Promoter confirmed that this project is still on time but haven’t provided sufficient information regarding the time schedule to keep the FID Date.
- 3 projects have been cancelled (ETR-F-523, ETR-F-516 and ETR-F-599).
2 Biomethane: connection of production units
Of the four ETR investments having the Advanced status in TYNDP 2020:
- 1 were completed (ETR-A-64);
- 1 got the FID after TYNDP 2020 project collection (BIO-F-437);
- 2 still have the Advanced status (HYD-A-312 and OTH-A-430);
Of the 62 ETR TYNDP 2020 investments having Less-Advanced status:
- 1 were completed (ETR-N-938);
- 9 moved from Less-Advanced to Advanced status;
- 27 are still planned and present Less-Advanced status;
- 25 were cancelled / not-resubmitted.
7.5.4 Investment costs
Investment costs are for project promoters in many cases commercially sensitive information and might have the potential to negatively affect the competitive position of project promoters vis-à-vis contractors. This is in particular valid for Hydrogen Infrastructure Projects as currently not many reference values/indicators are available.
In total 115 Investments in the HYD, RET, BIO and OTH categories have provided Cost Information as non-confidential. Starting in 2029 the highest concentration of costs can be reported.
Figure 46: Overview of total cost by commissioning year and project status for HYD, RET, BIO and OTH (billion €)
Given that the maturity of projects has been submitted under HYD and most projects are having the less advanced status the highest expected costs are concentrated here.
Besides the expected CAPEX, ENTSOG asked Promoters for this TYNDP edition to provide figures for the expected rangein [in %] on how the CAPEX may differ. Analysing this CAPEX range is emphasising the less mature status of the investments in these four new project categories. Furthermore, promoters do not have comparison values based on the lack of commissioned projects in the past. The average range for TRA, UGS and LNG is only 21 %, while for HYD Investment it is the highest average range of 35 %. OTH Investments have an average range of 29 %, while RET and BIO show a average range of 25 % (see figure 47).
In line with the ENTSOG Practical Implementation Document, the cost data submitted by the project promoters for the projects to be included in the TYNDPs is made public by ENTSOG unless the data is deemed confidential by the respective project promoters.
While fully acknowledging the importance and the right of promoters to keep project cost information confidential, at the same time, it is important that projects for which promoters have applied for the PCI label during the 1st PCI/PMI call under the revised TEN-E ensure the highest possible level of transparency and there is a level-playing field for all projects.
On this basis, for PCI candidate projects that have marked their expected costs as confidential, alternative figures have been directly provided by the promoters based on reference costs. These figures, per project, will be later used only for public information sharing reasons in the Assessment phase, in order to ensure as much transparency as possible.
Figure 47: Average CAPEX Range per infrastructure category
7.6 Hydrogen Infrastructure and its 1st PCI/PMI call under the revised TEN-E Regulation
The revised TEN-E Regulation (EU) 2022/869 was published in May 2022 and according to Regulation (EU) 2022/869 Annex III.2 “From 1 January 2024, the proposed hydrogen projects of common interest falling under the energy infrastructure categories set out in point (3) of Annex II to this Regulation are projects that are part of the latest available Community-wide ten-year network development plan for gas, developed by the ENTSO for Gas pursuant Article 8 of Regulation (EC) No 715/2009.”
Following this, projects aiming to apply for the 1st PCI/PMI call were not prerequired to be included in this TYNDP edition and PCI project candidates were collected in a separate PCI call between 18 October and 15 December 2022.
To allow a fair treatment of all projects applying for PCI/PMI status, also project promotors for hydrogen infrastructure submitted during the TYNDP 2022 project collection phases could also updated their submission providing the latest available data. After reviewing the PCI Collection, ENTSOG decided to include newly submitted initiatives, with relevance for the system assessment, also in TYNDP 2022.
Based on Hydrogen Infrastructure submissions received for the 1st PCI/PMI call and in line with the draft CBA Methodology, published by JRC, ENTSOG will run project-specific assessments (PS-CBA) for eligible PCI candidate Projects. The final list of groups and the assessment will be published together with the Final TYNDP 2022.