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Lithuania lays the foundation for the hydrogen era

Looking at the directions of the energy transformation, in pursuit of decarbonisation of the economy and implementation of the European Green Deal, Lithuania started to draft the national guidelines for the development of hydrogen technology.

“All the recent global studies and assessments reveal that green hydrogen is essential for decarbonisation of the energy, industrial and transport sectors,” said Dainius Kreivys, Minister of Energy of Lithuania. “Therefore, Lithuania also needs to assess the role that hydrogen should play in achieving the goals of decarbonisation and the benefits it could bring to Lithuania.”

Having conducted a detailed analysis, independent foreign experts, in cooperation with Lithuanian institutions and companies, will present possible value chain solutions for the hydrogen sector. As the Minister explained the study should provide guidelines for future plans related to green hydrogen.

The 145,000 euros contract was awarded to UK-based consulting company Baringa in cooperation with international management consulting firm Civitta, the Lithuanian gas transmission system operator Amber Grid and EPSO-G group. According to plans, the guidelines for the development of the Lithuanian hydrogen sector till 2050 and the action plan for their implementation till 2030 will be prepared in the upcoming spring.

“Hydrogen has a clear role to play in accelerating the journey to net-zero, so we are delighted to be partnering with Amber Grid to develop Lithuania’s hydrogen roadmap,” said Baringa’s global lead for hydrogen, Kate Orchard.

Experts will conduct an analysis of the potential for the development of hydrogen production and use in Lithuania, covering the entire hydrogen value chain; production opportunities in Lithuania, storage, import and export, promotion of investment in hydrogen development and infrastructure adaptation for hydrogen. The guidelines and action plan will also model hydrogen supply and demand in the energy, transport and industrial sector.

Lithuania’s Hydrogen Platform was established in 2020 at the initiative of the Ministry of Energy. By now, the platform now brings together more than 45 participants who are actively interacting in different working groups in the hydrogen industry, transport and energy.

In the implementation of the National Energy Independence Strategy, Lithuania has started cooperating in the development of the first pilot green hydrogen production project, and plans have been announced to integrate large renewable energy capacities into the Lithuanian energy system, including onshore and offshore wind and solar energy.

Last year, Lithuanian gas transmission system operator Amber Grid, energy distribution operator ESO and company SG dujos Auto signed a cooperation agreement on the development of hydrogen production via power-to-gas (P2G) technology. The project is expected to launch in 2024, and it will be the first time that a green hydrogen producing unit will be connected to the Lithuanian gas system.

The European Green Deal and the Hydrogen Strategy adopted by the European Commission in 2020 envisage that green hydrogen will be the main sustainable energy source in the global transition to renewable energy, addressing the issue of balancing and storing renewable electricity.

As European countries are coming up with ambitious hydrogen strategies, studies indicate that hydrogen demand in Europe will exceed its supply over the next ten years. Lithuania expects that buying and transporting hydrogen from the Baltic states and Scandinavia will also be important, as they are seen as potential producers of hydrogen due to favourable conditions for the development of renewable energy, such as wind farms in the Baltic Sea.

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