H2BE actively contributes towards climate neutrality

Investing in H2BE extends beyond its immediate economic growth of €630 million per year, as it accelerates the entire clean hydrogen economy by kickstarting the hydrogen and CO₂ value chains. As a driver for economic growth, H2BE is positioned to establish a local hydrogen economy of €2,1 billion per year in 2030. Moreover, H2BE triggers the creation of 7.500 new jobs in the Belgian hydrogen economy (600 direct, 3.000 indirect, 3.900 induced) of which 90% permanent, highlighting its long-term contribution to the Flemish/Belgian economy.

This initiative plays a crucial role in laying the foundation for a sustainable hydrogen landscape. It actively contributes to the structural advancement of domestically produced low-carbon hydrogen by ensuring timely investments in local infrastructure, paving the way for a future dominated by renewable hydrogen. The project distinguishes itself by offering affordable low-carbon hydrogen volumes precisely when needed, particularly during the initial stages of the emerging hydrogen economy. The ability to scale up rapidly positions H2BE as a low-risk, high-impact local driver, essential for efficiently decarbonizing hard-to-abate sectors. Finally, H2BE can play a pivotal role in advancing knowledge on low-carbon hydrogen and CO₂ value chain technologies. By contributing to these domains, the project positions Belgium as a leader in the low-carbon hydrogen sector.

Financial support for low-carbon hydrogen volumes of H2BE represents a cost-efficient intervention to mitigate CO₂ emissions in Belgian industries. The project offers a compelling economic advantage, with its volumes providing a cost-efficient means to reduce CO₂ emissions at one-third to one-fourth of the support needed for a similar-sized renewable hydrogen (import) project in 2030. H2BE thus emerges as a financially impactful strategy for achieving substantial emission reductions in industry. The H2BE project operates as a substitution for natural gas rather than an addition. Low-carbon hydrogen derived from natural gas is anticipated to exhibit lower volatility due to the expected evolution of feedstock costs and the established infrastructure of a mature market. Moreover, the project strategically aligns with ETS market dynamics as CO₂ prices are expected to rise, enhancing the willingness-to-pay of hydrogen offtakers and consequently reducing the need for additional support

The strategic location of H2BE’s local production in the immediate vicinity of its offtakers is a key factor in guaranteeing the reliability of sufficient volumes at predictable prices by eliminating logistical uncertainties. H2BE’s localized production fosters an integrated local value chain of hydrogen and CO₂. On top of that, the project’s collaboration with Norway, a trusted partner in Europe for both the supply of natural gas and the storage of captured CO₂ in the North Sea, adds an additional layer of reliability. This partnership not only enhances the project’s resilience but also mitigates the risks associated with geopolitical developments overseas. Additionally, the maturity of H2BE’s ATR (Autothermal Reforming) technology further solidifies the project’s trustworthiness, providing a proven and well-established method for consistent low-carbon hydrogen production in Flanders.

H2BE actively contributes to CO₂ reduction targets: with a carbon capture rate above 95%, the project structurally contributes towards climate neutrality, reducing on average 1,7 Mton of CO₂ per year at H2BE offtakers. H2BE plays a pivotal role in achieving Belgium’s climate goals by delivering up to 12% of the emission reduction targets for 2030 in the ETS sector. The support needed for H2BE is one-third to one-fourth of that needed for a similar-sized renewable hydrogen (import) project. Importantly, even when considering a comprehensive LCA, the carbon footprint of H2BE (<1,5 kg CO₂e/kg) remains competitive.

Furthermore, H2BE’s deployment of mature technology comes with an added environmental benefit as it doesn’t rely on the use of critical materials such as rare earth metals. The project’s commitment to sustainability even extends into the future: designing the facility to potentially use bio-methane instead of natural gas (generating negative emissions) avoids stranded assets and thus makes H2BE future-proof. This holistic strategy not only establishes H2BE as a driving force for sustainability but also aligns with the broader goals of achieving climate neutrality.