EPH plans to build a hydrogen-ready gas power plant in Germany

LEAG, the operator of eastern German coal mines, plans to build a gas-fired power plant ready to burn hydrogen. LEAG is part of the EPH group, owned by Czech entrepreneur Daniel Křetínský.

LEAG, the largest operator of lignite mines in eastern Germany, is finalizing plans to build hydrogen-ready power plants, according to Clean Energy Wire  The project would be one of the first in Germany focused on building "hydrogen-ready" gas-fired power plants.

The company said the gas turbine power plant would have a capacity of 870 MW and construction could begin as early as 2025. LEAG also said that while it has not yet made a final investment decision, it is in the final stages of the decision-making process. A final decision will depend on the specific criteria of the national tender. These will be detailed in the government’s power plant strategy and will also require EU approval, as this involves state aid, which is always subject to review by the European Commission.

Construction of the gas-fired power plant in the Schwarze Pumpe industrial park is expected to take around six years, and it could be connected to the grid by 2030. The site offers “optimal starting conditions,” including existing access to the gas network. The plant is also expected to become part of the future German hydrogen network.

Gas-fired power plants ready to burn hydrogen are considered key to ensuring security of electricity supply as the share of energy from renewable sources increases. Germany also plans to stop using coal by 2038 at the latest.

In February, the German government reached agreement on a long-awaited strategy for power plants, which is intended to create a suitable investment framework for new hydrogen-ready gas-fired power plants. Since they would operate only intermittently and fuel prices are relatively high, producers currently have no incentive to build these types of plants.

Although Germany has ambitious plans for hydrogen, the implementation of specific projects is lagging behind. Facilities with a capacity of just 0.3 gigawatts (GW) are currently under construction or in the final stages of investment decisions, while the target capacity for 2030 is 10 GW.