TotalEnergies, RWE Sign 15-Year Green Hydrogen Deal to Decarbonize Refineries – EQ
In Short : RWE and TotalEnergies have entered into a long-term agreement for the supply of green hydrogen. The deal aims to accelerate the transition to clean energy by leveraging green hydrogen as a sustainable fuel source. This collaboration underscores both companies’ commitment to reducing carbon emissions and advancing the global green hydrogen economy, supporting climate goals and renewable energy integration.
In Detail : French energy giant TotalEnergies announced today a new agreement with the German power producer RWE to supply 30,000 tons of green hydrogen annually to the Leuna refinery for 15 years, beginning in 2030. The deal is in line with a commitment by TotalEnergies to decarbonize the hydrogen used in its European refineries, the company said.
The green hydrogen will be produced by a 300 MW electrolyzer, to be built and operated by RWE in Lingen, Germany. The hydrogen, which will be delivered by a 600 km pipeline to the Leuna refinery, will prevent the emission of 300,000 tons of CO2, TotalEnergies said.
Patrick Pouyanné, Chairman and CEO of TotalEnergies, said:
“We are looking forward to developing further our partnership with RWE, our partner in several offshore wind projects in Germany and the Netherlands. This long-term green contract for green hydrogen marks an important milestone to reducing our CO2 emissions at our Leuna refinery. It will be made possible thanks to the completion of the H2 backbone by German authorities and their efficient support to green H2 customers like our Leuna refinery.”
TotalEnergies has stated that it wants to replace 500,000 tons per year of the hydrogen consumed in its refineries with green hydrogen by 2030, which it anticipates could help reduce CO2 emissions by approximately 5 million tons annually. The company recently signed a deal with French industrial gases and services supplier Air Liquide to produce and deliver green hydrogen. And last year, TotalEnergies announced the acquisition of a 50% stake in OranjeWind, a 795 MW offshore wind farm under development in the Netherlands, from RWE, with TotalEnergies’ share of the project’s renewable energy to be used to power electrolyzer projects for the production of green hydrogen.
Markus Krebber, Chief Executive Officer of RWE, said:
“We are proud to have secured the first long-term offtake agreement for green hydrogen of this size with TotalEnergies in Germany. Six months after the investment decision for the construction of the 300-megawatt electrolysis plant in Lingen, we have acquired an important anchor customer in TotalEnergies. This shows that hydrogen works with the right incentives for customers.”
