Kehler: “The Focus of the Monitoring Report on Achieving More Energy Transition for the Euro Is Correct”

The Federal Ministry for Economic Affairs and Energy today presented the Energy Transition Monitoring Report, which aims to make the progress and challenges of the transformation more transparent and measurable. Dr. Timm Kehler, CEO of the German Association Die Gas- und Wasserstoffwirtschaft, welcomes the findings of the report, which, among other things, show that hydrogen and its derivatives increase the cost efficiency of the overall system:

“The monitoring report sets the right priorities: At its core is the avoidance of inefficiencies. System costs are the key to achieving the goals of the energy transition. One thing becomes very clear in the report: Only through the broad use of hydrogen can costs be contained, flexibility created, and security of supply ensured.

We therefore welcome the proposed priorities: the technology-neutral use of all colors of hydrogen, the rapid expansion of hydrogen storage facilities, the development of CCS as a building block for ramping up hydrogen, the expansion of hydrogen-capable power plants in a capacity market, and integrated system planning that brings together grids, generation, and flexibility. The cross-sectoral flexibility from electricity to hydrogen is particularly the key to acceleration and efficiency.

As sound as the analysis is, urgent action is now required. In the short term, we see three priority actions: First, the launch of tenders for hydrogen-capable gas-fired power plants and the publication of the framework conditions for the associated capacity market. Second, the technically feasible recognition of low-carbon hydrogen within the framework of REDIII in the European Commission’s delegated regulation. And third, enabling bioenergy to access the flexibility market.”