Germany to finance production of green hydrogen in Serbia – They intend to import it from here, company from Leipzig to build first pilot facility

The German government is financing the pilot project of the production of green hydrogen in Serbia. The German ministry of economy and climate action says that the HyDSerbia project will be implemented by the company Leipziger Energiegesellschaft.

This Leipzig-based company designs and implements photovoltaic system.

The facility in Serbia will consists of a photovoltaic generator and a component for the production of hydrogen. At this facility hydrogen will be generated by electrolysis. Initially, it will serve the purpose of small-scale industrial production and practical commercial use of green hydrogen in a location in the Republic of Serbia (which has not been named).

The project, however, as added, is a technical, regulatory and commercial basis for subsequent planned upscaling of green hydrogen production for the region.

– By organizing reliable and sustainable supply chains for a climate-neutral energy source, a part of the future demand should be met, covering the Federal Republic of Germany – says the German ministry.

That Germany’s plan is for green hydrogen to be produced throughout Serbia can also be concluded from the accompanying feasibility study for a big industrial scaling up of the production, transport and export of green hydrogen and its derivatives in various locations in the Republic of Serbia, which was prepared by the German Fraunhofer Institute.

The study says that the main motivation of the HyDSerbia project is the development of the Serbian hydrogen market as one of the foreign markets of strategic importance for the German strategy of the import of green hydrogen and its derivatives.

For the needs of the green hydrogen project in Serbia, the German ministry set aside slightly less than EUR 3.5 million, for the 2022-2026 period.

The German development bank KfW is considering getting involved in the production of green hydrogen in Serbia.

KfW is looking into possibilities to support Serbia’s green hydrogen sector, including potentially leveraging private investments, with the goal of stimulating a local hydrogen value chain and support Serbia’s decarbonization efforts, KfW told SeeNews.

Let us remind that, last week, KfW director for Southeast Europe and Turkey, Klaus Muller, talked to Serbia's mining and energy minister Dubravka Djedovic Handanovic. During the meeting, Muller said KfW was interested in investing in innovative renewable energy in Serbia, including green hydrogen, “through a potential pilot project, in cooperation with the private sector, which would open the door to new investments in the hydrogen infrastructure in Serbia.”

B. P.

Leipziger Energiegesellschaf

German ministry of economy and climate action

KfW

Fraunhofer institute

project HyDSerbia

green hydrogen

production of green hydrogen

pilot facility for production of green hydrogen