Why the hydrogen network is starting with industrial clusters

That is why Hynetwork is working to develop this infrastructure, starting with industrial clusters. Why start there? Because of the way industrial clusters are structured and the role they play in the energy system. 

Industrial clusters in the Netherlands 

Industrial clusters are areas where energy-intensive companies are located in close proximity to one another. There are six large clusters in the Netherlands, including Rotterdam-Moerdijk, Zeeland-West Brabant, Chemelot, the North Sea Canal Area and the Northern Netherlands. In addition to these five key clusters, there are industrial companies scattered throughout the country, such as paper and brick factories. Those companies are collectively referred to as the sixth cluster.  

Much of the energy-intensive industry is located in these clusters. Examples include chemicals, fertiliser production and steel. These are processes that require a lot of energy and often high temperatures. In some cases, full electrification is not possible or sufficient. 

Shared infrastructure 

It is no coincidence that companies choose these locations. Doing so allows them to share infrastructure, such as ports, railway lines, roads and energy facilities. Many companies also operate in the same or adjacent production chains. This makes it possible to efficiently exchange raw materials and waste streams such as heat and gases. A waste product for one company may be valuable to another.  

Since companies are located close to each other, the area can function like a new neighbourhood: instead of installing a separate water line for each house, a single main line is installed for the entire neighbourhood. This is faster and more cost-effective, and it prevents you from having to dig everywhere at once. The same logic applies to the infrastructure for the energy grid. 

But a nationwide hydrogen network cannot be built everywhere at once. That is why it is being developed in stages, starting with industrial clusters. This also means that the use of hydrogen must be aligned with the phased development of the network. 

A logical starting point for the hydrogen network 

Demand for hydrogen is greatest and most concentrated in industrial clusters. This means that infrastructure can be used intensively from the outset. A larger pipeline can transport more hydrogen than several smaller ones, which helps to keep costs manageable.  

In addition, these clusters bring together the import, storage and use of hydrogen. This helps to ensure that the system is reliable. As with the natural gas network, hydrogen infrastructure must be available all the time. By starting here, the network can grow step by step and companies will have the certainty they need.