05 Social value creation

By blending high-calorific gas from outside the Netherlands with nitrogen, we create low-calorific gas, i.e. Groningen-quality gas. GTS is in the process of ramping up blending capacity so that gas production from the Groningen field can be ceased. Completion of the nitrogen installation in Zuidbroek, which is the final piece of the puzzle of weaning the Netherlands off gas from the Groningen field, was delayed over the past two years due to the pandemic. 

Due to the exceptional market conditions, there is great uncertainty over various factors that could affect gas extraction from the Groningen field. GTS has, therefore, included an outline of the impact of the changing planning circumstances in its advice to the Dutch State Secretary. As gas prices skyrocket due to the Russian invasion of Ukraine and looming gas shortages, we are seeing a slump in demand from the market. The search for alternatives to Russian gas has driven up LNG imports to historically high levels, which, in turn, means that more nitrogen is needed to convert that imported gas to the right gas quality. Efforts by the market and Gasunie to reduce production from the Groningen field are also leading to unprecedented use of nitrogen.

Gasunie’s stakeholder engagement platform, which went online in the Netherlands in April, makes all kinds of information available to farmers and growers, contractors, local authorities, organisations, and educational institutions, while also letting them arrange other things in a way that is easy and clear. The platform lets them, for example, submit data requests, schedule a preliminary meeting, or report crop damage. An interactive map shows the exact location of Gasunie’s pipelines so that users can instantly report a damaged or defective Gasunie asset, for example, or submit a data request.

In June, Gasunie presented the roll-out plan for the national hydrogen network that will be operated by its subsidiary HyNetwork Services. This plan details the order in which the various pipelines will be laid. We are prioritising regions where market parties have given the firmest commitments. One of these is the Rotterdam region, where we are working on a firm commitment with Shell, as well as with other parties with strong initiatives. The 32km-long Rotterdam Hydrogen Network between Pernis and the Maasvlakte industrial area is planned to be completed by late 2024/early 2025 and is part of the national hydrogen network that we expect to have up and running in 2027. Given the expected growth of hydrogen production using offshore wind farms, we are, together with the Dutch government, exploring whether there is also a need for a public offshore hydrogen network with connections to other countries around the North Sea.

Besides domestic hydrogen production, large-scale green hydrogen import will be essential in enabling the European energy and feedstock transition. Gasunie and Vopak, therefore, intend to jointly develop infrastructure for the import of hydrogen carriers into north-western Europe through ports in the Netherlands and Germany. The intended infrastructure will be made up of import terminals and enable onward distribution of green hydrogen to end users by pipeline, waterways, road, rail, and other means. Import initiatives are developing fast: the first import streams to Germany and the Netherlands are expected to materialise in 2025. Gasunie and Vopak have been working together for some time. They are the joint owners of the Gate LNG terminal in the Port of Rotterdam that was commissioned in 2011.

In mid-June, the Dutch Council of State reported that it has again delayed its ruling on the partial exemption (‘construction exemption’) for Porthos. The Council of State has not given a new date when we can expect the ruling. Porthos is a crucial element in achieving the Dutch emission targets. As a result, other CCS projects that Gasunie and its consortium partners are working on, such as Aramis, also continue in a state of uncertainty. 

Gasunie has decided to invest in extending WarmtelinQ from Rijswijk to Leiden, thus creating a broader customer base for this heat grid that uses heat waste from industry in the Port of Rotterdam. The schedule for construction of the original pipeline that runs from Vlaardingen to The Hague via Rijswijk will be amended following Gasunie’s reallocation of part of the insulated pipes to the temporary LNG facilities that are being built at Eemshaven. This involves a total of three kilometres of pipeline. WarmtelinQ’s scheduled completion date will not have to be pushed back.

Gasunie is taking its Corporate Social Responsibility very seriously, with specific and ambitious targets in our Gasunie Green Deals. We have created an online dashboard showing our progress in making our operations greener and more social. Most of our Green Deals are targets we intend to achieve by 2030, with an intermediate target in 2023.