Estonia allocates EUR 40.5 million to support green hydrogen projects

TALLINN. Dec 14 (Interfax/BNS) – The Estonian Environmental Investment Center has decided to allocate EUR 40.5 million to finance projects from the Tallinna Sadam (Tallinn Port) concern, Eesti Energia, as well as the Utilitas and Derivaat NH3 groups on the use of green hydrogen energy.

As the investment center told BNS, three of the enterprises, along with partners, plan to use green hydrogen in the transport sector, while one will use it in the chemical industry.

Tallinna Sadam, together with its partners Green Marine and Alexela, has applied for funding for the production and supply of green hydrogen to the Estonian ports of Muuga and Azeri, as well as for the creation of a filling station with the ability to supply hydrogen to the state ship fleet. There are also plans to purchase eight vehicles powered by green hydrogen. The total cost of the project is EUR 13.7 million, of which EUR 9.9 million are subsidies.

Eesti Energia, together with partners Alexela, Enefit Green and GoBus, will start producing green hydrogen at a hybrid wind/solar park in Purts. There are also plans to create hydrogen filling stations in Tartu and Sauga. In addition, three city buses, eight cars and two trucks powered by hydrogen will be put into operation. The project will cost EUR 12.5 million, EUR 9.9 million of which will be subsidized.

Utilitas, together with Alexela, has received a grant for the construction of an additional green hydrogen production facility in Tallinn. In addition, 10 hydrogen-powered trucks will be purchased, and Alexela will build a hydrogen filling station in Juri. The total cost of the project is EUR 5.1 million, including EUR 4 million as a grant.

Derivative NH3 will set up a plant in Paldiski to produce green hydrogen, which will be used to produce green ammonia. In turn, the resulting product will be used as an environmentally friendly raw material for the production of fertilizers and agrochemicals. The total cost of the project is estimated at EUR 70.4 million, EUR 16.9 million of which will be subsidized.

The support will be provided from the Recovery and Resilience Fund, the terms of which were developed by the Ministry of Economic Affairs and Communications together with the Environmental Investment Center.

Earlier it was reported that the Port of Tallinn was considering the possibility of building, in cooperation with the Alexela Company, a hydrogen storage facility with a volume of 25,000 cu. m. and infrastructure for bunkering ships with hydrogen.

The Tallinna Sadam concern is a complex of five ports, consisting of the Tallinn Passenger Port, Muuga, Paldiski, Paljassaare and Saaremaa. The main shareholder is the state (67%).

Eesti Energia is an international energy concern whose home markets are the Baltic countries, Finland and Poland (outside Estonia it operates under the Enefit brand). The sole shareholder is the Estonian state.

Eesti Energia joined the European Clean Hydrogen Alliance in 2020 with the aim of accelerating the emergence of innovative energy solutions in Estonia and in other markets where the company operates.

According to the Utilitas website, the group is a leading producer of renewable heat and electricity and provides district heating in Estonia. By 2030, Utilitas intends to use only renewable energy sources, and by 2035, to renovate all district heating networks.

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