TotalEnergies and Air Liquide are collaborating on a significant initiative to decarbonize refineries in the Benelux region. The partnership aims to produce and deliver 45,000 tons of green hydrogen annually, which will reduce CO2 emissions from TotalEnergies’ refineries in Belgium and the Netherlands by up to 450,000 tons per year. This project aligns with European renewable energy targets and signifies a major step towards sustainable energy solutions in the transport sector.
Green Hydrogen Production by TotalEnergies and Air Liquide
The collaboration between TotalEnergies and Air Liquide involves two key projects in the Netherlands, focused on green hydrogen production using renewable power, primarily from the OranjeWind offshore wind farm, co-developed by TotalEnergies and RWE.
Joint Venture for Zeeland Refinery Electrolyzer
TotalEnergies and Air Liquide have established a joint venture to build and operate a 250 MW electrolyzer near the Zeeland refinery. This facility will produce up to 30,000 tons of green hydrogen annually, primarily for the Zeeland platform. The electrolyzer is slated for commissioning in 2029 and is projected to reduce the site’s carbon emissions by up to 300,000 tons each year. The project represents a combined investment of around €600 million, with both partners seeking support from European and national subsidy schemes. Air Liquide will employ electrolyzer technology from its joint venture with Siemens Energy AG for this project.
Supplying Antwerp Platform with Green Hydrogen
TotalEnergies has also signed a tolling agreement for 130 MW of Air Liquide’s 200 MW ELYgator electrolyzer project in Maasvlakte, Netherlands. This capacity will produce 15,000 tons of green hydrogen per year for TotalEnergies’ Antwerp platform. Under the agreement, TotalEnergies will supply renewable electricity from the OranjeWind project to Air Liquide, who will convert it into green hydrogen. This project is expected to be operational by the end of 2027 and will reduce CO2 emissions at the Antwerp site by up to 150,000 tons annually.
Decarbonization Ambitions and Strategies
TotalEnergies is dedicated to reducing the carbon footprint of its energy production, conversion, and supply processes. Utilizing low-carbon hydrogen to decarbonize European refineries is a key strategy, aiming to reduce annual CO2 emissions by approximately three million tons by 2030.
TotalEnergies’ Commitment to Green Hydrogen
To fully decarbonize the hydrogen used in its European refineries, TotalEnergies has already contracted over 170,000 tons of green hydrogen annually for its facilities in La Mède, Grandpuits, and Normandy in France, Leuna in Germany, and its refineries in Belgium and the Netherlands.
Air Liquide’s Role in the Energy Transition
Air Liquide is committed to achieving carbon neutrality by 2050 and is actively involved in the development and deployment of low-carbon solutions. The company’s initiatives include accelerating low-carbon hydrogen production through electrolysis and using renewable feedstocks like biomethane. Air Liquide plans to invest €8 billion in the low-carbon hydrogen supply chain, aiming to reach 3 GW of electrolysis capacity by 2030 and triple its hydrogen revenues by 2035.
OranjeWind Offshore Wind Farm
The OranjeWind offshore wind farm, developed by TotalEnergies and RWE, plays a crucial role in these decarbonization projects. It will supply renewable electricity to the electrolyzers, ensuring the production of green hydrogen. TotalEnergies leverages its position as an integrated electricity company by supplying renewable electrons to Air Liquide for conversion into green hydrogen.
Impact and Future Prospects
The partnership between TotalEnergies and Air Liquide is poised to significantly impact the Benelux region’s industrial sector. By supplying green hydrogen to refineries and other industrial users, the projects will help decarbonize hard-to-abate sectors like heavy industry and transportation.
Environmental Benefits
The projects are expected to reduce CO2 emissions by up to 450,000 tons per year from TotalEnergies’ refineries in Belgium and the Netherlands. This will contribute to the European Union’s renewable energy targets for the transport sector and support the transition to cleaner energy sources.
Strategic Alignment
The collaboration aligns with TotalEnergies’ goal of reducing Scope 1 and 2 greenhouse gas emissions by 40% by 2030 and achieving carbon neutrality by 2050. It also supports Air Liquide’s ambition to lead in European renewable and low-carbon hydrogen production.
TotalEnergies’ Broader Sustainability Initiatives
Beyond the Benelux refineries project, TotalEnergies is involved in several other sustainability initiatives:
Sustainable Forestry Investment
TotalEnergies is investing $100 million in sustainable forestry projects in the United States to generate carbon credits. These projects focus on protecting forests, reducing timber harvesting, and improving carbon sequestration.
Sustainable Procurement
TotalEnergies is committed to sustainable procurement practices, including training buyers, engaging suppliers, and integrating sustainability into procurement processes. The company aims to assess its key suppliers on sustainable development metrics and support continuous improvement in labor conditions and environmental practices.
Renewable Energy Projects
TotalEnergies is expanding its renewable energy portfolio through various projects, including solar rooftop installations and partnerships for distributed solar power generation across Asia.
Air Liquide’s Commitment to Sustainability
Air Liquide has launched several ESG initiatives, including:
ACT Program
Air Liquide’s ACT program focuses on abatement of CO2 emissions, care for patients, and trust in engagement with employees and corporate governance. The company aims to reduce Scope 1 and 2 emissions by 33% by 2035 (vs 2020 emissions).
Green Bond Issuance
Air Liquide has issued a €500 million green bond to finance energy transition and sustainable projects, including low-carbon hydrogen and carbon capture initiatives.
Biomethane Production
Air Liquide is enhancing sustainable biomethane production through a charter developed with WWF France and other experts. The charter focuses on contributing to the energy transition, supporting agroecological practices, maximizing benefits for local ecosystems, and preserving biodiversity.
Expert Perspective
Émilie Mouren-Renouard, member of the Air Liquide Executive Committee, in charge of Europe operations, has emphasized the importance of these flagship projects in reducing emissions, particularly in hard-to-abate sectors. She highlighted Air Liquide’s commitment to leading in European renewable and low-carbon hydrogen production and supporting TotalEnergies in decarbonizing its industrial assets. Mouren-Renouard’s extensive experience in the industrial gases and energy sectors positions her as a key figure in driving sustainable solutions for a low-carbon future.
Challenges and Considerations
Despite the significant investments and commitments, both TotalEnergies and Air Liquide face challenges in achieving their ambitious decarbonization goals.
Scope 3 Emissions
Air Liquide’s Scope 3 emissions have increased significantly, and the company needs to set specific targets for these emissions to align with a 1.5°C pathway.
Transparency and Measurable Outcomes
Ensuring transparency in climate-risk impact and management practices, and linking capital investments directly to measurable emission reductions, are crucial for both companies.
Regulatory and Economic Factors
The success of these projects depends on securing necessary subsidies and navigating regulatory frameworks in the European Union and member states. Economic factors, such as the cost competitiveness of green hydrogen compared to fossil-based alternatives, will also play a significant role.
Conclusion
The partnership between TotalEnergies and Air Liquide to decarbonize Benelux refineries with green hydrogen represents a significant step towards a more sustainable energy future. These projects demonstrate the potential of green hydrogen to reduce carbon emissions in hard-to-abate sectors and contribute to European renewable energy targets. While challenges remain, the commitment of both companies to innovation and sustainability positions them as leaders in the energy transition.
