Marseille's Hydrogen Plan for the Whole of Europe

Around the Mediterranean metropolis, billion-dollar projects for green hydrogen are emerging. The plans are also significant for the German industry.

‍

H2V is among France's pioneers in the future business of green hydrogen. The company plans six production facilities for the climate-neutral energy carrier. H2V CEO Alexis Martinez places great hopes on the planned facility in Fos-sur-Mer: the industrial port of Marseille is set to "become a hub for the hydrogen economy."

For decades, the Mediterranean metropolis suffered from a loss of importance of its port, the largest maritime hub in France. Covering an area of over 10,000 hectares, it is as large as the city of Paris. Now, there is new confidence: "In Fos-sur-Mer, we are creating the port of the future, a test field for the energy transition," says Anastasia Touati from the port company.

Marseille aims to reinvent itself as the leading European hydrogen metropolis. Companies like H2V are investing in the production of climate-neutral gas, startups are developing hydrogen applications such as emission-free drives for shipping, and a corporate consortium plans to start building a green steel plant in Fos-sur-Mer in 2024.

And Marseille is set to become the hub of a new hydrogen pipeline, which is likely to play an important role in the future energy supply of the German industry. This is the "H2Med" pipeline system, which is intended to run from the Iberian Peninsula through the Mediterranean to Fos-sur-Mer and from there continue to Germany.

‍

The project is supported by the governments of Madrid, Lisbon, Paris, and Berlin, as well as the EU Commission. The infrastructure is expected to transport two million tons of climate-neutral hydrogen per year, about ten percent of the total European demand.

"With this project, Marseille will become one of the major hydrogen centers in Europe," believes President Emmanuel Macron. "H2Med" is expected to be completed by 2030, with estimated construction costs of around 2.5 billion euros. Considerations also include connecting the pipeline to hydrogen production in North Africa. Green hydrogen is obtained through electrolysis, where water is split into hydrogen and oxygen using electricity from renewable sources. Large industrial plants in sectors such as steel or chemistry rely on the energy carrier on the path to climate neutrality. But also, industrial SMEs that produce glass, paper, or ceramics, foundries, or galvanizers want quick access to climate-neutral hydrogen to reduce their CO2 emissions.

H2V CEO Martinez is somewhat more cautious about his forecast for the "H2Med" timeline. "I expect the pipeline to be completed more likely by 2040 than 2030," he says. However, hydrogen production in Marseille will start earlier. The sunny coastal region in southern France offers great potential for providing the required renewable energy, be it solar or offshore wind.

H2V plans electrolysis capacities of 600 megawatts (MW) in Fos-sur-Mer, with an investment of around 750 million euros. The plant, expected to deliver 84,000 tons of green hydrogen per year, is one of the largest French hydrogen projects. It is planned to be operational in two phases in 2028 and 2030. In the immediate vicinity of the Marseille industrial port, energy companies Total and Engie are developing the "Masshylia" project: originally intended as a 40 MW electrolyzer, the plans were expanded in spring to a capacity of 125 MW. Solar and wind power plants on-site are expected to supply the production facility with electricity.

"Masshylia" is expected to start producing green hydrogen in 2026. The industrial gas is primarily intended for the Total refinery in La Mède, which produces biofuels. "For us, climate-neutral hydrogen is a key element in decarbonizing our refinery activities," says Sébastian Bruna, who heads the hydrogen division at the energy company.

‍

German gas specialist Hy2Gen from Wiesbaden also aims to produce green hydrogen near Marseille, which will then be used for the production of biofuels and sustainable aviation fuel. The "Hynovera" project is planned for the site of the former Gardanne coal-fired power plant. Meanwhile, the startup Gravithy wants to make iron and steel production climate-neutral with green hydrogen. The company is backed by an industrial consortium including companies like Engie and the French auto supplier Forvia.

The steel plant in Fos-sur-Mer is expected to be equipped with a 700 MW electrolyzer. Construction is targeted to begin in 2024, with an investment of 2.2 billion euros in the Marseille industrial port. The plant is expected to be fully operational by 2027, producing two million tons of direct-reduced iron annually. Support comes from Brussels: "The Gravithy project is a milestone and will contribute to our goal in Europe to produce ten million tons of clean hydrogen by 2030," said EU Internal Market Commissioner Thierry Breton.

However, H2V CEO Martinez suspects that the electricity demand for the many hydrogen projects around Marseille will hardly be covered by the region's locally generated solar and wind energy. Therefore, electricity from the French grid, which is largely decarbonized due to the high share of nuclear power, is also necessary. Transmission system operator RTE announced in November that it plans to build a new high-voltage line to Fos-sur-Mer. President Macron also suggested another possibility during a visit to Marseille in the summer: the industrial port could become a location for one of the new mini nuclear power plants currently being developed.

‍

Paris is banking on Small Modular Reactors (SMRs) for future power supply. However, it is controversial whether hydrogen from nuclear power can be called "green" – the German government strictly rejects this and speaks of "yellow" hydrogen.

The decision-makers in Marseille are not concerned with this color theory; for them, the economic opportunities count. According to the port company, four decades passed without new factories being built – now, there are ten projects simultaneously. And Renaud Muselier, President of the Provence-Alpes-Côte d'Azur region, says, "The energy transition offers the region enormous potential for reindustrialization."