Finland’s first industrial-scale green hydrogen plant has started commercial operations, with the developer urging more companies to deploy renewable H2 or its derivatives before mandates come into force.
P2X Solutions had installed 20MW of pressurised alkaline electrolysers supplied by Sunfire at its Harjavalta project, with a power-purchase agreement in place which complies with the EU’s rules for electricity supply for “renewable fuels of non-biological origin” (RFNBOs).
P2X’s CEO Herkko Plit tells Hydrogen Insight that while Harjavalta has offtake agreements in place, there is still some capacity left for sale.
The developer had signed an offtake agreement with Danisco Sweeteners in 2023 for green hydrogen to be used in the production of xylitol, a sugar substitute.
Danisco already uses grey hydrogen to make xylitol at its factory in Kotka, which is more than 300km away from Harjavalta.
The EU targets 42% of industrial hydrogen to be renewable by 2030, although many member states have yet to transpose this policy into national legislation.
Green hydrogen is currently much more expensive to produce than H2 made from fossil gas, with many industrial users apparently reluctant to sign off on large-scale purchase agreements today.
However, without offtake agreements, developers will struggle to secure project finance, with the risk that by 2030, there will not be enough renewable H2 produced to meet the EU-level mandate.
“We recommend companies to start deploying green hydrogen and electric fuels before the mandatory legislation enters into force, as the change will take time,” said Plit in a statement.
“My message to companies is: Don’t wait for the change, make it happen. This will give you a competitive advantage and secure your supply of emission-free energy in the 2030s.”
P2X plans to start up a methanation plant at the same Harjavalta site in the near future to produce synthetic methane.
Additionally, it is developing a 40MW green hydrogen facility in Joensuu in the eastern interior of Finland and a 100MW project in Oulu on the country’s northwestern coast.
Meanwhile, the Harjavalta project is also the largest installation of Sunfire’s electrolysers to date, although it is currently working on a 100MW order for an anonymous European refinery due to start operations next year, as well as 100MW for RWE in Germany scheduled for start-up in 2027.
“The electrolysis plant in Harjavalta is a flagship project in Europe!” said Sunfire CEO Nils Aldag.
“With the commercial operation of Sunfire’s 20MW pressurized alkaline electrolyzer now underway, P2X Solutions has achieved a major milestone in accelerating Finland’s green hydrogen market.
“We are proud to be part of this pioneering project and congratulate the entire team on this outstanding achievement in Finland’s energy history!”
Updated to include comment from Sunfire.
