RWE and BASF will look to cooperate on developing a new offshore wind project that, with a capacity of 2GW, will enable the production of green electricity and hydrogen.
The main objective of this project is to convert the existing production processes for basic chemicals, primarily using fossil fuels, to electric that will help produce green, carbon free hydrogen.
In doing this, electrical heated steam cracker furnaces will be implemented and produce petrochemicals with the project envisaged to become a climate protection hub for technology.
The production of the carbon free hydrogen is expected to be support the European hydrogen economy and supply local clusters with the carbon free fuel of tomorrow.
To advance the joint project, the CEOs of BASF and RWE have signed a letter of intent covering a wide-ranging cooperation for the creation of additional capacities for renewable electricity and the use of innovative technologies for climate protection.
Martin Brudermüller, Chairman of the Board of Executive Directors of BASF SE, said, “Without the availability of sufficient volumes of electricity from renewable sources at competitive prices, our future transformation will not be possible!
“This task is only achievable with innovative and intensive cooperation between politics and industry. And it requires collaboration across the value chains.
“In our partnership between RWE as a leading company in power generation and BASF in chemicals, we bring together the necessary prerequisites and the will to shape things.”
Markus Krebber, CEO of RWE, said, “Coupling a new offshore wind farm already in the planning stage to an industrial customer such as BASF, who will convert its production to green electricity and hydrogen on this basis, would be a first for Germany.
“The realisation of our proposal would represent a true acceleration of the expansion of renewable energies. Of course, there are still some open questions, but we want to push this forward – the faster, the better.
“This is how we will shape the energy transition.”
Sign up to our newsletter
Get all the latest hydrogen news, views and developments straight to your inbox.
Sign up to H2 View’s weekly bulletin today to ensure you don’t miss out