- Preparation
- General information
- Strategic Case
- Economic Case
- Financial Case
- Management Case
General information
Description of the project
Organization of a pipeline "highway" for transporting hydrogen from promising production areas in Ukraine to areas of increased demand in the EU.
The purpose of the project
Main goal:
Creation of new facilities and services
Secondary goal:
Contribution to climate or environmental goals, Introducing innovations and energy-efficient solutions
Description of the purpose of the project and ways to achieve it
Create a pipeline corridor for transporting hydrogen from promising areas of its production in Ukraine to the main areas of its consumption in Germany through the gas transportation systems of Slovakia and the Czech Republic.
Problems and solutions resulting from project implementation
Ukraine has significant potential for renewable hydrogen production (18-38 million tons per year according to the Unlocking Ukraine’s Hydrogen Opportunity: A Roadmap – IEA, March 2025 report), while, especially at the initial stage, significant demand for this resource within the country is not expected. At the same time, a deficit in the hydrogen market is expected in the EU by 2030, which is planned to be covered by imports from third countries. In particular, the REPowerEU plan estimates the need for imports at 10 million tons per year. Accordingly, for the establishment and development of the hydrogen industry in Ukraine, the creation of pipeline capacities to ensure the connection of promising areas for renewable hydrogen production in Ukraine with areas of increased demand in the EU is of critical importance.
Socio-economic context
Indicator
Value
Capacity
1500000 t
Strategic Case
Strategic feasibility of the project
Sector
Energy Sector
Subsector
Oil and gas industry
Stream
Gas transportation
Strategic document
Energy Strategy of Ukraine until 2050
Task
Ensuring the transportation of natural gas: - by the gas transportation system; - by the gas distribution system
Project objectives
Indicator
Base value
Target value
Design capacity of the gas pipeline
0 t
1500000 t
Economic justification
Alternative technical solutions
Technical Solution 1
Repurposing the existing GTS infrastructure for hydrogen transportation
Technical Solution 2
Construction of a new hydrogen pipeline and compressor stations with associated infrastructure
Total costs18'094'146'001 UAH44'725'800'001 UAH
Average annual costs416'346'000 UAH676'200'000 UAH
Project duration, incl.60 months60 months
Service life240 months360 months
Target indicatorsDefined Defined
Technical Solution Status
Active
Rejected
Components of a technical solution
Financial justification
Total project budget
Total preliminary budget18'094'146'001 UAH44'725'800'001 UAH
Capital costs18'094'146'001 UAH44'725'800'001 UAH
Operational costs0 UAH0 UAH
Preliminary cost breakdown
Operating costs for implementation0 UAH0 UAH
For preparation193'200'000 UAH483'000'000 UAH
For implementation17'484'600'000 UAH43'566'600'000 UAH
For operation416'346'000 UAH676'200'000 UAH
For closing1 UAH1 UAH
Average project cost per service recipient
Service UnitВартість створення річної потужності (витрати / річну потужність транспортування водню, грн/кг)
Service Unit Cost8 UAH
Profitability of the project
Is the project expected to generate income?
ResponseYesNo
Project Financing Mechanisms
Are funding sources and mechanisms identified?
Source and MechanismYesNo
Funding Sources
Approved Funds0 UAH0 UAH
Expected Funds0 UAH0 UAH
Management Rationale
Risk assessment
Technical riskDefinedUndefined
Financial riskDefinedUndefined
Political riskDefinedUndefined
Market riskDefinedUndefined
Results of the feasibility analysis
Economic Analysis
Social benefits and costs
-
Environmental benefits and costs
-
Indirect benefits and costs
-