The country is adapting its grid to begin transporting the mixed fuel starting as soon as this year.

REN of Portugal has begun adapting its high pressure natural gas grid so that it can transport a blend of 10 percent hydrogen fuel with the natural gas, beginning as early as this year, according to a statement released by the company.

The Portuguese government plans to hold its first auction for green H2 sale later this year.

The government of Portugal intends to hold its first auction for the rights to sell green hydrogen fuel. This is expected to take place in the second half of 2023. The winners of the auction will sell the H2 that will be injected into the natural gas grid throughout the country.

Analysts are excited about this move, predicting that it could jumpstart the young H2 market in Europe. Countries throughout Europe have been seriously considering the opportunity offered by H2 as a way to reduce carbon emissions and fight climate change, as well as to improve their energy security and reduce their reliance on Russian energy.

The auction’s purpose is to raise investment into green hydrogen fuel within the country.

Currently, REN remains the only operator that is working on the transportation of a blend of H2 and natural gas under high pressure. It operates with interconnections with Spain. That said, to achieve this goal, the company must adapt its 854-mile grid throughout mainland Portugal so that it will be able to handle the gas combination.

According to REN, it has already begun adapting its instruments for measuring the quality of the hydrogen fuel and natural gas it transports. It expects to be ready “by the end of the year,” it said in a statement. “This work is crucial for REN to obtain, still in 2023, the (official) certification for, in this first phase, receiving and transporting up to a maximum of 10% of green hydrogen on its grid.”

Renewable gas strategy.

The company explained that its renewable gas strategy aligns with policies put into place by the European Union. It said that its strategy is based on “adapting existing infrastructures to accommodate these gases and the development of infrastructures for 100% hydrogen.”