Gas TSOs sign memorandum of understanding on promoting the development of green gases

The gas transmission system operators (TSOs) of Finland, Estonia, Latvia and Lithuania namely -  Gasgrid Finland Oy, Elering AS, JSC Conexus Baltic Grid and AB Amber Grid – have signed a Memorandum of Understanding (MoU) on promoting the development of green gases (also called renewable gases).

Green gases, for example, biomethane, synthetic methane or renewable hydrogen, are gases that are produced from renewable energy sources. Green gases contribute to diversification of renewable energies and higher flexibility of the European Union’s (EU) energy system. Considering the goals of National Energy and Climate Plans, European Green Deal and by signing the MoU, TSOs identified potential areas of green gas research, development and cooperation to work towards decarbonisation and sustainability.

TSOs see, that moving towards 2030 and beyond, the climate targets would require joint research in green gas area, coordinated regulatory approach and close cooperation in technical field, while respecting the principle for safe and efficient use of the interconnected infrastructure.

TSOs intend to cooperate in joint research regarding possible gas transmission infrastructure decarbonisation solutions,  green gas solutions integration into existing infrastructure, development of new infrastructure (when current infrastructure cannot ensure technical requirements of green gases), cross-sectoral integration, other technological processes and pilot projects. Joint research would be the first step towards understanding best possible decarbonisation solutions.

Common efforts towards establishing principles for coordinated regulatory approach, e.g.,  in the field of harmonised Guarantee of Origin system or harmonised technical standards, would benefit the market participants in the whole region, reducing administrative burden, incentivising green gas development, at the same time ensuring  safe and secure delivery of gas to the consumer.  Where possible, TSOs commonly identify technical challenges or issues regarding hydrogen (or other green gasses) integration into gas transmission system and also considering issues that may occur in the gas distribution level, or in the regional gas market.

TSOs believe, that following the main principles agreed in the MoU, it would lead to a smoother energy transition and efficient use and development of regional gas system, that would be in line with EU’s Climate goals and would bring secure, efficient and low-carbon energy to the Baltic States and Finland.