Shell has strengthened the energy foundation for its next large-scale hydrogen project by signing two long-term power purchase agreements (PPAs) to supply zero-carbon electricity to the 100 MW REFHYNE 2 electrolyser, now under construction at the Shell Energy and Chemicals Park Rheinland. Scheduled to begin operations in 2027, the facility will generate renewable hydrogen for use across fuels, chemicals and other industrial processes at the site, reducing the refinery’s Scope 1 and 2 emissions.
Under the first arrangement, Shell will secure roughly one-third of the output from the 332 MW Nordsee One offshore wind farm. The five-year offtake deal was finalised with joint venture owners Northland Power and RWE, ensuring a stable supply of offshore wind power to the hydrogen plant as it scales up production.
Solar and offshore wind to power Shell’s hydrogen ambitions
Shell has also signed a 10-year PPA to purchase around 75% of the electricity generated by a 230MW solar PV project being developed by Solarkraftwerk Halenbeck-Rohlsdorf. Together, the solar and wind agreements will provide a substantial share of the renewable electricity needed to operate REFHYNE 2, reinforcing the company’s strategy to expand low-carbon energy solutions and accelerate the adoption of renewable hydrogen in Germany’s industrial heartland.
“These agreements reflect the company’s strategy to advance low-carbon solutions and scale renewable hydrogen,” said Andy Beard, Shell’s head of hydrogen. Representatives from Nordsee One and Solarkraftwerk added that the PPAs highlight “the growing industrial use of subsidy-free renewable power in Germany,” demonstrating how large industrial consumers are increasingly relying on market-driven green electricity to support decarbonisation.
The project is backed by the EU’s Horizon 2020 programme and aligns with both European Union hydrogen targets and Germany’s regulatory framework for accelerating clean hydrogen production. REFHYNE 2 builds on the experience of REFHYNE 1, the 10 MW electrolyser that became one of Europe’s first major refinery-scale green hydrogen installations.
By pairing long-term renewable electricity contracts with large-scale electrolyser infrastructure, Shell is positioning itself to supply low-carbon hydrogen to heavy industry and transport sectors facing more stringent climate requirements. The integrated project underscores Shell’s broader effort to deploy green hydrogen at a commercial scale and reduce emissions across hard-to-abate segments.
Source:
https://fuelcellsworks.com/2025/11/19/green-hydrogen/shell-locks-in-green-power-for-100mw-hydrogen-project-at-german-refinery