Danish state-owned transmission system operator (TSO) Energinet has delayed plans to build a hydrogen pipeline connecting Denmark and Germany by three years, citing “increased project complexity.”

Kallanish understands that the project’s commissioning has been pushed to 2031 from the previous 2028 target. Once operational, the pipeline will carry hydrogen from clusters around Fredericia, Esbjerg, and Holstebro to Germany.

Energinet said Tuesday that although the project has “large potential,” a greater-than-expected technical and market complexity has troubled its development.

“Several activities on the critical path have proven to be more extensive and time-consuming than originally anticipated,” the TSO explains.

Longer planning and environmental processes have also contributed to the decision, Energinet says, adding that an initial estimate of 18 months to complete environmental impact assessments is “no longer considered realistic.” The planning and environmental process approval timeline has now nearly doubled to 40 months.

However, in a separate statement, the Danish government reiterated its support for the pipeline. Lars Aagaard, Denmark’s minister for climate, energy and utilities notes the government is “still very positive” about the project.

“The timeline now presented to us is not what we expected, and it comes with great risks. It is not satisfactory,” the minister notes. “We have therefore initiated work with a view to making Energinet’s schedule more secure and limiting the delay.”

The Danish government wants to ensure efficient interaction between the large amounts of renewable electricity produced from offshore wind, green hydrogen production, and the German demand, the minister continues.

“We are still ready to put state co-financing on the table if the industry leans into the project and commits to capacity in the pipe,” Aagaard adds.

Energinet’s decision comes after Norwegian energy major Equinor last month scrapped plans to build a pipeline transporting hydrogen from Norway to Germany.