A pioneering project becomes reality. Just over a year after the groundbreaking ceremony, the production of green hydrogen will start in St.Gallen’s Kubel on November 17 2022.

This is made possible by a unique, cross-sector collaboration between SAK (St. Gallisch-Appenzellische Kraftwerke AG), the Osterwalder Group and SN Erneuerbare Energie AG (SNEE), which are pooling their strengths and expertise in the joint venture Wasserstoffproduktion Ostschweiz AG (WPO). Together with St.Gallen Vice President Marc Mächler and Susanne Hartmann, member of the cantonal government and head of the Canton of St.Gallen’s construction department, the players emphasised the importance of green hydrogen for the energy transition, for the electromobility of the future and for the Canton of St.Gallen at the official launch.

The experts agree: green hydrogen is one of the most important energy sources of the future for storing electricity from renewable sources efficiently and safely. With the opening of the production facility in St.Gallen Kubel, the players are sending an even stronger signal for the further expansion of a globally recognised hydrogen ecosystem, which is already a reality in Switzerland.

The background: With the founding of Wasserstoffproduktion Ostschweiz AG in September 2019, SAK, the Osterwalder Group and, since July 2022, SN Erneuerbare Energie AG (SNEE) have jointly invested in the construction of the Kubel production site in order to offer green hydrogen as renewable and clean energy for electromobility and for the decarbonisation of road transport.

14 months after the ground-breaking ceremony, the big moment of commissioning will follow on 17 November 2022. The importance of this plant for the St.Gallen location was emphasised by Marc Mächler, Vice President & Head of the Finance Department of the Canton of St.Gallen, and Susanne Hartmann, Government Councillor, Head of the Construction Department of the Canton of St.Gallen & Member of the Board of Directors of SAK.

Marc Mächler: “Hydrogen plays an important role in the conversion and expansion to renewable energies. It is therefore all the more pleasing that pioneering projects such as the Swiss hydrogen ecosystem are not only being planned, but also realised. It is more than just a signal for the canton of St. Gallen. It is in the context of the numerous measures to promote renewable energies in all areas.”

Susanne Hartmann: “Sun, wind and water provide renewable energies in abundance, but as a kind of “fresh product” that has to be stored temporarily. With the utilisation and expansion of renewable energies, as anchored in St. Gallen’s priority planning for the years 2021 to 2031, we are also dependent on the ability to store and distribute the energy. Accordingly, the implementation of this project will make an important contribution to reducing the use of fossil fuels and thus also CO2 emissions in the canton of St.Gallen.”

Milestone for the swiss hydrogen ecosystem

For around two years now, a hydrogen ecosystem has been emerging in Switzerland that is attracting worldwide attention, with the aim of implementing hydrogen electromobility and thus also the decarbonisation of road transport from source to consumer – from production to filling stations to the cars and heavy goods vehicles that are already on Swiss roads today.

As the operator of Switzerland’s oldest water storage power plant in St.Gallen Kubel, SAK is sending out a correspondingly important signal for the energy transition and the need to lead sustainable electricity production into the future with the commissioning of hydrogen production.

Walter T. Vogel, Chairman of the Board of Directors of SAK: “The production of hydrogen is an ideal addition to SAK’s portfolio. As an energy service provider for people in Eastern Switzerland, we are already committed to the expansion of hydropower and solar power as well as the expansion of sustainable heat pump systems and e-mobility. With H2, we now also have an offer that supports the decarbonisation of heavy goods transport.”

Adriano Tramèr, Head of Production and Energy Solutions at SAK: “SAK has been investing in future markets for the energy transition in Eastern Switzerland for many years. With the new hydrogen production plant in Kubel, we are realising our responsibility for the future of energy production and the energy transition – today, not tomorrow. This pioneering role enables us to gain valuable practical experience with a promising energy source. The plant also demonstrates the innovative strength with which SAK is utilising renewable energies.”

The new production plant – one of the first in Switzerland – draws its electricity directly from the neighbouring hydropower plant and thus produces CO2-neutral hydrogen from hydropower. The electrolysis plant has a production rate of 36 kg of hydrogen per hour and an electrical output of 2 MW. Depending on how much electricity is available for H2 production, around 250 tonnes of green hydrogen are produced each year. This enables three to four hydrogen containers to be delivered to the Osterwalder Group’s petrol stations and other locations every day.

Energy storage with green hydrogen

Green hydrogen offers great potential for storing renewable energies. This advantage makes it possible to produce hydrogen in coordination with the feed-in to the SAK grid. Hydrogen production therefore also contributes to grid stabilisation.

Renewable energies for the electromobility of today and tomorrow

The green hydrogen produced in Kubel is used directly for passenger cars and heavy commercial vehicles with fuel cell drives. Hyundai Hydrogen Mobility (HHM) proves how reliable the latter are on the road in Switzerland with 47 XCIENT Fuel Cell (36-tonne trailer combinations) and more than 5 million kilometres covered in the past two years. Compared to diesel trucks, they saved more than 4,000 tonnes of CO2 emissions.

Martin Osterwalder, CEO of Wasserstoff-Produktion Ostschweiz AG and Co-CEO of the Osterwalder Group: “The power plant in Kubel enables the further expansion of the Swiss hydrogen ecosystem, with a local and very efficient cycle. We transport the green hydrogen with a container system “made in Switzerland” to the two AVIA hydrogen refueling stations in St. Gallen and Gossau, where the hydrogen vehicles refuel. For the Osterwalder Group, this is an important step towards supplying clean electricity in the new era of electromobility precisely when customers need it. With green hydrogen, this is already a reality today.”

In Switzerland, Hydrospider in Niedergösgen and – more recently – WPO in St. Gallen Kubel are currently producing green hydrogen for use in electromobility. Thanks to the initiative of the Swiss H2 Mobility Association, fuel cell lorries and cars can already obtain green hydrogen at twelve public filling stations across the country.

The production volume at Kubel offers capacity for around 3.5 million truck kilometres or up to 25 million kilometres with a hydrogen car. With the Hyundai NEXO and the Toyota Mirai, an SUV and a saloon car with this form of electric drive are already available in Switzerland. In addition, two other manufacturers, Opel and Renault (Hyvia), are about to launch light commercial vehicles that also run on fuel cell electric drive.

Nationally anchored, internationally active

While a clean hydrogen ecosystem for mobility is being established in Switzerland on a private-sector basis, SNEE, as a wholly owned subsidiary of SN Energie AG and a partner in Wasserstoff-Produktion Ostschweiz AG, is looking far beyond the border.

Hans Hofstetter, Chairman of the Board of Directors of SNEE: “With our focus on renewable energy from wind and photovoltaics as well as Power to X technologies, we consider the production of green hydrogen to be one of the key technologies for the energy transition. From a more global perspective, we also see the opening of the production plant in Kubel as an important signal for all power plants to take this innovative path and utilise the available natural energy sources more widely. We know that nature offers an abundance of energy. With the Kubel plant, we can show how this power can be utilised and protected in equal measure.”

A group of people stand together cutting a red ribbon at the opening of a zero emission green hydrogen facility, with sponsor banners and industrial equipment in the background.
from left to right (at the symbolic commissioning of the Kubel hydrogen production plant): Adriano Tramèr (Head of Production & Energy Solutions Division SAK, Board of Directors of Wasserstoffproduktion Ostschweiz AG) – Stefano Garbin (CEO SAK) – Walter T. Vogel (Chairman of the Board SAK) – Marc Mächler (Vice President, Head of the Finance Department Canton St.Gallen) – Susanne Hartmann (Councilor, Head of the Building Department Canton St. Gallen) – Martin Osterwalder (Co-CEO Osterwalder Group, Chairman of the Board of Wasserstoffproduktion Ostschweiz AG) – Thomas Osterwalder (Co-CEO Osterwalder Group) – Hans Hofstetter (Chairman of the Board of SN Erneuerbare Energie AG) – Peter Jans (Chairman of the Board of SN Energie AG)