Gasgrid experts discussed the challenges and opportunities of the energy transition at a student event

Gasgrid met with MBA students from Imperial College Business School in Espoo as part of a study programme focused on corporate climate actions. The meeting provided students with the opportunity to learn about Finland’s energy system, the clean gas market and the development of the hydrogen economy – as well as to hear directly from Gasgrid’s experts about how the company is building a more sustainable future.

Gasgrid organised a meeting for students from Imperial College Business School in Keilaniemi, Espoo, in June. The group consisted of over 40 Master of Business Administration (MBA) students, many of whom had prior experience in the oil and gas industry. The group travelled to Helsinki as part of Global Experience Week – How Business Addresses Climate Change, a programme that examines how companies around the world respond to the challenges of climate change. After Helsinki, the group headed to Copenhagen for a field trip.

In addition to Gasgrid, the student group met with other Finnish industry actors. The students wanted to meet with Gasgrid to gain a deeper understanding of the role of natural gas in the energy transition, the impacts of cross-border energy systems and Gasgrid’s actions to promote sustainable energy solutions.

Gasgrid’s student collaboration expands

Gasgrid actively promotes collaboration with universities and educational institutions across various sectors.

“We regularly receive inquiries from students, student organisations and educational institutions regarding, for example, thesis projects and participation in various events. Last November, we participated in Gas Day, organised by energy technology students’ Energy Engineering Club, together with Gasum, Auris Energia and Finnish Energy. The meeting with Imperial College Business School also helped strengthen the international dimension of our student collaboration,” says Gasgrid’s Head of Communications, Marjaana Kivioja.

Mika Myötyri, Head of Gas Market and Customers, introduces Gasgrid’s gas business.

Gasgrid has had a very eventful history

Keynote speakers Mika Myötyri, Head of Gas Market and Customers, Heli Haapea, Service Manager of the Gas Market Unit, and Heli Virkki, Head of Hydrogen Valley Development and Customer Projects, shared their insights about Gasgrid’s operations and future energy solutions.

Myötyri reflected on Gasgrid as a company and its approximately five-year journey marked by major market shifts.

“The period has included the opening of the Finnish gas market to competition, the commercial commissioning of the Balticconnector pipeline connection, the European energy crisis and the resulting increase in natural gas prices, the disengagement from Russian pipeline gas and the record-fast commissioning of the Inkoo LNG terminal, the damage to the Balticconnector pipeline and the successful repair work on the pipeline, as well as the significant acceleration of Gasgrid’s hydrogen development,” he listed.

Despite the changing operating environment, Gasgrid has provided Finland’s industry, the energy production sector and companies with safe, reliable and cost-effective gas transmission. In introducing the role of gas infrastructure to students now and in the future, Myötyri stated that “predictability is very important for market participants.” Gasgrid is committed to strengthening this predictability in all its decisions regarding the gas transmission network.

Heli Haapea, Service Manager of the Gas Market Unit, talks about the gas system of the future.

The future of the clean gas market

Myötyri’s presentation was followed by a speech by Heli Haapea on the future of the clean gas market in Finland, particularly from the perspective of domestic renewable gases and the guarantee of origin system. Haapea stressed that Gasgrid’s “aim is to enable widespread use of domestic renewable gas with minimal infrastructure investments.” By 2030, the production capacity of domestic renewable gases is expected to increase 20 to 30 times in the gas system. The growth of renewable gases is based on the production of biogas and synthetic methane.

Haapea also spoke about Gasgrid’s role in the guarantee of origin (GO) system. Gasgrid operates in Finland as the administrator of the gas GO register and is authorised to issue both national and European EECS (European Energy Certificate Systems) GOs for gas and hydrogen production facilities.

“A guarantee of origin is the only way to ensure that clean gases, such as biogas and hydrogen, have been produced from renewable energy sources. Last year, most of the gas GOs imported to Finland came from Denmark, and the import of GOs has generally continued to grow this year as well,” she said.

Heli Virkki, Head of Hydrogen Valley Development and Customer Projects, illustrates the investment potential of the hydrogen economy in Finland.

Finland has a billion-euro investment potential in the hydrogen economy

In the final keynote speech of the event, Heli Virkki focused on the development of the hydrogen economy and infrastructure in Finland, describing the hydrogen economy’s investment potential as promising. A hydrogen economy built on hydrogen infrastructure can create economic impacts of approximately EUR 70–110 billion in investments in Finland.

“We support Finland on its way to becoming the engine of the European hydrogen economy,” said Virkki, summing up Gasgrid’s role as the driver of the national hydrogen economy.

Hydrogen infrastructure that enables the scaling of hydrogen economy is being developed simultaneously on multiple levels – the national hydrogen network, regional hydrogen networks, and hydrogen infrastructure projects in the Baltic Sea region are all part of the overall scheme. At the end of Virkki’s presentation, the students had the opportunity to see the steps involved in building the national hydrogen infrastructure. The development of hydrogen infrastructure is a gradual process, from the detailed planning of the hydrogen pipeline and the development of a hydrogen market model to the actual investment decision and ultimately to the construction of the hydrogen transmission infrastructure.

“Gasgrid’s goal is to have an operational hydrogen market and infrastructure in place in Finland in the first half of the 2030s,” stated Virkki.

Gasgrid’s role in Finland’s energy system sparked lively discussion

At the end of the event, students had the opportunity to ask questions. The discussion was lively and engaging, and the questions put to our experts covered a broad range of topics, including gas price fluctuations, the role of the transmission system operator in the gas system, the prerequisites for investment decisions in the hydrogen infrastructure and Finland’s competitiveness in the hydrogen economy. Students contemplated how Finland stands out in the hydrogen economy compared to other countries and regions.

According to Virkki, “a clean energy system and strong energy infrastructure, affordable electricity prices, a functioning electricity market and significant availability of biogenic CO2” are what make Finland an attractive environment for hydrogen economy investments.

We thank the students of Imperial College Business School for their thoughtful questions and participation!

Gas is an important fuel in UPM’s operations

Gas has traditionally held a big role in the forest industry – and UPM is far from an exception. Katja Havikari, Director, Energy, Pulp Operations Finland, says that in fact, UPM is one of the biggest users of gases in Finland.

“We’re probably the second or third biggest consumer of gases in Finland,” Havikari says.

Within the UPM Group, pulp operations are the biggest user of gases.

Gas is also used in the production of UPM’s specialty papers and printing papers, label materials and biofuels. The largest users of UPM’s mills are Kaukas, Kymi and Tervasaari. The former uses gases in the most versatile way in its operations,” Havikari considers.

The largest single consumer of gas in pulp mills is the lime kiln, where lime sludge calcium generated in the recovery of process chemicals is burned into lime so that it can be reused in the pulp process.

“There are many other uses for natural gas on our paper and pulp mills and biorefinery. In mills, gas is used, for example, in drying and energy production – and as an auxiliary fuel in disruptions and shutdowns.”

UPM is interested in expanding its gas portfolio

When talking about the use of gas at UPM, we are mainly talking about LNG. Biogas offers a lower-emission alternative, and synthetic gases and hydrogen are seen as opportunities for the future. However, UPM is interested in expanding its gas portfolio as part of its commitment to sustainability and combating climate change.

“For example, biogas and its development and certifications on the market create confidence, and we are monitoring the situation closely.”

The hydrogen economy is still a vision for the future, and UPM is following its development with interest. The company has its own production of low-emission electricity, bio-based carbon dioxide, and experience in the production and use of hydrogen in refinery processes.

“Biogases, in particular, offer us the opportunity to reduce emissions in the near future, which is well in line with the company’s strategy. Rather, hydrogen issues are a vision for the next decade,” Havikari considers.

“Each business area assesses the need to introduce new gases, based on its own starting points,” Havikari says.

According to Havikari, it is easy for a large industrial operator to rely on gas in Finland: the gas infrastructure is first class and there are hardly any problems in everyday life.

“Security of supply is the added value that the national gas infrastructure creates.”

Katja Havikari, Director, Energy, Pulp Operations Finland, at UPM. Biogases, in particular, offer an opportunity to reduce emissions in the near future, which is well in line with the company’s strategy. Hydrogen issues are more of a vision for the next decade,” Havikari says.

Cool-headed partner proved its worth

Havikari commends the fact that Gasgrid Finland has also demonstrated its ability to act quickly and decisively in crisis situations. When natural gas deliveries from Russia ended in 2022, Gasgrid built an LNG terminal in Inkoo in record time.

The floating LNG terminal started operating in the port area of Inkoo in January 2023. When LNG ships arrived at the terminal – about 1–3 per month – the crisis mood began to recede.

“Whenever challenging situations have arisen, they have been handled very well at Gasgrid,” Havikari says.

Gas market foundations were carefully laid

The effective cooperation between UPM and Gasgrid Finland was already visible in the launch of the gas network company. For example, UPM was involved in workshops that began in 2018 in preparation for the start of Gasgrid in 2020. Havikari considers the robust workshops to be a good example of how first Gasum and then the gas transmission network company Gasgrid Finland, which was unbundled from Gasum following the opening-up of the gas market, have always listened to the wishes of market operators.

“Since then, these wishes have largely been fulfilled in the creation of a gas portal and infrastructure development,” Havikari adds. She says that it has been great to see that Gasgrid Finland has taken into account the wishes of both large and small gas users as far as possible.

Sustainable development and predictability guide the use of gases

Havikari has worked at UPM for a long time and has had a ringside view of the many changes in the industry. The position of gases in mills has not been undermined during that period, but the green transition will certainly affect which gases are planned to be used.

“Sustainable development is also driving the change in the gas sector. If implemented, cleaner gases from mills will, of course, also strengthen the competitive position of Finnish industry.”

However, the business needs stability and predictability, which is why Havikari hopes for two things in particular: that the security of supply in the gas infrastructure remains at a good level and that gas prices remain moderate.

“We are a market-based operator and naturally also monitor the gas situation in all ways.”

UPM in brief

– a material solutions company that offers renewable and sustainable solutions

– the company’s diverse portfolio includes renewable fibres, advanced materials, carbon dioxide emission reduction solutions and printing papers

– seven business areas: UPM Fibres, UPM Energy, UPM Raflatac, UPM Specialty Papers, UPM Communication Papers, UPM Biorefining and UPM Plywood

– signed the UN 1.5°C climate pledge; listed as the only forest and paper industry company in the Dow Jones Global and European Indices (DJSI) for 2024–2025

– One of the largest gas users in Finland; pulp operations use the most gas

– 15,800 employees

– sales appr. €10.3 billion

– shares listed on Nasdaq Helsinki Oy

Read more:

Gases are irreplaceable as raw materials and fuels in industry – Gasgrid

What on earth is a multi-gas platform – and why is it revolutionising Finnish society? – Gasgrid

Gas provides regulating power – and much more – Gasgrid

Building the hydrogen infrastructure is a major national project, which will create wellbeing for decades to come

The great energy revolution is challenging all actors in the sector. One of the agents of change is Gasgrid, which is responsible for building the national hydrogen infrastructure to accelerate clean economic growth. According to a government decision in principle, Finland aims for a leading position in the hydrogen economy in Europe. At the same time, the benefits of other clean gases have begun to be increasingly apparent.

Gasgrid’s CEO Olli Sipilä notes that when fossil fuels are replaced large scale, a new kind of “interconnecting infrastructure” will be needed.

“There are always ups and downs and uncertainties in transition, but the direction is clear,” he says. “We Finns have permission to try and permission to succeed when the baselines are good.”

Hydrogen is hard to beat when energy needs to be transported effectively over long distances.

“A 1-metre diameter hydrogen pipe can replace as many as 15 large power lines,” is the comparison Sipilä makes.

No time – yet zero emissions are a way off

Back in the day, transitions to coal and oil took place over several decades – whereas the current transition to zero emissions needs to take place about three times faster than previous energy transitions. To reach climate targets, zero-emission hydrogen is needed in Finland and in Europe in those places where electricity is not the solution.

“It is against this backdrop that Gasgrid is responsible for developing the national hydrogen infrastructure, international infrastructure cooperation and the hydrogen market in Finland and the surrounding area. The objective is to create good and predictable investment conditions in Finland for hydrogen production and for the downstream industry using it. A key role in all this is to create a genuine multi-gas platform,” Sipilä says.

“The multi-gas platform will draw on all the expertise that our organisation has accumulated in gases over a very long time,” says Sipilä, who has served as Gasgrid’s CEO since the company was established in 2020.

Excellence in the gas industry is a strength

The multi-gas platform means that in the future, some of Gasgrid’s pipelines will transport hydrogen and perhaps even carbon dioxide in addition to conventional natural gas, biogas, synthetic methane and LNG. These gases contrast greatly with natural gas, for example, since they are low- or zero-emission gases.

“We are already world-class in terms of reliability and safety with regard to methane. The hydrogen side on the other hand is based on our solid gas expertise, which we are now extending to hydrogen.”

New solutions are currently being explored for biogases and synthetic methane, for example, to get the gas to flow in the pipeline. “One possibility for market participants is the use of tanks. Plans are already underway with customers to enable this,” Sipilä says.

Carbon dioxide can also be captured from factory smoke stacks and transported through pipes for downstream processing.

“Carbon capture can be used to produce, for example, synthetic methanol,” Sipilä says.

Three aspects of the hydrogen revolution      

The priority on the CEO’s desk is overall development of the energy system to deliver economic growth, security and other strategic benefits for Finland through gases. Gasgrid will continue to develop the methane system, for example to benefit industry and the electricity system. The latest fastest developing area is the promotion of the hydrogen infrastructure and market through substantial measures. According to Sipilä, this requires focusing on three things simultaneously to maximise the benefits for Finland.

“Firstly, for the Finnish hydrogen backbone, we need routing, licensing and thorough planning. North-south energy transmission needs are growing rapidly and greatly. The hydrogen infrastructure could be one of the keys to this solution. We need to find out how much hydrogen can be produced and how much is needed,” he explains.

The second goal involves the creation of hydrogen valleys. A hydrogen valley is a regional hydrogen infrastructure that combines green hydrogen production, consumption and storage with the transport infrastructure. In the first phase of the hydrogen revolution, there could be several such domestic hydrogen valleys across Finland.

“We need to identify and participate in building these key valleys to attract high manufacturing and technology development to Finland,” Sipilä says.

The third goal concerns international cooperation: hydrogen should be able to flow across national and continental borders. This may have a major impact both on attracting investment in hydrogen production and downstream processing in Finland and on the utilisation of subsidies. This will speed up bringing more jobs and economic growth to Finland.

Playing an open hand for the best outcome

“Much still needs to happen over the next couple of years for the hydrogen network to remain on schedule. The final window for investment decisions is 2026-28 at the earliest,” Sipilä notes.

“This means the hydrogen infrastructure could be in use in the earlier 2030s.”

“Building the hydrogen infrastructure is a national major project involving many stakeholders. Broad social acceptance of hydrogen and clean growth is “of utmost importance”,” Sipilä considers.

“Open dialogue is highlighted when meeting stakeholders. While we have no ready answers to all questions, there is strong determination to find the best solutions,” he says.

“The principles are now being created to guide development of the hydrogen infrastructure for decades to come.”

WHO?

Name:

Olli Sipilä

Job:

CEO, Gasgrid Finland Oy

Education:

Master of Science in Economics & Business Administration, Industrial Management, 2003

Best thing about the job:

Meaningfulness

Motto:

It’s enough to always try your best, even when the challenge is big. When working together, a good enough solution is usually always found in the end.

Hobbies:

Fly fishing, cycling, swimming, cooking, and the most recent hobby – golf

Gasgrid’s strategy 2024–2026 – aiming for a flexible, low-emission energy system

Gasgrid’s updated strategy for 2024-2026 emphasises the promotion of a clean transition in society. In practice, this means creating jobs, increasing Finland’s energy independence and significantly accelerating the company’s multi-gas and hydrogen business.

At the same time, Gasgrid wants to promote the significant market growth of low-emission gases, such as green hydrogen and synthetic methane, in the energy system on the journey towards a carbon-neutral Finland by 2035. In addition, the company will provide value, predictability and flexibility to customers and security of supply to society through a reliable gas platform.

The five priority areas of the new strategy are:

  • developer of an agile multi-gas platform
  • hydrogen economy unifier
  • accelerator of investments
  • responsible changemaker
  • fosterer of forerunners

Text: Sami Anteroinen

Environmental impact assessment is an important anchor in hydrogen infrastructure design

The environmental impact assessment (EIA) procedure plays a key role in construction of a hydrogen pipeline. Planning the hydrogen pipeline route carefully considers the views of landowners and other stakeholders.

Merja Autiola, Permit Coordinator at Gasgrid, says that an environmental impact assessment (EIA) provides an opportunity to assure various stakeholders that all obligations will be dealt with responsibly from start to finish.

“The good thing about the EIA procedure is that it gives all parties a possibility to be heard,” Autiola says.

The EIA procedure begins with careful planning. This includes planning the preliminary routing options for the hydrogen transmission pipeline with municipalities,” says Tommi Raappana, Land usage planning manager at Gasgrid.

“We review the feedback from municipalities and modify the hydrogen infrastructure route plan accordingly,” Raappana says.

Thorough groundwork

“The EIA procedure is a two-stage process,” says Merja Autiola. “The first stage sets out a plan of how the actual assessment will be carried out, what surveys and reports will be prepared as the actual report phase progresses, and what the current knowledge of the construction area is,” Autiola explains.

The authority approves this stage; in addition, this stage already allows stakeholders to provide feedback and comments.

The second stage, the report stage, includes the actual impact assessment, for which the activities described above in the programme stage are planned – such as mapping, noise modelling, landscape impact assessment and air emission calculations.

“All available information on the environment and nature in the area is brought together and compared with the impact of the pipeline construction on a thematic basis. The end result is a summary of the different types of impacts and a recommendation on the best route and impact mitigation measures to be taken into account in pipeline construction,” Autiola sums up.

Straightforward construction

Construction of the onshore hydrogen infrastructure is actually simple: dig a deep trench, lay the hydrogen pipeline at the bottom and fill the trench in. From an environmental perspective, it is important to minimise adverse impacts: for example, not felling trees unnecessarily and not moving around in mobile machinery outside of the construction sites.

“A responsible operator also restores the landscape once construction work has been completed,” Autiola adds.

The hydrogen route is preferably planned through a field because farming can continue as before once the pipeline is in the ground.

Safety distances to be defined

One important factor is the safety distance of buildings and similar structures from the pipeline itself and from valve stations and pressure reduction and compressor stations. Unlike natural gas, no safety distances have yet been defined for hydrogen.

“We’re in preliminary discussions with the Finnish Safety and Chemicals Agency (Tukes) and it seems that safety distances will be very similar to those for natural gas;” Tommi Raappana says.

The contact authority for the EIA procedure is the ELY Centre, which will give its opinion on Gasgrid’s environmental impact assessment. The ELY Centre among other things, assesses the conditions under which the project can proceed.

“Based on the ELY centre’s opinion, we can select a specific route for further planning and do more detailed planning,” Raappana says.

The next phase will see a start made on the licensing process: water permits, expropriation permits related to land use and other necessary permits must be obtained before construction work can begin.

“Changes to the expropriation procedure are also in the pipeline. A pending amendment to the law will increase land expropriation payments by around 25%,” Raappana says.

Crossings under rivers a challenge

Autiola points out that crossings under rivers typically pose the greatest challenge to planning and implementing the hydrogen infrastructure. “Excavation work must be done to be able to lay a pipeline under a river bed and this could cause temporary turbidity.

Water turbidity is harmful, especially in small rivers and important aquatic habitats, so the technology used must be carefully considered.

“We want to take particularly good care of all water bodies,” Autiola adds.

Raappana says that groundwater areas also require special care.

“For wells, we sample the water before construction starts and again after construction if there is reason to suspect changes in water quality.”

Landowner’s voice counts

The views of landowners are listened to throughout the planning process for the hydrogen infrastructure. The aim is for every landowner to feel that their views are really taken into account,” Raappana says.

“The transmission pipeline route could also change at a landowner’s request if there are good grounds to do so,” Raappana adds.

A successful process requires seamless communication, including in the field. Before construction work starts, an initial site inspection is carried out to check the location of wells and cables on site, for example.

“A lot of practical things are worked out with the landowner, such as what happens to the installation road during construction. It is up to the landowner to decide whether to restore the area or leave the access road in place,” Raappana explains.

Working together delivers results

Autiola and Raappana say that besides landowners, also other stakeholders – from municipalities and regional councils to the Finnish Defence Forces and reindeer herding areas – have an important role to play in reaching a successful outcome.

“We strive for good dialogue with all stakeholders, since open and transparent communication will increase the acceptability of the whole project,” Autiola sums up.

Key figures on the preliminary routes of the national hydrogen transport infrastructure planned by Gasgrid:

  • Total length of the hydrogen infrastructure: > 1,5oo km
  • Number of municipalities along the route: 70
  • Number of properties along the route: 7,484
  • Number of Natura rivers along the route: 8
  • Landing points: 2
  • Groundwater areas along the route: 54
  • Compressor stations: 2-3
  • Number of crossings under large rivers: 29
  • Number of crossings under medium-sized rivers: 62
  • Number of crossings under small-sized rivers: 28

Avoided in routing

–National parks, nature conservation areas, Natura areas (excluding long river areas), conservation programme areas, important natural formations, groundwater areas, lakes

–Traditional biotypes

–Archaeological sites

–Areas challenging for construction: cliffs and rapids, rocky areas

–Urban areas, buildings, cemeteries, mines, dams, local detailed plan areas

Recommended routing

–Demand areas for the hydrogen pipeline (i.e. hydrogen production and consumption points based on market data)

–Cultivated fields, grassland, proximity to roads

–Areas with favourable soil conditions for construction

Read more:

Gasgrid invites municipalities and regional actors to partner in developing the national hydrogen infrastructure

Carbon steel is suitable for hydrogen transmission pipelines, considering the boundary conditions

ABC of hydrogen safety

Carbon steel is suitable for hydrogen transmission pipelines, considering the boundary conditions

A key concern in construction of the hydrogen infrastructure is pipeline durability. Hydrogen is a small molecule gas and is known to cause embrittlement in materials – but can hydrogen also embrittle the carbon steel pipelines in which there are plans to transport it?

Pessimistic scenarios have already begun to paint a picture of the need to develop completely new steel grades for hydrogen pipelines or the project won’t work. Expensive steel development could slow down the creation of a hydrogen infrastructure in Finland – and cause costs to skyrocket.

Marko Ikävalko, Head of Operations and Maintenance at Gasgrid, says that there is experience from around the world of hydrogen transmission in steel pipelines – and hydrogen embrittlement has not been found to be a problem if choice of the pipeline material takes into account the properties of hydrogen and the operating conditions.

“Factors to be taken into account in the transportation of hydrogen include the maximum pressure used in transmission, pressure fluctuations and the flow rate,” Ikävalko notes. The existing natural gas transmission pipeline could also be used to transport hydrogen to some extent with certain limitations/restrictions.

Recent results from the Centre for Advanced Steels Research at the University of Oulu confirm information from the field: modern carbon steel pipes are suitable for hydrogen usage.

Effect of hydrogen on materials depends on many factors

Nevertheless, care must be taken with hydrogen since how it affects materials depends on many things – in the case of steels, in addition to pressure, factors such as microstructure, grain size, alloying elements and operation temperature affect. The durability of hydrogen pipelines and hydrogen tanks in cold Nordic conditions is naturally one research topic.

Hanna Kinnunen, Development Manager RDI & technology at Gasgrid, confirms that understanding the phenomena caused by hydrogen in materials, such as the effects on the mechanical properties and fracture toughness of steel, is essential in the hydrogen development project. There is already much information available which has been channelled into international standards, the most comprehensive of which currently is the US standard ASME B31.12.

“Updated in 2023, the regulations and recommendations in the ASME B31.12 standard are based among other things on hydrogen embrittlement and how it affects materials,” Kinnunen says.

“ASME B31.12 is an important standard also because it addresses and guides both design and operation,” Marko Ikävalko adds.

Steel grade for the hydrogen infrastructure still being studied

Gasgrid is yet to determine the most appropriate steel grade for the hydrogen infrastructure.

“This has not yet been decided. We will study the matter thoroughly before making the actual decision,” Ikävalko says. Once the steel grade has been chosen, the project will move forward by one important step.

“The choice of material will affect operational use throughout the entire lifecycle,” Ikävalko points out. Factors such as the hydrogen transmission capacity and the properties of alternative steel grades in different operating conditions must be considered when selecting the optimal pipeline material. The design basis is safe use throughout the lifecycle.

“In this respect, we are evaluating the optimal steel grade, which doesn’t differ to what we do in Gasgrid’s conventional infrastructure construction,” Ikävalo says, adding that a safety-driven lifecycle approach is the key factor in each phase of the project.

Uniform, welded pipeline does not leak

Common sense says that no matter how robust a hydrogen pipeline is, the biggest question marks are the joints and welding seams: will they hold in all possible conditions? Ikävalko points out that hydrogen is a well-known gas from the process industry, where there is a lot of user experience and applicable solutions available.

“All pipeline joints used will be suitable for use with hydrogen,” he says.

Gasgrid’s policy is that an integral, welded pipeline does not leak.
“The basis is that the pipeline is so well constructed that there are no leaks. Supervision and monitoring will then ensure that everything goes according to plan,” Ikävalko says.

“At the same time, Gasgrid continuously uses the best available knowledge and research results in the field in its own design work for the infrastructure projects,” Hanna Kinnunen adds.

“The use of new research in infrastructure design is important for us,” Kinnunen says.

Research project establishes safe hydrogen transportation infrastructure in Nordic countries

  • The MatHias project (Material and Structural Integrity Assessment for Safe Nordic Hydrogen Transportation Infrastructure) is part of the Nordic Hydrogen Valleys programme. The research project seeks to entrench a safe hydrogen transportation infrastructure in the Nordic countries. The MatHias project is being coordinated by the Norwegian research organisation SINTEF. Besides Gasgrid, other participants from Finland are VTT Technical Research Centre of Finland, the University of Oulu and SSAB.
  • The MatHias project started in 2023 and is studying in particular the durability and integrity of steels for hydrogen pipelines and structures. Hydrogen can cause steel embrittlement, which increases the risk of pipeline fracture, especially in cold temperatures in the Nordics.
  • “The MatHias project is an important project from the Nordic perspective, and there is great interest in its findings and research results,” says Hanna Kinnunen at Gasgrid. “The project evaluates and compares the properties of various pipeline steels, developing methodologies to assess the pipeline lifetime and choice of appropriate steel grades. MatHias is just one example of ambitious research being conducted in the field of hydrogen,” Kinnunen adds. Investments in RDI are strong and increasing all the time.

Read more:

ABC of hydrogen safety

Hydrogen valley a regional anchor for the hydrogen economy

Gasgrid’s 1st year

I am re-reading the materiality assessment concerning our responsibility work a couple of days before Christmas. In it, our stakeholders’ views of what is expected of a responsible Gasgrid are summarised. Safety, security of supply and equality come up as primary matters, and after these, mitigation of climate change, openness, as well as a skilled and healthy personnel.

Therefore, Gasgrid’s first year as a developer of Finland’s gas transmission infrastructure and operator in an open gas market, operating on it can be considered successful based on these criteria. Safety was at a good level for us and our partners. It is our aim that everyone involved in our operations gets home safely after work. Our operational reliability has been top level, and this, along with safety, is among the things we do not compromise on. The global pandemic showed the importance of security of supply and preparedness. In February, when the risk level rose, we reviewed our contingency plan regarding the pandemic and successfully launched countermeasures. Our customers have also told us about their satisfaction. The competitiveness of gases has improved, and the market has worked well. These messages inspire us, because particularly our customer-facing professionals and those working to ensure security of supply have worked flexibly and bravely to achieve this. We take these insights and feedback as guidelines for the next year.

What made it possible for a small organisation to succeed in the middle of a big change – and when in addition, one of the biggest crises in recent history in the form of COVID-19 hit us? I think it is crystallised in a great way in our recently defined values, which our personnel were responsible for identifying.

We acknowledge our responsibility – our company is driven by a strong sense of responsibility toward our customers, our stakeholders and the society. Competent professionals tirelessly strive to combine responsibility, safety, customer orientation, efficiency and agility into good decisions. I can see this commitment in the actions taken every day. A top expert in a critical device leaves on a weekend to ensure its correct operation. A customer team prioritises its tasks so that we can take the necessary measures very quickly when a sudden need arises for a customer. And in a repair situation, we agree with the customer about using gas at the right time to avoid methane emissions. Gasgrid aims to be the best and the most customer-oriented gas industry operator at least in Europe. We believe we can achieve this with the commitment of a healthy and competent personnel. This will be our focus also in the coming years. Gasgrid’s operations started on 1 January 2020 at 00:00, after which not a second has passed when someone has not been taking care of the security of Finnish gas supply and the company’s operations. Particularly in this exceptional year of coronavirus, I want to thank every Gasgrid employee very much for their commitment and actions.

We are building the future – It has been great to see that in the middle of the coronavirus crisis, investments in the mitigation of climate change are growing in the EU and globally. We at Gasgrid, together with our stakeholders, prepared a new strategy. Our vision for 2035 is: Gases enable a carbon-neutral society – we provide a platform for it. We want to be a bold pioneer in change and a unifying factor in the industry. Our strategy has three external focus points: 1) Transmission platform of the future, 2) customer-oriented gas market and 3) responsible force for change. Hydrogen economy can transform Finland into an exporter of clean energy and flexibility. Increasing the use of biogas more actively could bring jobs throughout Finland even in the short term. In the climate and energy strategy to be prepared in 2021, ambitious milestones should be created for the coming years and a vision created regarding the roles of hydrogen economy, other P2X technologies and sector integration in Finland for 2030–2050. Although the world is now running at top speed, our conclusions should be drawn, and choices made in a coolheaded way. I would search for an answer to the question: where are the needs and competitive advantages of Finland – and what is their demand globally? It is important to launch pilots and demonstrations as quickly as possible so that we learn more about both the technologies and about the necessary market structures.

We work together – this is maybe the most important thing. Gasgrid’s operations are based on openness, fairness and good community spirit both inside the company and in extensive cooperation with our stakeholders. We want to be a reliable partner that is easy to approach. As a team, we take care of each other and let everyone be themselves. The market operators have been open in providing feedback to us. I value this dialogue, because based on it, we can prioritise the things that are important to you. Although there is still much to be developed in the regional gas markets, the structures and cooperation have deepened significantly with the gas grid companies in the Baltic countries. We continuously strive to develop the market structures and to communicate about the way the markets work so that our customers and societies would benefit from the existing infrastructure. We also work in cooperation with the European Commission and the region’s energy ministries as well as regulators to ensure that the markets develop. In Finland, we engage in extensive cooperation both within the gas sector, between the operators in security of supply, as well as in the development of the entire energy and raw material system. I thank all our stakeholders for the joint efforts, for our open and direct discussions, and for the trust shown in us in our first year of operations.

Acknowledging our responsibility, we continue building the future, working together. Wishing you all happy holidays and a successful year 2021,

Olli Sipilä
CEO, Gasgrid Finland Oy

Gasgrid Finland Oy is a Finnish state-owned company and transmission system operator with system responsibility. We offer our customers safe, reliable and cost-efficient transmission of gases. We actively develop our transmission platform, services and the gas market in a customer-oriented manner to promote the carbon-neutral energy and raw material system of the future. Find out more: www.gasgrid.fi/