German gas grid operator Open Grid Europe (OGE) has joined forces with its French, Spanish, and Portuguese counterparts to collaborate on developing a multibillion-euro hydrogen pipeline project.

According to a Reuters report, the announcement was made by Chief Financial Officer Frank Reiners on Wednesday, October 18, marking a milestone in the project known as H2MED. The initiative aims to establish a vital connection between the Iberian Peninsula and France, further extending into Central Europe.

The declaration was made during a project event hosted at the Spanish embassy in Berlin, where various stakeholders gathered to discuss the ambitious endeavor. Senior German government officials also voiced their support for accelerating the project's progress.

Speaking at the event, Franziska Brantner, State Secretary at Germany's Ministry of Economy and Climate, expressed optimism about expediting the pipeline's development. She acknowledged the challenges faced during its inception, stating she was confident that the company’s involvement in the project would help speed up the project.

Despite joining forces, Spain and France, both of which have made substantial investments in hydrogen technologies to facilitate Europe's transition to a low-carbon economy, have found themselves in disagreement about whether the pipeline should transport gas produced using nuclear energy.

Addressing this contentious issue, François Delattre, the French ambassador to Germany, emphasized the need for equal treatment of nuclear energy as a viable source for hydrogen production.

"The hydrogen market will be delayed if there is no equitable treatment between renewables and low-carbon sources, like nuclear," he argued.

Next week, the European Commission is set to announce a list of projects of common interest in the field of hydrogen, as confirmed by Mechthild Worsdorfer, a representative of the European Commission. The move could allow the companies involved in the H2MED project to secure substantial European Union subsidies to further their ambitious hydrogen infrastructure initiative.