Enagás-coordinated LNGHIVE2 Project Receives EC Funding

| Spain: Madrid | Source: Enagás
Huelva LNG regasification plant

Huelva LNG regasification plant

The use of liquefied natural gas (LNG) as a fuel for maritime and rail transport will receive a boost in Spain thanks to funding approved by the European Commission ‘Connecting Europe Facility’ (CEF). LNGHIVE2: Infrastructure and Logistics Solutions is a project coordinated by Enagás, developer and operator of gas infrastructure.

The initiative aims to boost the use of liquefied natural gas (LNG) as a fuel for maritime and rail transport. The total investment in the project will be around EUR 14 million (USD 16m), of which close to three million euros will be financed by European funds.

The initiative, coordinated by Enagás and promoted by the Spanish Ports Authority, features the participation of six other partners: the Port Authority of Huelva, RENFE Mercancías, ADIF, Saggas, Marflet Marine, and the Valenciaport Foundation.

The project is scheduled to run until 2022 and includes adapting the regasification terminals in Huelva and Sagunto (Valencia) to offer LNG as a fuel. It also foresees to introduce LNG in a “maritime-rail green corridor” between the Port of Huelva and the ADIF rail terminal in Majarabique, the dry port of Seville. The project includes building an LNG station in this rail terminal and retrofitting a diesel-hauled locomotive to LNG.

The European Commission has positively rated the quality as well as the technical and financial maturity of this project. Furthermore, it has highlighted the project’s importance with regards to the Mediterranean Corridor, economic growth, and the Trans-European Transport Network’s (TEN-T) priorities for the use of LNG for multimodal transport and decarbonisation.

The use of LNG in transport contributes to improving air quality. It reduces NOx emissions by 85-90%, CO2 emissions by 25% and SOx and particles by almost 100% compared to traditional fuels.

Enagás, a member of NGVA Europe, is also currently coordinating CORE LNGas hive, led by the Spanish Ports Authority.

The LNGHIVE2: Infrastructure and Logistics Solutions initiative is in line with the institutional strategy to deploy LNG supply points in ports, and develop the associated market promoted by the Ministry of Public Works and Transport through the Spanish Ports Authority. Under this strategy, an initiative from Balearia has also been selected. This initiative involves retrofitting five vessels to use LNG as a fuel.

LNGHIVE2 is one of the National Action Framework for Alternative Energies in Transport measures approved by the Council of Ministers in December 2016. It aims to comply with Directive 2014/94 of the European Commission, which represents a clear commitment to the use of alternative fuels in the transport sector.


Related article: EC Selects Core LNGas Project to Promote LNG as Maritime Fuel

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