Kawasaki contracts a 1 Mt/yr hydrogen pipeline ahead of demand

Japan Suiso Energy (JSE) and JFE Engineering announced on 13 July 2026 the EPC contract for Japan's first high-pressure hydrogen pipeline, about 4 km in Kawasaki, under NEDO's Green Innovation Fund. According to Ashraf Abdel Haleem, expected operation is 6 to 7 MPa in a 600 mm pipe.

The pipeline is sized for up to 1 million tonnes of hydrogen a year, a design capacity rather than contracted demand. During the demonstration, through fiscal 2030, it carries domestically produced hydrogen to the Kawasaki liquid hydrogen terminal. Afterwards the flow reverses and imported hydrogen goes to industrial customers.

The risk of demand not showing up has an address in law. The Hydrogen Society Promotion Act, in force since 23 October 2024, covers for 15 years the gap between project cost and a reference price linked to LNG or coal, according to S&P Global. In return, supported suppliers must keep supplying for another 10 years.

Capacity is being built ahead of demand. It will be filled by the supply contracts the law subsidises.