University of Vaasa and Seinäjoki University of Applied Sciences explore the potential of hydrogen economy in South Ostrobothnia

Green hydrogen is expected to play a key role in the global energy transition and in addressing climate change, and South Ostrobothnia, with its renewable energy resources, has the potential to become a key player. However, simply being a renewable energy producer within the hydrogen value chain is unlikely to drive significant regional economic growth. This raises important questions: How should the hydrogen economy in South Ostrobothnia be developed to ensure the benefits of green hydrogen production stay within the region? Which value chains should be prioritised? And what kind of investments and development are required?

Launched in May 2024, the VEPE project begins with a thorough analysis of key stakeholders, existing plans, and the needs of various actors in the region. This will be followed by the second phase, focusing on planning and co-designing the hydrogen ecosystem with local stakeholders, helping to understand the ecosystem’s structure and fostering collaboration among key players.

In the third phase, a value chain analysis will be carried out to pinpoint the most promising hydrogen-related opportunities for South Ostrobothnia. This will be followed by techno-economic assessments. Regional training and development needs will also be addressed, and the project will conclude with an action plan, developed with local stakeholders, to further the hydrogen economy in the area.

– The potential of the hydrogen economy is much discussed. However, many factors, such as the regional economic structure, the industry in the region with its traditions and know-how, and in particular the region's attractiveness for economic renewal, significantly determine what kind of regional opportunities can and should be developed around the hydrogen economy. We believe that through this project, understanding and awareness of South Ostrobothnia's role, opportunities and prerequisites in the hydrogen economy will become clearer and more refined, creating a strong and, above all, realistic foundation for making plans and initiating action, said Suvi Karirinne, Director of the VEBIC research platform at the University of Vaasa.

The project is also expected to enhance vocational education and training (VET)-related development efforts in the region, boosting its ability to address the challenges and opportunities created by this sector.

VEPE, co-funded by the European Union, is coordinated by the University of Vaasa’s VEBIC research and innovation platform in partnership with Seinäjoki University of Applied Sciences. The Regional Council of South Ostrobothnia is also contributing funding to the two-year project.

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