Germany's top utility RWE said on Wednesday it has agreed to supply France's TotalEnergies with around 30,000 tonnes of green hydrogen a year from 2030, in one of the sector's biggest deals so far.

Under the agreement, RWE will supply 30,000 tpy of green hydrogen produced from its electrolyzer in Lingen, Germany, to TotalEnergies’ Leuna refinery for a 15-year period.

This is the largest contract of its kind in Germany, setting a precedent for hydrogen adoption in heavy industry. For TotalEnergies, it provides a crucial supply of clean hydrogen to help slash emissions at its refinery in Leuna, while for RWE, it guarantees a long-term customer for its expanding hydrogen production.

RWE signed an agreement to supply an annual volume of 30,000 metric tons of renewable hydrogen for 15 years to help decarbonize TotalEnergies's Leuna refinery in the German state of Saxony-Anhalt.

In a groundbreaking step for the hydrogen market, TotalEnergies and RWE have for the first time agreed on conditions for the purchase of green hydrogen over a period of 15 years. The agreement stipulates that TotalEnergies will purchase around 30,