A Digital Twin for Portugal’s 100 MW Hydrogen Plant

Siemens and Galp Bring Digital Technology to Green Hydrogen Production

Portugal is advancing its renewable hydrogen ambitions through a collaboration between Siemens and energy company Galp Energia. Announced on October 8, 2026, the partnership will digitalize GalpH2Park, a large-scale renewable hydrogen project located in Sines, Portugal.

The first phase of the facility has an electrolyser capacity of 100 megawatts (MW) and is designed to produce up to 15,000 tonnes of renewable hydrogen annually. The project also targets a reduction of approximately 110,000 tonnes of carbon dioxide emissions per year.

At the centre of the collaboration is a predictive digital twin designed to help operators understand plant performance, make better operating decisions and optimize hydrogen production as the facility moves toward commercial operation.

What Is the Digital Twin Technology?

Siemens will deploy its Hydrogen Performance Suite (HPS), a software platform developed to support the monitoring and optimization of industrial hydrogen production.

Its central feature is a predictive Digital Process Twin: a physics-based digital model that represents how the physical plant behaves under different operating conditions. By combining process models with live operational data, the system can provide insights into plant performance and support real-time optimization.

Rather than relying exclusively on historical operating data, the digital twin uses an understanding of the underlying physical processes to help assess how changes in operating conditions may affect production.

The software platform also integrates process modelling, data analytics and real-time visualization, presenting complex technical information in a format that plant operators can use to make informed decisions.

Connecting Plant Operations With Energy Markets

Electricity is a critical factor in renewable hydrogen production because electrolysers use electrical energy to split water into hydrogen and oxygen. Consequently, the cost and availability of electricity can strongly influence the economics of hydrogen production.

Siemens’ solution is designed to connect the plant’s operating data with external information, including signals from electricity grid operators and energy markets. This broader view can help Galp evaluate operating conditions and make more informed production decisions.

For example, when renewable electricity availability or market prices change, operators can use the platform’s insights to assess how production schedules might be adjusted. The objective is to improve the coordination between energy supply, electrolyser operation and hydrogen output while maintaining appropriate operating conditions.

The system’s optimization capabilities are intended to help the plant operate more efficiently, although actual performance improvements will depend on operating conditions and must be assessed once the facility is running.

Why a Digital Twin Matters for Renewable Hydrogen

Renewable hydrogen projects face several operational challenges, including variable electricity supply, equipment performance, energy costs and the need for reliable production.

A digital twin can help address these challenges in several ways:

1. Improved operational visibility

Combining live plant information with process models gives operators a more comprehensive view of the facility’s performance and operating conditions.

2. Data-driven decision-making

Predictive modelling can help operators assess possible outcomes before making changes to production settings, supporting more informed decisions.

3. Energy optimization

By incorporating information about electricity supply and market conditions, the system can support decisions intended to improve the relationship between power consumption and hydrogen output.

4. Better performance monitoring

Comparing real operating data with the digital model can help identify deviations from expected performance and highlight areas that may require investigation.

5. Support for long-term efficiency

Insights from plant operations can help teams evaluate performance trends, identify optimization opportunities and improve their understanding of equipment behaviour over time.

These capabilities do not automatically guarantee lower costs or prevent equipment failures. Their value will depend on the quality of the underlying models, the reliability of plant data and how effectively operators use the information.

GalpH2Park’s Role in Portugal’s Hydrogen Strategy

The Sines project forms part of Portugal’s wider effort to develop renewable hydrogen production and support industrial decarbonization.

Renewable hydrogen can potentially replace some fossil-based hydrogen used in industrial processes and provide an alternative energy source for sectors that are difficult to electrify directly. Its environmental benefits depend on how the hydrogen is produced and the emissions associated with its electricity supply and wider production chain.

GalpH2Park’s planned annual output of up to 15,000 tonnes illustrates the scale at which hydrogen technologies are being developed. The project’s targeted annual emissions reduction of approximately 110,000 tonnes further highlights its intended contribution to industrial decarbonization.

Siemens’ digitalization technology adds an operational dimension to this development. Alongside installing production equipment, hydrogen developers increasingly need software and automation systems capable of coordinating energy inputs, process performance and production requirements.

A Step Toward More Digitally Managed Hydrogen Plants

The Siemens–Galp collaboration reflects a broader trend in industrial energy projects: combining physical infrastructure with digital modelling, real-time monitoring and optimization tools.

For renewable hydrogen to become more competitive, developers must address not only the cost of electrolysers and renewable electricity but also the efficiency and reliability of day-to-day operations.

The digital twin at GalpH2Park is intended to help operators manage these factors using plant data and physics-based predictions. Its effectiveness will become clearer as the facility enters operation and the system’s recommendations can be evaluated against actual production results.

If successful, the approach could offer a useful example of how digital technology can support the operation of large-scale renewable hydrogen facilities in Portugal and other markets.

Sources

1. Siemens — Official announcement: Siemens to digitalize one of Europe’s largest renewable hydrogen projects

2. GreenH2Atlantic — Portugal’s 100 MW hydrogen project in Sines: Official project website

3. Engineer Live — Siemens and Galp’s digitalization collaboration: Read the industry report