Fifteen renewable hydrogen projects in five countries received €992 million ($1.12 billion) in grants from the European Hydrogen Bank’s second round. This funding is part of €4.8 billion requested, with bids totaling 6.3 GW. The projects aim to produce 2.2 million tonnes of renewable hydrogen over 10 years, cutting over 15 million tonnes of CO2 emissions.
The grants support renewable hydrogen production for sectors like transport, chemicals, methanol, and ammonia. Winners receive fixed premiums per kilogram of hydrogen for up to 10 years, ranging from €0.20 to €0.60. For the first time, funding was also dedicated to hydrogen producers supplying the maritime sector for bunkering activities.Eight projects are in Spain, three in Norway, two in Germany, and one each in Finland and the Netherlands. The largest is the Netherlands’ Zeevonk Electrolyser (411 kilotons over 10 years), followed by Germany’s KASKADE and Finland’s Kristinestad PtX projects.
The Commission also approved €836 million for projects in Austria, Lithuania, and Spain via the “auction as a service” mechanism. EU officials highlighted the auction’s role in boosting a competitive renewable hydrogen market, energy independence, and jobs. Selected projects must sign grant agreements by October, reach financial close within 2.5 years, and start production within five years.
The first Hydrogen Bank auction awarded €720 million to seven projects in Finland, Norway, Portugal, and Spain, with subsidies ranging from €8 million to €245 million. Germany used the auction as a service to receive €350 million in state aid. A third auction, offering up to €1 billion, is planned for year-end. The Commission will also launch an online Hydrogen Mechanism to connect buyers and sellers and facilitate partnerships.
