European Union (EU) has reached a historic agreement on a framework that establishes an independent grid planning body for hydrogen.
After a partial agreement in November on rules governing internal hydrogen and gas markets, negotiations faced hurdles related to biogas targets and EU procurement of hydrogen. The recent consensus reached on Friday marks the culmination of persistent efforts to overcome these obstacles and solidify the EU’s commitment to a sustainable hydrogen future.
At the heart of this development is the ‘Fit for 55’ package, a comprehensive climate legislation initiative introduced by the Commission in 2021. The package aims to achieve a minimum 55% reduction in emissions across the EU by 2030. The agreed-upon legislation, a vital component of this package, propels the use of biomethane and low-carbon or green hydrogen, aligning with the ambitious decarbonization targets set by the EU.
One of the key provisions endorsed by Members of the European Parliament (MEPs) is the establishment of a joint purchasing system for gas. This innovative approach aims to aggregate demand, preventing member states from engaging in competitive bidding for gas, particularly during critical processes like refilling reserves. The voluntary system is set to kick off as a five-year pilot project, fostering collaboration and market development for hydrogen.
As the EU solidifies its commitment to hydrogen autonomy, the implications are far-reaching. The establishment of an independent grid planning body signifies a paradigm shift in how Europe approaches and integrates clean energy solutions. The ‘Fit for 55’ package, with its focus on decarbonization and sustainable practices, aligns with the global call for urgent climate action.