Seven hydrogen projects across Finland, Norway, Portugal, and Spain will receive EUR 720 million ($771.6 million) from the European Hydrogen Bank. This initiative aims to boost hydrogen production by covering the cost gap between renewable hydrogen and its non-renewable counterpart.
Three Spanish projects are set to benefit from the subsidy. The Renato Ptx Holdco will undertake the 500 megawatts electric (mWe) Catalina project. Benbros Energy SL will manage the 60 mWe El Alamillo H2 project, and Angus will handle the 35 mWe Hysencia project.
Portugal will contribute with two projects. Madoquapower 2x’s MP2X project plans to generate 500 mWe, while Petrogal SA’s Grey2Green II project is set to produce 200 mWe.
Norway’s Skiga project will have a 117 mWe capacity, and Finland’s Nordic Ren-Gas Oy will work on the 90 mWe eNRG Lahti project.
The combined effort aims to produce 1.58 million tonnes of renewable hydrogen over ten years, significantly reducing CO2 emissions by over 10 million tonnes. The renewable hydrogen will serve various industries, including steel, chemicals, maritime transport, and fertilizers.
Each project will receive between EUR 8 million ($8.6 million) and EUR 245 million ($262.6 million). The first auction received 132 bids, showing strong interest and confidence in renewable hydrogen.
The European Commission plans a second auction round in 2024. Additionally, Germany has allocated EUR 350 million ($375.1 million) for non-selected projects, aiming to build 90 MW of electrolysis capacity.
Projects will receive subsidies for up to ten years and must start production within five years of signing grant agreements. This initiative supports the EU’s goal of achieving at least 42.5 percent renewable energy by 2030.
