The European Commission recently announced the first recipients of subsidies from its European Hydrogen Bank, with MadoquaPower2X consortium securing funding for its green hydrogen project in Sines, Portugal.
Led by Madoqua Renewables and Power2X, the consortium is spearheading the construction of a cutting-edge green hydrogen plant in Sines, Portugal. With an estimated investment of €3 billion, the MP2X project aims to significantly contribute to Portugal’s and the EU’s endeavors to mitigate greenhouse gas emissions.
The European Commission’s subsidies aim to bridge the price gap between renewable hydrogen production costs and the market price for grey hydrogen, predominantly sourced from fossil fuels. By supporting cleaner fuel production, the European Hydrogen Bank aligns with the broader goal of decarbonizing European industries.
The MP2X project is poised to reduce up to 600,000 tons of CO2 emissions annually and generate over 200 employment opportunities. Beyond green hydrogen, the plant will also yield substantial quantities of green ammonia, further bolstering sustainable energy production.
Successful applicants are now tasked with preparing individual grant agreements, with hydrogen production slated to commence within the next five years. The timely execution of these agreements is pivotal for realizing the envisioned transition towards cleaner energy sources.
