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Nel to step up electrolyzer production capacity

Arnes BiogradlijaBy Arnes Biogradlija10/03/20222 Mins Read
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Nel is prepared to expand its electrolyzer manufacturing capacity in order to satisfy the European Union’s increased renewable hydrogen objectives.

“When the market demands it, we are ready to increase the electrolyzer manufacturing capacity needed in Europe and beyond,” says Nel CEO Jon André Lkke.

“At Herya, our brand-new, completely automated electrolyzer production plant is already producing in three shifts. Every week, we set new production records, and we’ll begin the process of locating extra manufacturing capacity in Europe “, explains Lkke.

Nel’s electrolyzer facility in Herya can provide the market with 500 MW of capacity, with the ability to increase to 2 GW.

The European Commission released its “REPowerEU” declaration on Tuesday, which details the EU’s aims to become Europe fossil-fuel independent long before 2030. The statement also outlines a number of initiatives aimed at addressing Europe’s rising energy prices.

Ambitions have been raised.

REPowerEU, for example, emphasizes the need of renewable hydrogen even more. The EU Hydrogen Strategy, which was unveiled in May 2020, established a goal of producing 10 million tons of renewable hydrogen by 2020. With this new message, the EU raises its ambition and hydrogen strategy goals by committing to an additional 15 million tons of renewable hydrogen (10million tons to be imported and 5 million tons produced domestically in the EU). By 2030, this increased volume would help to reduce reliance on Russian gas imports by 25-50 billion cubic meters.

Furthermore, REPowerEU aims to accelerate the implementation of the Innovation Fund in order to support the transition to electrification and hydrogen, including through EU-wide carbon contracts for difference schemes, and to strengthen the EU’s manufacturing capabilities for innovative zero and low carbon equipment, such as electrolyzers. Furthermore, the European Commission has committed to evaluating State aid notice for hydrogen projects as a priority, with the goal of completing the evaluation of the first Important Projects of Common European Interest (IPCEI) by summer.

“We are dedicated and prepared to fulfill our pledge of assisting Europe in becoming the world’s first climate-neutral continent. It is past time for Europe’s hydrogen ambitions to become a reality. Renewable hydrogen technologies require a clear and predictable regulatory framework that offers clarity and adequate incentives “, explains Lkke.

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