Neste is the first Finnish company to receive IPCEI (Important Project of Common European Interest) classification from the European Commission, allowing Neste’s clean hydrogen initiatives at Porvoo refinery to receive national public funding.
The approval by the Commission is part of the EU’s first wave of IPCEIs on hydrogen, which aims to develop and expedite the production and use of clean hydrogen in Europe.
On 15 July 2022, the European Commission granted IPCEI certification for public support of clean hydrogen research and innovation initiatives to 35 enterprises in 15 EU Member States. Neste was the first Finnish firm selected in the EU application, which was coordinated by the Ministry of Economic Affairs and Employment and Business Finland in Finland. In Finland, Business Finland will make the final funding selections.
By financing innovation initiatives in various Member States, EU IPCEIs further the EU’s strategic objectives and the interests of Europeans as a whole. IPCEIs are subject to a distinct set of state assistance standards that provide for greater flexibility in the manner in which the state might subsidize businesses.
The Commission-approved Neste projects research methods for the production and use of clean hydrogen in refinery processes.
“The Porvoo refinery’s hydrogen initiatives will become a vital part of the European value chain for the production and utilization of clean hydrogen. The creation of clean hydrogen will play a crucial part in the development of responsible, commercially feasible solutions for carbon-free transportation and industry “According to Neste’s Senior Vice President of Innovation, Lars Peter Lindfors.
The EU aims to reduce greenhouse gas emissions by at least 55 percent compared to 1990 levels by 2030. Significant quantities of emission-free, dependable, and cost-effective energy are required to reach this objective. The collaborative IPCEI hydrogen initiatives seek to produce 10 million metric tons of clean hydrogen in the EU by 2030.
IPCEI status contributes greatly to Finland’s climate goals and is a crucial component of Neste’s aim to achieve carbon-neutral output by 2035.
“To realize a hydrogen economy, tight collaboration and collaborations across the value chain are required. IPCEIs are a major proponent of such cooperation. We are delighted that the European Commission has accorded Neste’s hydrogen initiatives the status of flagship projects for the hydrogen economy in Europe. The decision also supports our goal of becoming Neste’s Porvoo refinery Europe’s most sustainable by 2030 “says Outi Ervasti, Vice President, Renewable Hydrogen, Neste.