The European Hydrogen Bank’s pilot public sale delivered €720 million ($768.3 million) to seven renewable hydrogen tasks in Finland, Norway, Portugal and Spain. Together, they plan to provide 1.58 million metric tons of renewable hydrogen inside 10 years.
The European Commission has awarded virtually €720 million to seven renewable hydrogen tasks in Europe. The tasks, chosen by means of the primary aggressive bidding course of below the European Hydrogen Bank, will produce renewable hydrogen to be used in sectors together with metal, chemical compounds, maritime transport and fertilizers.
The seven chosen tasks encompass Finland, Norway, Portugal and Spain from an inventory of 132 bids. Together, they plan to provide 1.58 million metric tons of renewable hydrogen inside 10 years.
They submitted bids between €0.37/kg and €0.48/kg of renewable hydrogen produced – under the ceiling value of €4.50/kg set within the public sale – whereas additionally assembly different qualification necessities, and now obtain subsidies from € 8 million and € 245 million.
The largest awarded venture by quantity is situated in Sines, Portugal. A consortium consisting of Madoqua Renewables, Power2X and Copenhagen Infrastructure Partners plans to provide renewable hydrogen inside ten years. The second largest is situated within the northeastern Spanish province of Teruel, the place Renato Ptx Holdco is concentrating on 480,000 tons of hydrogen.
“The excessive variety of bids and the investments granted at the moment is a transparent sign of confidence within the nascent renewable hydrogen market,” stated Maroš Šefčovič, govt vice-president for the European Green Deal, Interinstitutional Relations and Foresight . “There is a powerful venture pipeline in Europe and a aggressive business. These are encouraging indicators for the way forward for this necessary net-zero know-how.
The seven chosen tasks will now start to organize particular person grant agreements with the European Climate, Infrastructure and Environment Executive Agency, that are anticipated to be signed by November 2024 on the newest. The tasks should begin producing renewable hydrogen inside 5 years of signing the grant settlement. They will obtain the awarded mounted premium subsidy for as much as 10 years for licensed and confirmed renewable hydrogen manufacturing.
The fee says it is going to launch a second public sale of the European Hydrogen Bank on the finish of this yr. It stated it is going to take classes realized from the pilot public sale and seek the advice of with stakeholders earlier than launching it.
Meanwhile, the German authorities has made €350 million in nationwide funding obtainable for tasks that don’t qualify for help on the EU degree on this public sale, however meet the qualification standards.
The funding might be made by means of the brand new “auctions-as-a-service” mechanism, a scheme that enables member states to make use of an public sale platform at EU degree and supply nationwide funding to extra tasks.
“I encourage different member states to observe Germany’s lead, and use “auctions-as-a-service” to help renewable hydrogen manufacturing on the nationwide degree utilizing our public sale platform in Europe,” stated Wopke Hoekstra, commissioner for Climate Action.
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