EU Hydrogen Bank Attracts Overwhelming Project Interest
Brussels, Tuesday, 11 March 2025.
The EU Hydrogen Bank’s recent auction hit a high note with 61 project bids from 11 countries, overshooting the budget by four times with over €4.8 billion requested.
Massive Scale and Maritime Focus
I’m particularly excited about the scale of these proposals - they represent a total electrolyzer capacity of 6.3 gigawatts, with potential to produce more than 7.3 million tonnes of renewable hydrogen over a decade [1]. What’s especially interesting is that eight of these projects specifically target the maritime sector [2], showing how hydrogen is making waves in shipping decarbonization. This aligns perfectly with the International Maritime Organization’s ambitious goal for net-zero emissions from shipping by 2050 [3].
Bridging the Production Gap
The timing couldn’t be more crucial. Currently, the EU produces just 0.02 million tonnes of renewable hydrogen annually, while aiming for 20 million tonnes by 2030 [3]. These projects could help bridge this enormous gap, potentially covering 7% of the EU’s REPowerEU domestic production ambitions [2]. The fixed premium subsidy structure is designed to cover the difference between production costs and market prices [1], making these projects commercially viable.
National Commitments
I’m seeing encouraging developments at the national level too. Austria and Lithuania have recently stepped up with €400 million and €36 million respectively in state aid schemes [4]. These initiatives aim to support the production of 112,000 tonnes of renewable hydrogen in Austria and 13,000 tonnes in Lithuania [4]. The evaluation results will be announced by May 2025, with grant agreements expected to be signed by November 2025 [1].