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Home›Funding & Regulation›European Commission urged to reassess hydrogen policy
Funding & Regulation

February 4, 2025 · about 1 year ago

European Commission urged to reassess hydrogen policy

Hydrogen Europe and 16 other European associations working on the development of the hydrogen market have called on the European Commission to revise the bloc’s hydrogen policy.

2 minutes read
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Illustration purposes only; Courtesy of the European Commission

Hydrogen Europe and 16 other European associations have called on the European Commission to revise the bloc’s hydrogen policy.

Specifically, the group asked for a hydrogen policy “reality check ,” urging the Commission to address the following issues:

The Commission has been asked to act on these recommendations through, but not limited to, the upcoming initiatives, such as the Clean Industrial Deal, the Action Plan for Affordable Energy and the Grids Package.

To remind, in late 2024, the European Council adopted conclusions on the special report of the Court of Auditors on the EU’s industrial policy on renewable hydrogen. The report was welcomed, with the Council calling for “swift” implementation of the EU’s regulatory framework, encouraging the development of an interconnected transportation network and calling on the Commission to take measures that support both the competitiveness of EU industry and the security of investment.

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Hydrogen: European Council calls for implementation of regulatory framework

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It is worth mentioning that, in 2024, the Commission officially opened the second auction under the European Hydrogen Bank, via the Innovation Fund (IF24), to allocate €1.2 billion from EU Emissions Trading System (ETS) revenues to support producers of hydrogen categorized as RFNBO located in the European Economic Area (EEA). The auction was launched in the first week of the Commission’s new mandate and will end on February 20, 2025.

Over €250 million in grants from the Connecting Europe Facility (CEF) will also be allocated to 21 hydrogen infrastructure development studies. As disclosed, this funding will help alleviate investment risks associated with this nascent market and complement the hydrogen policy framework introduced in the Gas and Hydrogen Package. The formal adoption of this award decision will, reportedly, follow in the coming weeks. The European Climate, Infrastructure and Environment Executive Agency (CINEA) will then prepare grant agreements with the beneficiaries.

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