Wednesday, May 31 2023 Sign In   |    Register

News Quick Search



Front Page
Power News
Today's News
Yesterday's News
Week of May 29
Week of May 22
Week of May 15
Week of May 08
Week of May 01
By Topic
By News Partner
Gas News
News Customization


Pro Plus(+)

Add on products to your professional subscription.
  • Energy Archive News

    Home > News > Power News > News Article

    Share by Email E-mail Printer Friendly Print

    EU envisages subsidies for hydrogen produced with energy - draft

    March 17, 2023 - CE Noticias Financieras


      BRUSSELS, Mar 16 (Reuters) - The European Commission will outline a hydrogen subsidy plan on Thursday that would make clean versions of the fuel more competitive with fossil fuel-based ones, a draft document shows.

      EU industries consume about 8 million tons of hydrogen, but the vast majority is produced using gas in a process that emits CO2 that warms the planet. The EU wants to switch to CO2-free hydrogen produced from renewable electricity to reduce industry emissions.

      The EU will launch a hydrogen financing "bank" consisting of auctions to grant a fixed premium to hydrogen producers per kilogram of hydrogen for up to 10 years, according to a draft document accessed by Reuters and due to be published on Thursday.

      The first auction this year would offer about 800 million euros. Payments would be made once the hydrogen is produced. To apply, projects will need proof that they have an interested buyer and a supply of renewable energy to power the production site.

      "The bank's aim is to reduce the cost difference to a level that private buyers are willing and able to cover," the project says.

      Governments will also be able to contribute national funds to EU auctions to increase the budget for projects in their own countries, so that if projects run out of EU funding, they can still receive this state aid.

      The EU wants to produce 10 million tons of renewable hydrogen and import another 10 million tons by 2030. It currently produces less than 0.3 million tons of hydrogen from electricity, according to the project.

      Reaching those targets would require huge investments to expand Europe's tiny fleet of electrolyzers - the equipment used to produce hydrogen from electricity - and install between 150 and 210 GW of new renewable energy capacity to power them.

      According to the blueprint, that investment could cost as much as 471 billion euros ($500 billion), most of which would come from the private sector.


    Other Articles - International


       Home  -  Feedback  -  Contact Us  -  Safe Sender  -  About Energy Central   
    Copyright © 1996-2023 by CyberTech, Inc. All rights reserved.
    Energy Central® and Energy Central Professional® are registered trademarks of CyberTech, Incorporated. Data and information is provided for informational purposes only, and is not intended for trading purposes. CyberTech does not warrant that the information or services of Energy Central will meet any specific requirements; nor will it be error free or uninterrupted; nor shall CyberTech be liable for any indirect, incidental or consequential damages (including lost data, information or profits) sustained or incurred in connection with the use of, operation of, or inability to use Energy Central. Other terms of use may apply. Membership information is confidential and subject to our privacy agreement.