EU unlocks $772mln in subsidies to ‘Green’ Hydrogen makers

MOSCOW, April 30 (Sputnik) – The European Commission said on Tuesday it would grant nearly 720 million euros ($772 million) in subsidies to seven “green” hydrogen makers to cover for production losses.

“The winning bidders will produce renewable hydrogen in Europe and will receive a subsidy to bridge the price difference between their production costs and the market price for hydrogen, which is currently driven by non-renewable producers,” the statement read.

An extra 350 million euros will be allocated to Germany for its highest ranked projects despite it being not qualified for EU support.

The money will be paid through the European Hydrogen Bank, a financing instrument launched by the EU in 2022 to attract private investment to hydrogen produced with electricity from renewable sources, which costs several times more to make than “gray” hydrogen produced with fossil fuels.

The seven projects selected through the European Hydrogen Bank auction are located in Spain, Portugal, Norway and Finland. Together, they plan to produce 1.58 million tonnes of green hydrogen over ten years for use in sectors such as steel, chemicals, maritime transport and fertilizers.