The first auction of the European Hydrogen Bank started on 23 November. Producers of renewable hydrogen can compete for support in the form of a fixed premium per kilogram of hydrogen produced.
The pot contains €800 million for the cheapest bidders of green hydrogen. The subsidy fills the difference between the price that customers now pay on the market for grey hydrogen and the amount for which a producer thinks it can produce its green hydrogen.
The European Hydrogen Bank was set up by the European Commission to support the production of renewable hydrogen in Europe. Producers can apply for support in the form of a fixed premium per kilogram of hydrogen produced, on top of market revenues for up to 10 years. Once projects have signed their grant agreements, they must start producing renewable hydrogen within five years.
Bidders have until February 8, 2024 to submit an application.
