Bp and Iberdrola have given approval for the development of a 25-MW green hydrogen project at bp's Castellón refinery in Spain, slated to commence operations by the second half of 2026. This initiative, facilitated through Castellón Green Hydrogen S.L., a joint venture between the two energy giants, will see the conversion of 200 GWh/year of Iberdrola's renewable energy into green hydrogen. The project, which has received 15 million euros in funding from the Spanish Recovery, Transformation, and Resilience Plan, aims to support bp's decarbonization efforts. The 25 MW electrolyzer, powered by renewable electricity from Iberdrola's projects, is expected to help avoid 23,000 tons of CO2 emissions annually and could create around 500 new jobs during its construction phase. The project also signifies a key step in the companies' commitment to promoting green hydrogen as an essential element in industrial decarbonization. By leveraging green hydrogen, the initiative seeks to advance the transformation of the Valencia region's economic fabric and industrial capacity. The green hydrogen produced at the plant will adhere to European standards, contributing to bp's transition to an integrated energy hub while substituting grey hydrogen, ultimately reducing emissions equivalent to those of 5,000 cars annually. Moreover, the collaboration between bp and Iberdrola extends beyond the project itself, with plans to explore opportunities to scale up green hydrogen production in the future for use in various industries in the region. The joint efforts also align with the Valencian Government's initiatives to drive the energy transition in the region, emphasizing the importance of partnership and innovation in realizing a sustainable energy future. Additionally, Iberdrola's recent alliances with various entities further underscore the commitment to decarbonization and renewable energy development, positioning Spain as a key player in the green hydrogen industry and the broader energy transition landscape.