The European Commission recently published the final Terms and Conditions for its second auction for the production of renewable hydrogen, known as the IF24 Auction. This auction is a significant initiative under the European Hydrogen Bank (EHB) and aims to provide financial support to producers of Renewable Fuel of Non-Biological Origin (RFNBO). Scheduled to open on 3 December 2024, the IF24 Auction will allocate up to €1.2 billion to renewable hydrogen producers in the European Economic Area (EEA). Building on the success of the pilot auction from the previous year, the second auction seeks to further advance the European market for renewable hydrogen by mitigating investment risks through public support. Successful bidders in the IF24 Auction will be granted a fixed premium for each kilogram of renewable hydrogen produced over a period of up to ten years. The support from the Innovation Fund is aimed at bridging the gap between production costs and the price that off-takers are willing to pay for renewable hydrogen. The Terms and Conditions for this auction include new resilience requirements and a focus on contributing to the objectives of the Net-Zero Industry Act, evaluating projects based on security of supply and industrial competitiveness. The Innovation Fund, one of the largest funding programs globally for deploying net-zero technologies, is financed through revenues from the EU Emissions Trading System (ETS). It is designed to assist businesses in investing in clean energy and introducing market-ready technologies to decarbonize European industry while enhancing competitiveness. The Fund is a crucial component of the Green Deal Industrial Plan. In March 2023, the Commission introduced a plan to support investments in renewable hydrogen production through the EHB. Besides aiding the Innovation Fund in developing a domestic renewable hydrogen market, the EHB seeks to address the investment gap for the EU to achieve its ambitious REPowerEU targets. The pilot auction is anticipated to allocate nearly €720 million to seven selected projects across Europe. Overall, the auctions conducted by the Innovation Fund complement its support mechanisms, which encompass grants, project development assistance, and blended financial instruments. These initiatives enhance information transparency, facilitate price discovery, and reduce administrative burdens on applicants.