European Hydrogen Industry Lobbying for €1.2 Billion EU Subsidy Auction Ringfencing
Key Ideas
  • The European hydrogen industry is lobbying the European Commission for the ringfencing of the upcoming €1.2 billion hydrogen subsidy auction in favor of EU producers.
  • Hydrogen is crucial for decarbonizing industries like steel, cement, and chemicals, with the EU aiming to maintain competitiveness against the increasing production from China.
  • The industry is pushing for measures to support EU electrolysers production, including aligning CO2 costs for imported goods with domestic ones and ensuring the resilience of European manufacturing.
  • The lobbying efforts are directed towards securing the EU's energy independence, creating jobs, and preventing the dominance of Chinese manufacturing in the global hydrogen market.
The European hydrogen industry is actively engaging with the designated European Commission president to secure the protection of the EU's forthcoming €1.2 billion hydrogen subsidy auction for local producers. This lobbying effort aims to support the decarbonization of key industries like steel, cement, and chemicals, where hydrogen plays a vital role. As China escalates its hydrogen production and export activities, European manufacturers are seeking assistance to maintain their global market share. Jorgo Chatzimarkakis, CEO of lobby group Hydrogen Europe, emphasizes the potential of the European hydrogen ecosystem in advancing the energy transition goals. The industry calls for dedicated leadership within the European Commission to support clean industry initiatives effectively. Among the industry's requests are actions to counter the competition from foreign electrolysers and ensure the competitiveness of European manufacturing. This includes aligning CO2 costs for imported goods with domestic products and enhancing the resilience of the EU's electrolyser production. The industry's concerns are magnified by the dominance of Chinese manufacturers in the global hydrogen market, with a 40% share that surpasses Europe's 10%. The European manufacturers stress the need to prevent a further decline in the EU's manufacturing capacity and the potential loss of jobs. The upcoming Hydrogen Bank auction, set to distribute €1.2 billion, is a focal point for the industry to advocate for stringent criteria favoring EU electrolysers. Overall, the lobbying efforts are driven by the industry's positive outlook on hydrogen as a catalyst for economic growth, job creation, and energy independence within the European Union.
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