The European Commission has given the green light to a €3 billion German scheme aimed at supporting the construction of the Hydrogen Core Network (HCN). This network is set to become the backbone of long-distance transport pipelines for hydrogen in Germany and part of the larger European hydrogen backbone linking multiple EU member states. The initiative is in line with the EU Hydrogen Strategy and Fit for 55 package, with a targeted completion date for the HCN set in 2032. The funding will help in repurposing existing gas pipelines to transport hydrogen and in building new hydrogen pipelines and compressor stations. The project will be overseen by hydrogen transmission system operators, selected by the German federal network agency Bundesnetzagentur. Financing will come in the form of a State guarantee, enabling TSOs to secure more favorable loans to cover initial losses. Repayments on the loans are scheduled until 2055, with the aim of gradually returning the borrowed amounts as hydrogen demand increases. This investment is expected to kickstart the hydrogen market in Europe and aid in the green transition, all while ensuring fair competition. The European Commission sees this approval as a crucial step in encouraging investments in hydrogen production and consumption, which in turn can hasten the shift towards sustainability. Additionally, other investments in energy infrastructure in Germany, such as the Southern Germany gas pipeline and the SoutH2 Corridor for transporting green hydrogen from Africa to Germany, are further enhancing the hydrogen infrastructure development in the region.