Croatia's Green Hydrogen Landscape and Potential for Future Development
Key Ideas
  • 32 green hydrogen projects are currently underway in Croatia, with a focus on production and consumption in various sectors like transport and industry.
  • A study highlights the need for integrated hydrogen ecosystems and the potential benefits for Croatia's economy and climate through the implementation of a development plan.
  • The transport sector, particularly public transport in major urban centers like Zagreb and Split, is identified as a suitable starting point for hydrogen pilot projects.
  • A new national model for incentivizing renewable hydrogen production is recommended, with a projected premium of EUR 3.5 to EUR 5 per kilogram by 2030 to boost adoption in the transport sector.
A recent study on the development plan and implementation of the Croatian Hydrogen Strategy by 2050 reveals that Croatia is actively pursuing 32 green hydrogen projects at various stages. The study, commissioned by the Croatian Hydrocarbon Agency, emphasizes Croatia's favorable position for establishing hydrogen production and use. However, it notes that most projects lack integrated hydrogen ecosystems. Despite this, the country aims to produce and consume 26,400 tonnes of renewable hydrogen by 2030, with projections of 97,100 tonnes in 2040 and 243,200 tonnes in 2050. The study underscores the importance of the transport sector for initiating hydrogen pilot projects, especially focusing on public transport in urban centers like Zagreb and Split. Affordability remains a key challenge due to high renewable hydrogen prices, with suggestions to reduce prices initially and later rely on CO2 taxes for cost balancing. To incentivize renewable hydrogen production, a new national model based on established electricity production incentives like contracts for difference is proposed. The study estimates a required premium of EUR 3.5 to EUR 5 per kilogram of renewable hydrogen by 2030 to drive adoption in the transport sector, with an expected cost of EUR 20 million for incentivization.
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