Spain's drive to position itself as a key producer of green hydrogen has received a significant boost with the European Commission's approval of substantial state aid amounting to 1.2 billion euros for the country's renewable hydrogen industry. The support, funded entirely by the EU recovery fund, is a crucial step towards Spain's aspiration to lead in the production of climate-friendly fuel. The program will enable production facilities with a capacity of 100 megawatts or more to seek state support in establishing 'hydrogen valleys' across the nation. Green hydrogen, produced using renewable electricity, has vast untapped potential in Spain due to its capacity for increased solar and wind energy production, contributing to a cleaner energy system. The state aid, to be allocated by the end of 2025 through a competitive bidding system, aligns with EU policy objectives for a net-zero emissions economy. Margrethe Vestager, the Vice President of the Commission overseeing competition policy, emphasized that the Spanish program will accelerate green hydrogen production facilities in line with EU's strategic goals, helping reduce the country's reliance on imported fossil fuels. Spain's ambitious target of 11 gigawatts of electrolysis capacity by 2030, the highest in Europe, reflects its commitment to sustainable energy and climate objectives. This initiative mirrors broader European efforts to shift towards cleaner energy sources and foster economic growth through sustainable development.