Advocating for Regulatory Changes to Boost Renewable Hydrogen in Europe
Key Ideas
- Czech Hydrogen Technology Platform (HYTEP) urges the European Commission to amend rules for renewable hydrogen production to enhance regulatory certainty and kick-start production.
- The policy paper highlights limitations in hydrogen production due to factors like availability of renewable electricity and high capital costs of electrolysers.
- Proposed amendments focus on additionality, temporal correlation, and geographical correlation rules to facilitate smoother and more cost-effective renewable hydrogen production in the EU.
- The suggested changes aim to provide projects in less advanced renewable energy countries with more time to develop, ensure better matching of electricity production and consumption, and allow flexibility in sourcing renewable energy.
The Czech Hydrogen Technology Platform (HYTEP) is advocating for changes to the rules governing renewable hydrogen production in Europe. In a policy paper, HYTEP argues that the current regulations, which were based on inaccurate data and optimistic cost reduction projections, need to be revised to reflect the real challenges faced by the industry. The platform identifies key limitations such as the availability of renewable electricity, strict production rules, and the high costs of electrolysers that hinder the growth of renewable hydrogen. HYTEP proposes amendments in three crucial areas: additionality, temporal correlation, and geographical correlation rules. Additionality, which dictates that a renewable energy source cannot start operation more than 36 months before the electrolyser, is seen as impeding progress in less advanced renewable energy countries. Time correlation rules are suggested to be extended until 2035 for monthly matching of electricity production and consumption. Geographical rules are recommended to be reformed to allow for sourcing renewable energy from neighboring countries or bidding zones for increased flexibility. These changes are aimed at fostering a more conducive regulatory environment for renewable hydrogen production, addressing challenges and promoting sustainable growth within the EU.