European Hydrogen Bank's Second Auction Draws Strong Interest Amid Oversubscription
Key Ideas
- European Hydrogen Bank's second auction for green hydrogen subsidies sees overwhelming response with bids from 11 countries.
- Bidders request €4.8b in subsidies, four times the allocated budget, highlighting strong industry demand for support.
- A total of 6.3GW electrolyser capacity bid across projects, showcasing significant interest in green hydrogen development.
- Positive reinforcement for the European market's commitment to bridging the gap between production costs and consumer willingness to pay.
The European Hydrogen Bank's second auction for green hydrogen subsidies saw a remarkable level of interest, with 61 bids from projects in 11 countries across the European Economic Area. The total amount of subsidies requested by bidders reached €4.8 billion, significantly exceeding the allocated budget of €1.2 billion. This high demand reflects the industry's eagerness for long-term support to address the challenge of high production costs versus consumer acceptance of pricing. The bidding projects collectively represent a substantial capacity of 6.3GW of electrolyser capacity, indicating a strong focus on scaling up green hydrogen production. This overwhelming response underscores the industry's commitment to advancing the green hydrogen market in Europe, signaling a positive trend towards sustainability and reduced carbon emissions.