Europe Rolls Out Hydrogen-in-Transport Funding

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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Hydrogen use in the transport sector has received a major financial boost from the European Commission in the form of 1.4 billion euro ($1.5 billion) in subsidies for projects.

The Commission said the projects supported are "highly ambitious" as they aim at developing technologies and processes that "go beyond current technology and will allow major improvements notably in the areas of mobility and transport applications, fuel cells, on-board hydrogen storage and generation of hydrogen for the use in mobility and transport." It also noted that the projects "involve significant technological and financial risks" and stated that public support is necessary to provide incentives to companies to carry out the investment.

The Hy2Move initiative is the latest part of its Important Project of Common European Interest ('IPCEI') program, aimed at supporting research, innovation and the first industrial deployment in the hydrogen value chain. Jointly put forward by Estonia, France, Germany, Italy, Netherlands, Slovakia and Spain, the initial funding is expected to unlock an additional 3.3 billion euro ($3.6 billion) in private investments. Funding has been awarded to 11 companies with activities in one or more Member States, to develop 13 projects. Specific project details were withheld, the Commission said, until it has agreed "on any confidential business secrets that need to be removed." Hy2Move is the fourth hydrogen-themed IPCEI in recent years, preceded by Hy2Tech, Hy2Use and Hy2Infra which had combined funding of 17.5 billion euro ($19 billion).

Margrethe Vestager, the Commission's executive vice-president in charge of competition policy, said: "Hydrogen can support us to move around and transport goods with zero emissions. But investing into hydrogen powered mobility and transport technologies can be risky for one Member State or one company alone. This is where State aid rules for IPCEI have a role to play. The IPCEI Hy2Move approved today is an example of truly ambitious European cooperation for a key common objective. It also shows how competition policy works hand in hand with breakthrough innovation."

Specifically, the projects will address:

• The development of mobility and transport applications to integrate hydrogen technologies in transport means (road, maritime and aviation). This includes, for example, fuel cell vehicle platforms for use in buses and trucks.
• The development of high-performance fuel cell technologies, which use hydrogen to generate electricity with sufficient power to move ships and locomotives.
• The development of next generation onboard storage solutions for hydrogen. For the use in aircraft, lightweight, yet robust hydrogen tanks are necessary to ensure safety and efficiency in flight conditions.
• The development of technologies to produce hydrogen for mobility and transport applications, in particular for supplying hydrogen refueling stations on-site with pressurized, 99.99% pure fuel-cell-grade hydrogen.

The funding was welcomed by Jorgo Chatzimarkakis, chief executive officer of industry association Hydrogen Europe. "We are delighted to see the successful final chapter of the hydrogen IPCEIs. It is now crucial that Member States make the necessary resources available for all waves and establish the right conditions for these projects to be delivered as soon as possible."

In related news, Germany will greatly speed up the approval process for hydrogen-related projects following the government's approval for the Hydrogen Acceleration Act. Expected to come into force by the end of the year, it will "simplify and digitalize" the planning, approval and procurement procedures for project developers across a number of related fields, including electrolyser and pipeline infrastructure, ammonia import installations and plants involved in ammonia cracking.

"Time is running out," said German Federal Minister for Economic Affairs and Climate Protection Robert Habeck. "In order for electrolysers or import terminals to go into operation as quickly as possible, we need leaner and, above all, faster planning and approval procedures. With the hydrogen acceleration law, the course has now been set. The law removes obstacles to the approval of infrastructure projects that generate, store or import hydrogen. This is another milestone on the path to the hydrogen economy."

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