Austria earmarks €400m to subsidise domestic green hydrogen projects, using EU auctions-as-a-service
Central European nation is targeting 1GW of renewable H2 by 2030
Austria looks set to become the second EU member state to offer green hydrogen production subsidies for domestic projects via the bloc’s European Hydrogen Bank (EHB), after the country unveiled plans to make hundreds of millions of euros available for an upcoming auction.
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The money would be distributed via a competitive auction on the EHB’s auction-as-a-service programme, in which member states can “top-up” existing EU-level auctions with their own funds for domestic projects.
“Climate-neutral hydrogen plays an important role in our climate and energy goals,” said Austria’s climate minister, Leonore Gewessler. “To ensure that Austria remains competitive in those areas that need hydrogen for their processes or that are difficult to electrify — such as energy-intensive industry and shipping and air traffic — it is important to invest with foresight now.”
Producers of green hydrogen (and its derivatives such as green ammonia and methanol) willing to accept the lowest fixed premium, as well as meeting other criteria, are prioritised for a share of the cash, and winners are granted ten-year grant contracts.
Under the top-up programme, the lowest bids from across the EU — including Austria — would be awarded contracts until the EHB budget is exhausted, then the additional Austria-specific funding would be allocated to the Austrian projects with the next-lowest bids.