Author: PPD Team Date: 17/04/2025
The European Commission has approved a €400 million Spanish State aid scheme to support the production of renewable hydrogen. The scheme will be implemented through the European Hydrogen Bank’s Auctions-as-a-Service tool.
It will enable the construction of up to 345 MW of electrolyser capacity and the production of up to 221,000 tonnes of renewable hydrogen in Spain. The support will help the country move towards its national target of 12 GW of electrolyser capacity by 2030.
Aid will be granted through a competitive bidding process completed in the first quarter of 2025. All companies planning to build new electrolysers in Spain are eligible. The support will be provided as a direct grant per kilogram of renewable hydrogen produced, for a period of up to 10 years.
Beneficiaries must comply with EU criteria for renewable fuels of non-biological origin (RFNBOs). This includes contributing to the deployment or financing of additional renewable electricity used in hydrogen production.
The scheme supports EU-wide goals set under the Renewable Energy Directive and aligns with the Clean Industrial Deal and the REPowerEU Plan. These frameworks aim to reduce reliance on Russian fossil fuels and support industrial decarbonisation.
The auctions were managed by the European Climate, Infrastructure and Environment Executive Agency (CINEA) and funded through revenues from the EU emissions trading system. The European Hydrogen Bank, part of the EU Innovation Fund, targets 20 million tonnes of renewable hydrogen production and imports by 2030.