The EU will help fund a planned 10GW green hydrogen and ammonia project in the Brazilian state of Piaui as part of a renewed drive to secure diversified imports from reliable suppliers, European Commission President Ursula von der Leyen told an industry event in Brussels.

EU officials are also discussing new supply initiatives with Kazakhstan, Australia and Oman, and developing an international version of the bloc’s Hydrogen Bank subsidy programme, she said.

The EU’s hydrogen strategy calls for 10mt/yr of domestic production and another 10mt/yr of imports by 2030.

€17b – State aid to EU projects

“We are working on the international leg of the European Hydrogen Bank. This will secure diversified imports of renewable hydrogen from reliable suppliers abroad,” von der Leyen told the European Hydrogen Week. “We have already signed hydrogen partnerships with countries ranging from Egypt, Kenya and Namibia to Latin American countries.”

Funding for the Brazil project will form part of a €2b ($2.2b) package already earmarked for the country under the EU’s Global Gateway fund. The project, which is also backed by the Brazilian government, is designed to export to a terminal under development by Europe-based developer Green Energy Park on the Croatian island of Krk. From there, hydrogen will travel to serve industrial offtakers in southeastern Europe.

“Europe is not only a clean hydrogen pioneer, but also a partner to build a worldwide hydrogen market. With these public investments, we are helping attract and mobilise massive private capital,” von der Leyen said.

Second auction

Within the EU, the commission has authorised more than €17b in state aid for roughly 80 hydrogen projects, she added. The first round auctions for subsidies from the €800m European Hydrogen Bank launch in November. A second round is scheduled for the spring, bringing the total support package to €3b, von der Leyen said.

“The hydrogen economy is blooming. The first hydrogen buses are running in European cities, from Riga to Barcelona. Construction works have just begun on the Port of Rotterdam to build a hydrogen network that will span for over 1,000km,” she said.

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Author: Stuart Penson