Hydrogen: Commission supports industry commitment to boost by tenfold electrolyser manufacturing capacities in the EU

This article is brought to you in association with the European Commission.

Today, Commissioner for Internal Market Thierry Breton and European electrolyser manufacturers met in Brussels to discuss how to increase industry’s capacity to produce electrolysers used to produce clean hydrogen. The Commissioner and 20 industry CEOs signed a Joint Declaration whereby industry committed to a tenfold increase of its electrolyser manufacturing capacities by 2025. This will enable the annual EU production of 10 million tons of renewable hydrogen by 2030, set as target in the March 2022 REPowerEU Communication. It will improve Europe’s sustainable and secure energy supply and reduce EU’s reliance on Russian gas.

Commissioner for Internal Market, Thierry Breton, said: “Clean hydrogen is indispensable to reduce industrial carbon emissions and contribute to our energy independence from Russia. We have no time to lose, which is why this European electrolyser summit is so opportune. Today, industry agreed to a tenfold increase in electrolyser manufacturing capacities in Europe. The Commission will support this important industrial upscaling for an industrial leadership in the clean energy technologies of the future.”

The Joint Declaration sets out a target agreed by electrolyser manufacturers in Europe to increase their manufacturing capacity tenfold to 17.5 GW per year. It also features Commission actions to put in place a supportive regulatory framework, facilitate access to finance and promote efficient supply chains. Among them:

• Ensuring that regulation governing the production of renewable hydrogen support a fast and affordable ramp-up of the market for renewable hydrogen and its production in Europe;
• Adoption of a recommendation and a legislative proposal on accelerated permitting for renewable energy projects, including renewable hydrogen;
• Assessment of State aid notification for hydrogen projects as a matter of priority;
• Commitment by electrolyser manufacturers to apply only with high quality project proposals that are fully aligned with the climate targets and REPowerEU ambition;
• Collaboration with the EIB to facilitate the financing of electrolyser manufacturing and deployment projects;
• Establishment of an ‘Electrolyser Partnership’ that will bring together electrolyser manufacturers and suppliers of components and materials within the existing structures of the European Clean Hydrogen Alliance;
• Joint commitment to integrate the value chain, diversify and tackle dependency of key raw materials and chemicals within the framework of the EU industrial strategy.

The actions agreed today will pave the way for large-scale clean hydrogen production in Europe. This will enable for the decarbonisation of otherwise hard-to-abate industry sectors and transport applications in line with our Fit for 55 objectives and replacing Russian gas. It will promote Europe’s competitiveness, resilience and strategic autonomy and help ensure that European electrolyser manufacturers maintain their global leadership.

Background

In cooperation with Hydrogen Europe, the Commission organised this event under the auspices of the European Clean Hydrogen Alliance, which brings together 1600 interested parties from industry, public authorities, civil society, and research institutions. Created in July 2020 by the Commission, the objective of the Alliance is to support the large-scale deployment of clean hydrogen technologies by 2030 by bringing together renewable and low-carbon hydrogen production, demand in industry, mobility and other sectors, and hydrogen transmission and distribution. It aims to promote investments and stimulate the roll-out of clean hydrogen production and use.