The EC has selected nine hydrogen production projects under the third auction of the European Hydrogen Bank (EHB) that are expected to provide almost 1.1GW of electrolyser capacity and produce over 1.3 million tonnes of hydrogen over their first 10 years of operation.

The nine projects are in Austria, Denmark, Finland, Germany, Greece, Norway and Spain. These projects will receive a total of around €1.09bn in EU funding from the Innovation Fund, sourced from the EU Emissions Trading System (ETS). The produced hydrogen will help reduce emissions from energy-intensive industries such as transport and chemicals.

Upon signature of their grant agreements, the nine selected projects will receive a fixed premium of between €0.44 and €3.49 per kilogramme of certified and verified hydrogen produced, for a maximum period of 10 years.

The European Climate, Infrastructure and Environment Executive Agency (CINEA) will start the formal preparation of grant agreements with the selected projects. This step will confirm the final conditions of the financial support, including the awarded fixed premium per kilogramme of hydrogen and the implementation timeline. Agreements are expected to be signed in the last quarter of 2026.

The Innovation Fund has an estimated total budget of €40bn from the EU Emissions Trading System for the period from 2020 to 2030. It creates financial incentives for companies and public authorities to invest in net-zero technologies and support the EU's transition to climate neutrality.

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