EU launches €1.2b green subsidy auction

European Hydrogen Bank’s second auction opens amid uncertainty over green hydrogen sector’s near-term prospects

The European Commission has launched its second European Hydrogen Bank (EHB) auction of green hydrogen subsidies as its doubles down on its strategy to accelerate the development of a domestic production base. The auction has a budget of €1.2b ($1.26m), up by €400m from the first auction. Subsidies totalling €1b, awarded as a fixed premium over a maximum term of ten years,  will be offered to producers of renewable hydrogen regardless of their target offtake markets, while €200m will be dedicated to projects with offtakers in the maritime sector. Successful bidders will sign grant agreements within nine months after the closure of the auction. The EU has given developers until 20 February 20