European green projects in scramble for subsidies

European Hydrogen Bank auction is four times oversubscribed, while industry remains on pause in US amid IRA subsidy uncertainty

The European Hydrogen Bank’s (EHB’s) second auction of green hydrogen subsidies was heavily oversubscribed as developers competed for long-term support to try to bridge the gap between persistently high production costs and the price offtakers are actually willing to pay. The latest auction drew 61 bids from projects in 11 countries in the European Economic Area. The total subsidies requested by bidders amounted to €4.8b ($5.2b), four times the allocated budget of €1.2b. Bidding projects represent a total capacity of 6.3GW of electrolyser capacity, implying an average of just over 100MW per project. “This continued appetite from our industry reinforces the development of a European mar