Spain – The Government allocates 794 million to seven renewable hydrogen industrial technologies and cluster projects of the IPCEI Hy2Use.
They will add an additional electrolysis capacity of 652 MW powered by solar, wind and hydraulic energy, and will mobilize investments of more than 6 billion throughout their useful life.
These are five hydrogen valleys and two innovative industrial applications, selected by the European Commission, in Andalusia, Aragon, Asturias, Castilla-La Mancha, the Basque Country and the Region of Murcia.
The Government increases its commitment to renewable hydrogen to replace fossil energy and eliminate CO2 emissions from industry, heavy transport and other sectors that are difficult to decarbonise.
The Council of Ministers has approved today, at the proposal of the Ministry for the Ecological Transition and the Demographic Challenge (MITECO), a Royal Decree to allocate and distribute 794 million euros in direct aid to the seven Spanish projects for the production and intensive use of renewable hydrogen in large-scale industrial activities chosen by the European Commission within the framework of the Important Project of Common European Interest (IPCEI) Hy2Use . This is the second of those approved by Brussels within the strategic commitment to promote the industrial value chain of green hydrogen in the EU, from R&D to the production and use of this energy vector in the economic and productive activity sectors that are most difficult to decarbonize .
Five of the beneficiary initiatives involve the construction of high-capacity electrolysers – of 100 MW or more – in environments with high industrial activity, such as ports and other industrial complexes, forming integrated clusters or valleys that will be located in locations in Andalusia, Asturias , Castilla-La Mancha, the Basque Country and Murcia. They are part of the Technology Field 1 line of the IPCEI Hy2Use, aimed at promoting renewable hydrogen.
The other two Spanish proposals of the IPCEI Hy2Use will be deployed in Aragon and envisage the launch of two renewable hydrogen generation projects for use in the manufacture of fertilizers and other chemical compounds . They are part of the Technology Field 2 line, the purpose of which is to facilitate the technological replacement of fossil fuels in industrial sectors.
IMMEDIATE INVESTMENT OF 1,141 MILLION
The seven IPCEI Hy2Use projects add up to 652.2 new MW of electrolysis power in aggregate and, in economic terms, will mobilize resources worth 1,141 million immediately and more than 6,000 million in total investment throughout their entire life. useful .
The distribution of the aid is carried out using the NextGenEU funds of the Recovery, Transformation and Resilience Plan (Component 9 of the PRTR) and will be channeled by the Institute for Energy Diversification and Saving (IDAE), an organization dependent on MITECO, according to to the following distribution :
| PROJECT | CCAA | Electrolysis power | Help M€ | Beneficiaries |
| ES46 “See-Ammonia” | Aragon (Teruel) | 25MW | 53 | Fertinagro – IAM CAECIUS SL (EDP-Tervalis) |
| ES47 “Green H2 Los Barrios” | Andalusia (Cadiz) | 100MW | 78 | H2 Los Barrios S.A. (EDP) |
| ES48 “Asturias H2 Valley” | Asturias (Aboño) | 100MW | 78 | EDP |
| ES50 “Green Hydrogen Project in Magallón | Aragon (Zaragoza) | 7.2MW | 28 | ENDESA – ENEL GREEN POWER |
| ES52 “Renewable Hydrogen for the production of ammonia and green fertilizers” | Castile-La Mancha (Ciudad Real) | 220MW Puertollano I 20 MWPuertollano II 200 MW | 242 | IBERDROLA |
| ES53 “Bilbao Large Scale Electrolyzer” | Basque Country (Muskiz, Bizkaia) | 100MW | 160 | Bay of Biscay Hydrogen (Petronor/REPSOL) |
| ES54 “Cartagena Large Scale Electrolyzer” | Murcia (Cartagena) | 100MW | 155 | Cartagena Hydrogen Network SL (REPSOL) |
| TOTAL: | 652.2 MW | €794M |
The public financing of the seven projects will allow us to continue advancing in the construction of a solid renewable hydrogen economy , both at the community level and in Spain, to accelerate the decarbonization process and gain industrial competitiveness in the global deployment of renewable energies, where our country can assert its international leadership position.
FIVE VALLEYS OF RENEWABLE HYDROGEN
The five projects linked to the development of valleys or clusters supported by this Royal Decree integrate the production of large-scale renewable hydrogen with its transformation and consumption in industrial centers located in the vicinity of the electrolysis plant , in intensive activities within the sectors previously mentioned . All of them include direct supply to nearby industrial consumers via hydroducts and, eventually, also by road.
Specifically, Green H2 Los Barrios will provide the renewable hydrogen generated to the steel mill and chemical plant located near production. Asturias H2 Valley , for its part, will supply the resulting hydrogen both for use in the cement and steel plant located about 3 km away, and in the industrial hub of Avilés, among others.
In the Renewable Hydrogen project for the production of ammonia and green fertilizers in Puertollano (Ciudad Real), the local fertilizer company will be the main consumer of the hydrogen obtained. In the Bilbao Large Scale electrolyzer, the electrolyzer is located in the same location as the main consumer of hydrogen, Petronor’s own refinery in Muskiz, Bizkaia. And as for the Cartagena Large Scale electrolyzer proposal, most of the hydrogen production will be destined for self-consumption by the Cartagena refinery.
The ultimate goal of this integration into clusters is to facilitate the decarbonization of high-impact industrial processes by fully or partially replacing the gray hydrogen used with green hydrogen obtained through solar photovoltaic, wind and hydraulic energy, as the case may be. Preliminary calculations estimate that more than 17,000 tonnes/year of fossil hydrogen will be replaced by renewable molecules in these five projects.
APPLICATIONS IN THE CHEMICAL INDUSTRY
The two projects to be established in Aragon involve the direct industrial application of hydrogen in the chemical sector. The Ver-Amonia initiative in Teruel will develop an integrated electrolysis plant with a power of 25 MW, powered by renewable sources, which will produce 15,000 tonnes/year of green ammonia as a fertilizer compound.
As for the Green Hydrogen Project in Magallón (Zaragoza), it is planned to install and operate a 7.2 MW electrolyser with two different configurations to be tested. The electrolyser will share a location with a photovoltaic plant and a wind farm, and the hydrogen produced will be transported by truck.
SECOND IPCEI OF HYDROGEN
Following the first IPCEI approved by the European Commission, Hy2Tech, focused on the development of technologies associated with renewable hydrogen – it also allocated funds to Spanish companies – this IPCEI Hy2Use for the decarbonisation of industrial processes has been developed by 13 member states : Austria, Belgium, Denmark, Slovakia, Spain, Finland, France, Greece, Italy, the Netherlands, Poland, Portugal and Sweden, with Norway included within the framework of the European Free Trade Association.
Its objective is to ensure the development of a renewable and low-carbon hydrogen market by supporting the construction of hydrogen-related infrastructure , especially large-scale electrolysers and transport infrastructure, as well as the development of hydrogen technologies in multiple industrial sectors. According to estimates provided by the Member States, this IPCEI will contribute to the creation of approximately 26,000 direct jobs in total throughout its implementation. At the Community level, the project represents 3.5 GW of electrolysis capacity, of which 0.65 GW corresponds to the Spanish projects contemplated in the Royal Decree.
RENEWABLE HYDROGEN, A COUNTRY BET
The Royal Decree approved today highlights that Spain’s participation in this IPCEI, specifically through projects declared as strategic by the European Commission, represents a unique opportunity to position the national industry in the competitive race for renewable hydrogen , where other countries in our environment are already investing heavily.
The financing of IPCEI projects is part of the Government’s commitment to renewable hydrogen as a key factor in eliminatingCO2 emissions from industry, heavy transport and other sectors that are difficult to decarbonise, and in line with the development of the PERTE for Renewable Energies, Hydrogen and Storage (ERHA).
In addition to the allocation of funds to the two IPCEI waves launched by Brussels, MITECO, through IDAE, has so far resolved seven calls for PRTR aid (in the H2 Pioneers and H2 Value Chain programs) for the creation of a technological and industrial ecosystem for green hydrogen. In total, more than 1,330 million have already been committed to more than fifty projects developed throughout Spain. The draft regulatory bases for the call for aid for the creation of new valleys or hydrogen clusters that will be launched soon have also been submitted to a public hearing and information.
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Spain – The Government allocates 794 million to seven renewable hydrogen industrial technologies and cluster projects of the IPCEI Hy2Use. source
