Germany's commitment to green hydrogen receives a significant boost as the Federal Ministry for Economic Affairs and Climate Action (BMWK) earmarks €3.53 billion for the H2Global Foundation's hydrogen importing program. This allocation is poised to fuel future auctions for renewable hydrogen and its derivatives.
H2Global, a subsidiary of BMWK, has announced the receipt of a grant notification for the aforementioned amount, further solidifying its role in the procurement and distribution of green power-to-X (PtX) products. Acting as an intermediary, H2Global's subsidiary, HINT.CO, will oversee competitive bidding processes for the purchase and sale of clean hydrogen-based products and other low-carbon commodities.
The grant is specifically designated for the upcoming round of double-sided tenders, continuing the successful model established by the H2Global mechanism. When combined with previous funding, including €900 million from the initial window and resources allocated to the joint Germany-Netherlands initiative, the total public capital invested in the H2Global approach now stands at €4.73 billion.
Expressing satisfaction with the progress, H2Global emphasized the trust placed in its mechanism's effectiveness and efficiency. Anticipation is high for the imminent completion of the first round of tenders, with plans in motion to expand efforts towards establishing a robust global market for hydrogen.
Originally established in 2021, H2Global's funding concept aims to procure green hydrogen or derivatives abroad, facilitating long-term contracts for resale in Germany through annual auctions. In 2023, it became associated with the European Hydrogen Bank, aligning with the European Commission's initiative to bolster renewable hydrogen production and imports, thereby contributing to the global hydrogen ramp-up.
Furthermore, efforts are underway to broaden H2Global's reach by extending participation to all interested Member States. This initiative will also entail collaborative development of a European auction targeting international hydrogen imports, further advancing the transition towards sustainable energy solutions on a global scale.
