During the State of the Union, European Commission President Ursula von der Leyen announced the creation of a European Hydrogen Bank (EHB), to be delivered by Q3 2023, with an investment of €3 billion coming from the Innovation Fund to cover the domestic pillar.
On 16 March the Commission released a Communication on the EHB, alongside the Net-Zero Industry Act (NZIA). The aim is to boost renewable hydrogen production in the EU. The EHB will also have an international dimension to facilitate renewable hydrogen imports to the EU.
The model that the Commission is opting for will follow green premiums on the supply side, at least for the domestic side. On 3 April DG CLIMA launched a stakeholder consultation on the terms and conditions for the forthcoming rounds of auctions. The first bidding round will take place in Autumn 2023, with a budget of €800 million, under the Innovation Fund, and operationalised through CINEA.
EPICO KlimaInnovation, Guidehouse and the Konrad-Adenauer-Stiftung e.V. published “Design Options for a European Hydrogen Bank”, a policy report detailing various options to create an EU-wide market to kick-start the hydrogen production and imports to the EU. The report touches on three broad instruments that could be used for a European Hydrogen Bank, i.e.,
- double-sided actions for demand and supply contracts,
- supply- or demand-side auctions determining market premiums, and
- default guarantees.
On Monday 3 April, EPICO KlimaInnovation hosted an online workshop with Guidehouse and the Konrad Adenauer Stiftung. The first leg of the session went through the report findings, presenting the reasonings and the logic behind each design option. The second leg of the session opened a discussion amongst panellists on design models for the European Hydrogen Bank, outlining synergies with the European Commission’s Communication on the European Hydrogen Bank.
- Moderator: Klaus-Dieter Borchardt, Associated Senior Advisor, EPICO KlimaInnovation
- Welcoming Remarks: Kevin Oswald, Policy Advisor Energy and Resources, Konrad-Adenauer-Stiftung
- Presentation of the report: Bastian Lotz, Senior Consultant, Guidehouse
- Bernd Weber, CEO, EPICO KlimaInnovation
- Ruud Kempener, Member of Cabinet, Commissioner for Energy Kadri Simson
- Corinna Klessmann, Director, Guidehouse
- Marco Alverà, CEO, TES