Dentons – The Hydrogen Acceleration Act (WasserstoffBG) – New horizons for Germany as an H₂ location
Thanks to its high flexibility, efficiency and sustainability, hydrogen (H₂) has long been heralded as a possible game changer for the global energy transition, particularly when produced as “green hydrogen.”
From enabling decarbonized steel and cement production to powering heavy-duty transport and large-scale energy storage, H₂ is designated to play a decisive role in global energy needs wherever electrifying is economically inefficient.
In Germany, hydrogen is set to become a cornerstone of the national decarbonization strategy and a key pillar in meeting the European Union’s target of net-zero greenhouse gas emissions by 20501. In its 2025 coalition agreement, the new German government declared that the “rapid development of a hydrogen economy” would be a key objective2. The former government had already set out an ambitious National Hydrogen Strategy (NHS)3 in 2023, which envisioned a hydrogen startup grid with more than 1,800 km of pipelines by 2027/2028.
Despite these aspirational political targets and considerable technological advancements in recent years, high production costs and complex approval processes have led to rather low profitability where H₂ projects are concerned. This constrained market development, rendering the achievement of the targets increasingly challenging. But this should change with the proposed Wasserstoffbeschleunigungsgesetz, or Hydrogen Acceleration Act (in German only). Adopted by the Federal Government on 1 October 2025, the draft act (WasserstoffBG) was debated in the Bundestag plenary on 6 November 2025 and is expected to enter into force by the end of this year.
By simplifying approval procedures, accelerating planning, and declaring hydrogen projects to be of “overriding public interest,” the WasserstoffBG aims to position Germany as one of Europe’s leading hydrogen hubs. Its proposed changes open new avenues for businesses considering H₂ projects in Germany.
Key takeaways:
The WasserstoffBG makes some novel proposals, removing many of the earlier roadblocks to H₂ project development.
Germany has identified the construction of electrolyzers and of import/transport/storage infrastructure for hydrogen as crucial to foster a rapid ramp-up of the hydrogen market.4 To address these needs, Article 1 of the WasserstoffBG establishes a comprehensive legal framework to accelerate the development of hydrogen infrastructure (Sec. 1). Among its key measures are:
- H₂ projects are of overriding public interest: The draft explicitly states that approval of the construction as well as operation of electrolyzers, pipelines and other hydrogen facilities mentioned in Sec. 2(1) are in the “overriding public interest” (Sec. 4(1)).
Overriding public interest means that in approval procedures for projects such as pipelines, buildings, energy plants, roadworks or large installations, the advantages of hydrogen projects are given more weight and will typically prevail over objections brought forth against such projects (cf. Sec. 6(4), 7(4) and (6) WasserstoffBG). This concept is already known and well established in connection with renewable energy plants and extensions of the electricity transmission grid. In those areas, it has shown to be a real game changer by speeding up proceedings and helping authorities deal with potentially conflicting interests.
Sec. 4(1) of the WasserstoffBG therefore provides companies with greater planning certainty and will likely reduce the cost and time expenditure associated with justifying H₂ project approvals in the future.
- Accelerated procurement procedures: Sections 6 and 7 of the WasserstoffBG introduce faster procurement awarding and review processes, limiting delays which traditionally hindered infrastructure projects involving public contracting authorities:
- Sec. 6(2) and (3) allows the award of several partial or trade-specific lots together when economic, technical, or time-related constraints require it. This bundling of lots is aimed at streamlining procurement processes.
- Sec. 6(4) sets out that a contract awarded in connection with a hydrogen project will not automatically be void, even if specific procurement information and standstill obligations are breached. At the request of the contracting authority, alternative sanctions (a fine or the shortening of the term of the contract) may be imposed instead.
This represents a major deviation from national procurement laws and reflects Germany’s intention to prioritize the swift ramp-up of hydrogen infrastructure.
- Sec. 7(2) and (5) speeds up the review proceedings in two major ways:
- The competent public procurement tribunal or higher regional court (in case of an immediate appeal) may decide entirely without a hearing (i.e., based solely on the available documentation in writing), or it may conduct the hearing as a video/digital hearing.
- If the public procurement tribunal rejects the application to review the award, immediate appeals against this decision have no suspensive effect. Unsuccessful bidders are thus referred to secondary legal protection (damages).
Background: Review proceedings often lead to considerable delays in the award of public contracts, even when the contracting authority ultimately prevails in court. Sec. 7(5) aims to reduce these delays to ensure a swift market ramp-up of H₂ infrastructure.5
- Restrictions on appeals against planning approvals: Should the WasserstoffBG be adopted, the legal remedies available to third parties with regard to appealing planning approvals would also be restricted.
- Appeals against planning approvals regarding H₂ projects (including decisions on the early commencement of construction) would have no suspensive effect (Sec. 8(1)).
- Applications to restore this suspensive effect would have to be submitted and justified within one month of notification of the approval decision (Sec. 8(2)).
- Sec. 9 establishes the immediate jurisdiction of the higher administrative courts or even the Federal Administrative Court for the legal review of many types of H₂ projects, bypassing lower instances in the process. This shift to higher administrative courts ensures shorter and more efficient proceedings.
- Digitalization: As one of many examples, Sec. 5 mandates electronic submission of approval documents, digitizing environmental impact assessments (EIAs) and reducing bureaucratic burdens for both companies and authorities.
- Extensive scope: If enacted, WasserstoffBG will also apply to offshore electrolyzers (within the exclusive economic zone) in addition to onshore and coastal facilities. It also encompasses import terminals for hydrogen and its derivatives (ammonia, methanol, synthetic fuels), storage facilities and pipeline networks (Sec. 2).
- Exploration and synthetic fuels: Even though natural hydrogen extraction has not yet begun in Germany, exploration and extraction activities would be facilitated based on planned changes to the Federal Mining Act (BBergG). Likewise, plants which produce synthetic fuels stand to benefit from the accelerated procedures (Sec. 2(1) No. 10, Sec. 3 No. 5).
Amendments to key acts to speed up processes
Articles 2 through 8 of the WasserstoffBG set out complementary amendments to the Water Resources Act (WHG), the Federal Immission Control Act (BImSchG), the Administrative Court Procedures Act (VwGO), the Energy Industry Act (EWG), the Offshore Wind Energy Act (WindSeeG) and the Federal Highways Act (FStrG).
Among the most important changes here is a planned amendment of Sec. 70(1) WHG setting out a one-year deadline (with a one-time extension option of six months) for planning approvals of waterway developments related to the construction, operation and modernization of H₂ plants or pipelines.
Together with the limitations of third-party appeal rights described above, these shorter timeframes could significantly speed up planning processes.
Outlook and opportunities for businesses
Against the backdrop of the WasserstoffBG, the future for hydrogen infrastructure looks bright(er) than before—both from a legal and a business perspective:
- The WasserstoffBG creates opportunities for companies across the whole hydrogen value chain to move forward faster with hydrogen projects under planning and approval procedures.
- By 2030, around 15 hydrogen storage facilities and several compressor stations are expected to go into operation across Germany.6 An additional conversion of existing LNG terminals and natural gas distribution networks into hydrogen infrastructure, as discussed in the NHS7, could also greatly accelerate Germany’s energy transition.
- Beyond infrastructure, the promotion of hydrogen projects under the WasserstoffBG opens new avenues for strategic partnerships and joint ventures. Germany aims to become one of the lead providers of hydrogen technologies by 2030.8
- The NHS estimates a total hydrogen demand of 95-130 TWh for the year 2030.9 To meet this increased need, Germany aims at installing 10 GW of domestic electrolysis capacity by 2030,10 as well as 1,800 km of pipelines, complemented by 4,500 km of cross-European connections by 2027/2028, financed under the IPCEI hydrogen funding program, and to connect all key German production, import and storage facilities to the hydrogen grid (Hydrogen Core Network)11 by 2032.
- Germany has also developed an import strategy for hydrogen and its derivatives.12 Germany’s hydrogen demand by 2045 is expected to reach approximately 500 TWh, with an additional 200 TWh required for hydrogen derivatives. Domestic production will only cover a fraction of this demand. Several federal assistance programs have been set up to help companies with the ramp-up of import and distribution structures.13 Even more importantly, businesses can expect significant growth in the German H₂ import market.
Dentons supports clients throughout all phases of H₂ projects—from project structuring and permitting to financing and regulatory compliance.
As Germany opens this new chapter in the clean energy era, we stand ready to help you navigate the evolving legal landscape.
READ the latest news shaping the hydrogen market at Hydrogen Central
Dentons – The Hydrogen Acceleration Act (WasserstoffBG) – New horizons for Germany as an H₂ location, source