{"id":702161,"date":"2026-01-17T13:21:15","date_gmt":"2026-01-17T13:21:15","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/702161\/"},"modified":"2026-01-17T13:21:15","modified_gmt":"2026-01-17T13:21:15","slug":"brussels-endorses-e200-million-german-scheme-for-canadian-hydrogen-imports-to-eu","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/702161\/","title":{"rendered":"Brussels endorses \u20ac200 million German scheme for Canadian hydrogen imports to EU"},"content":{"rendered":"

The European Commission (EC) has cleared a \u20ac200 million German aid to boost Canadian-produced renewable hydrogen and its derivatives for the European market. This scheme will support the construction of up to 300 MW of electrolysis capacity.<\/strong><\/p>\n

\"EUEU flag; Credit: Adrijana Buljan, Editor-in-Chief at offshoreWIND.biz, Offshore-Energy.biz\u2019s sibling site<\/p>\n

The European Commission has approved the \u20ac200 million German scheme under the European Union (EU) State aid rules to support the production of renewable hydrogen and its derivatives in Canada, known as renewable fuels of non-biological origin (RFNBOs), which will be imported to Germany and sold in the EU.<\/p>\n

This budget will unlock an additional \u20ac200 million of funding provided by Canada. The scheme is perceived to contribute to the objectives of the\u00a0Clean Industrial Deal, the\u00a0EU Hydrogen Strategy, and the\u00a0REPowerEU Plan, aimed at\u00a0curbing the dependence on Russian fossil fuels and accelerating the clean energy transition.<\/p>\n

Teresa Ribera<\/strong>, Executive Vice-President for Clean, Just and Competitive Transition, commented: \u201cThis German scheme will help to meet growing demand for renewable fuels in the EU and support the development of renewable fuel production in our valued trade partner Canada.<\/p>\n

\u201cIt builds on the success of the EU-Canada Comprehensive and Economic Trade Agreement, the Strategic Partnership on Raw Materials, and the EU-Canada Industrial Policy Dialogue. The design of the scheme will enable only the most cost-effective projects to be supported, thereby reducing costs for taxpayers and minimising possible distortions of competition.\u201d<\/p>\n

The aid will be awarded through a competitive bidding process, planned to be concluded in 2027. Germany expects the scheme to enable up to 2.47 million tonnes of CO2 equivalent to be avoided, which will also assist the country in fulfilling its EU climate targets.<\/p>\n

The scheme is based on a\u00a0double auction system, which brings together RFNBO producers in Canada and RFNBO buyers in the EU. The companies offering to sell RFNBOs at the lowest price, and to buy RFNBOs at the highest price, will enter into a contractual relationship, with state resources helping to fill the funding gap between the two prices.<\/p>\n

This aid will help meet a growing demand for RFNBOs in Germany and support the EU\u2019s ambition for renewable hydrogen technologies to be deployed on a large scale from 2030 onwards by helping to meet the demand for renewable hydrogen and its derivatives.<\/p>\n

The latest approval follows two previous schemes approved by the European Commission in\u00a0December 2021<\/a>\u00a0and\u00a02024<\/a> to back investments in the production of renewable hydrogen in non-EU countries, which would be imported and sold in the EU.<\/p>\n

\t\t\t\t\"OE<\/p>\n

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