Federal Minister of Germany, Robert Habeck, alongside several state economics ministers, has distributed funding notices for 23 innovative and hydrogen projects. Another project is set to commence with early implementation measures.

These 23 projects are part of the third wave of the IPCEI Hydrogen initiative (Important Projects of Common European Interest), known as Hy2Infra, which received approval from the EU Commission under state aid regulations on February 15, 2024. This phase significantly enhances technology and end-user projects by focusing on the production of renewable hydrogen and the development of transportation and storage infrastructure. With 30% co-financing from the participating states, the federal and state governments are jointly investing 4.6 billion euros in these efforts.

Robert Habeck, Federal Minister for Economic Affairs and Climate Protection, emphasized the importance of this initiative: "The energy transition remains a major challenge for our nation, even amidst ongoing crises and conflicts. By supporting hydrogen projects, we are making a crucial step toward a climate-neutral and sustainable economy in Europe and beyond. We are paving the way for the construction of electrolyzers in the three-digit megawatt range, facilitating significant progress in domestic green hydrogen production. An efficient hydrogen infrastructure is vital for decarbonizing industry and the energy sector. Hydrogen pipelines will become the backbone of industrial hubs, setting the stage for climate-neutral growth."

The funded projects encompass the entire hydrogen value chain, including:

• The production of green hydrogen via electrolyzers with a combined capacity of up to 1.4 GW, powered by renewable energy.
• Innovative solutions for the safe and efficient storage of up to 370 GWh of hydrogen.
• Pipeline infrastructure extending up to 2000 km to ensure the transportation and availability of hydrogen.
• The use of liquid organic hydrogen carriers (LOHC) to transport approximately 1,800 tonnes of hydrogen annually.

A key focus is on the synergy between individual projects. Several initiatives are forming interstate clusters that integrate pipeline, storage, and generation infrastructure with connections to industrial users in energy-intensive sectors like steel and chemicals. Other projects aim to facilitate hydrogen imports to Germany via pipeline connections from neighboring countries such as the Netherlands. The IPCEI pipeline projects are crucial for developing the core hydrogen network, which will support the rapid and cost-effective expansion of Germany's hydrogen transport network by 2032.

Part of the 4.6 billion euro funding is backed by the German Recovery and Resilience Plan (DARP), financed through the European Union's NextGenerationEU Recovery and Resilience Facility. Additionally, companies are contributing another 3.3 billion euros, bringing the total investment to approximately 7.9 billion euros by 2030. The federal government’s commitment to a sustainable, climate-friendly energy supply restructuring is highlighted by the IPCEI-Hy2Infra-Wave. This funding is part of the updated National Hydrogen Strategy of 2023, and an import strategy for hydrogen and its derivatives is set to be adopted soon. This strategy will provide guidance on overarching goals, framework conditions, and the establishment of hydrogen partnerships and import routes.