TheEuropean Commissionhas approved a Spanish state aid scheme worth440 million eurosaimed at promoting the production of renewable hydrogen. The measure is part of the tool of"auctions as a service"of theEuropean Hydrogen Bankcorresponding to the auction that closed in February 2026. The program aims to contribute to the objectives of thePact for a Clean Industry, aimed at accelerating the decarbonization of the European industry while enhancing its competitiveness.
According to estimates from the Spanish Government, the scheme will allowto build up to 382 MW of electrolysis capacityand incentivize the production ofup to 243,800 tons of renewable hydrogen. This will mean avoiding the emission ofapproximately 1.79 million tons of CO₂.
The initiative will also contribute to help Spain meet its national objective ofinstalling 12 GW of electrolyzer capacity by 2030, in addition to facilitating compliance with the targets for the use of non-biological renewable fuels in transport and industry established in theRenewable Energy Directive.
The aids will be granted in the form ofdirect subsidies per kilogram of renewable hydrogen produced. Spain will be able to grant them in the next twelve months and, once granted, beneficiaries will be able to receive payments over a maximum period often years.
The Commission assessed the scheme according toarticle 107.3.c of theTreaty on the Functioning of the European Unionand to theGuidelines on state aid in the field of climate, environmental protection and energy of 2022. After the analysis, Brussels concluded that the program is necessary and appropriate to promote the production of renewable hydrogen and that it has an incentivizing effect, with a limited impact on competition and trade within the community market.
In addition, the Community executive considers thatthe environmental benefits of the scheme compensate for any possible distortion of competition, which is why it has given the green light to its application. The non-confidential version of the decision will be published in the State Aid Register of the Commission's Competition portal, once confidentiality issues are resolved.
