Germany invests + 8 billion euros in 62 large-scale hydrogen projects; “We are making Germany a country of hydrogen”
The German Federal Ministry of the Economy (BMWi) and the Federal Ministry of Transport (BMVI) this week selected 62 large-scale hydrogen projects, which are to be funded by the state as part of a joint European project on hydrogen (Important project of common European interest, IPCEI).
We are making Germany a country of hydrogen. In doing so, we are rethinking mobility – European and holistic – from the energy system to drive technologies and refueling infrastructure. Traffic is currently over 95% dependent on the use of fossil fuels. We therefore urgently need mobility based on renewable energies. Green hydrogen and fuel cells are, in all modes of transportation, a great addition to pure battery vehicles.
The point is that we urgently need and want to promote the shift to climate-friendly mobility. In order to cover all areas of mobility with zero emission solutions, we need technological openness. This is why we also support fuel cell technology as well as vehicle and component manufacturers, so as not to miss the boat internationally. Today, we are taking a giant step towards climate-friendly mobility.
– Federal Minister of Transport Andreas Scheuer
We want to become the world number 1 in hydrogen technologies. To do this, we are pooling our strengths in Europe and initiating massive investments in future hydrogen technology with the first common European hydrogen project. This guarantees competitiveness and jobs – in Germany and in Europe. We provide more than 8 billion euros of federal and state funds to the 62 German projects selected today and cover, with the selected projects, the entire value chain – from hydrogen production and transport to applications industrial. We are taking a big step forward to make our economy climate neutral. The steel industry as well as the chemical industry is a central area in this regard.
—Federal Minister of the Economy Peter Altmaier
The 8 billion euros are made up of federal and state funds. About 4.4 billion euros come from the Federal Ministry of the Economy and up to 1.4 billion euros from the Federal Ministry of Transport. The remaining funds are made available by the federal states. Investments totaling 33 billion euros must be triggered, including more than 20 billion euros from private investors.
The 62 major hydrogen projects were selected from over 230 projects received and represent the entire hydrogen market value chain.
In the BMWi department, 50 main lines of projects have been selected. These include project sketches for power plants which together include more than 2 gigawatts of electrolysis capacity for the production of green hydrogen. This corresponds to 40% of the target set in the national hydrogen strategy of 5 gigawatts by 2030.
The hydrogen pipeline projects will advance a total length of approximately 1,700 km (1,056 miles). A particularly large amount of emissions can be saved in CO2-intensive steel industry. ArcelorMittal, Stahl Holding Saar, Salzgitter Stahl and Thyssenkrupp SteelAll have submitted investment projects.
A number of innovative projects in the chemical industry use CO2-free production of hydrogen for the production of ammonia or synthetic fuels for freight or air traffic.
The Federal Ministry of Transport funds 12 projects in the mobility sector. These relate to the development and manufacture of fuel cell systems and vehicles – from cars and trucks to municipal vehicles.
In addition, for example, the development of a networked hydrogen refueling infrastructure on a national and cross-border scale is encouraged. The aerospace and maritime sector is also discussed.
German projects are funded under a European project (IPCEI Hydrogen) with up to 22 European partner countries. The different national projects must be networked with each other so that all countries benefit from each other and that a European hydrogen economy can be built together.
Federal Minister of Economy Altmaier launched this initiative in December 2020 during the German Presidency of the Council of the EU. The aim is for the projects to be approved by the European Commission under state aid law this year. BMWi and BMVI are working closely and in complete confidence with the European Commission for this purpose.