Approval of EUR 400 million  State aid scheme to support renewable hydrogen production in Spain

The Commission has authorised a EUR 400 million aid scheme aimed at promoting renewable hydrogen production in Spain. This support will be provided through the European Hydrogen Bank’s “Auctions-as-a-Service” mechanism, linked to the auction scheduled to close in 2025.

The approved aid scheme will support the development of up to 345 megawatts of electrolyser capacity and enable the production of around 221,000 tonnes of renewable hydrogen in Spain. This could help avoid up to one million tonnes of CO₂ emissions. The initiative contributes to Spain’s national goal of reaching 12 gigawatts of electrolyser capacity by 2030 and supports meeting EU targets for the use of renewable non-biological fuels (RFNBOs) in transport and industry, as outlined in the Renewable Energy Directive.

The aid will be awarded through a competitive bidding process that concluded in the first quarter of 2025 and the support available to companies planning to construct new electrolysers in Spain.

The Commission has approved the scheme under the 2022 Guidelines on State aid for climate, environmental protection and energy (‘CEEAG’), considering it necessary and appropriate to facilitate the production of renewable hydrogen and thus the decarbonisation of the industrial, transport and/or energy sectors.

For more information, see the Commission’s PR. For further information regarding the European Hydrogen Bank auctions see our PR.