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The money is intended for companies for which the cost of hydrogen production, a relatively young technology, is too high. The PRA grant scheme is to help companies gain experience to increase the amount of hydrogen production. Seven projects approved on Monday will collectively provide 101 megawatts of capacity.

Why you need to know this:

Green hydrogen is considered an ideal replacement for fossil fuels such as coal, oil and gas.

The projects receiving grants are:

  • RWE Eemshydrogen (Eemshaven)
  • H2 Hollandia (Nieuw-Buinen)
  • Hysolar (Nieuwegein)
  • Groengas asset (Amsterdam)
  • Groengas asset (Groningen)
  • Van Kessel Olie (Oude Tonge)
  • VoltH2 (Delfzijl)

Eemshydrogen project

The RFO has awarded RWE a €124.9 million grant for its Eemshydrogen project. Eemshydrogen is a project to build a 50-megawatt electrolysis plant at RWE’s Eemshaven site to produce green hydrogen. RWE plans to operate the electrolyser with green electricity from its Westereems wind farm, which is just 5 kilometres from the Eemshaven plant site.

Green hydrogen in the Netherlands

The projects will supply hydrogen to sectors such as the chemical industry. The Netherlands wants to be climate-neutral by 2050, meeting European climate targets. Green hydrogen plays an important role in this, which is why the government has set targets for this in the Climate Agreement: an electrolysis capacity of 3-4 gigawatts (3000-4000 megawatts), with sufficient storage sites and infrastructure, by 2030. In late 2022, the government tightened this: the new target is 8 gigawatts (8000 megawatts) of electrolysis capacity by 2032.