European Commission published its Fit for 55 package

Today, July 14, the European Commission adopted a package of proposals to make the EU's climate, energy, land use, transport and taxation policies fit for reducing net greenhouse gas emissions by at least 55% by 2030.

The use of hydrogen will play a key role in the European Green Deal. Hydrogen can be used as a fuel, an energy carrier or a feedstock, and could reduce emissions in hard-to-abate sectors, particularly in industry and transport.

Hydrogen 2030 targets:

  • 40GW of renewable hydrogen electrolysers in the EU;
  • 10 million tonnes of renewable hydrogen produced in the EU.

The revised Renewable Energy Directive promotes the use of renewable hydrogen:

  • Extending the EU-wide certification system for renewable fuels to include hydrogen;
  • Decarbonising industry and heavy-duty and long-distance transport, with concrete targets:
    • 2.6% for renewable fuels of non-biological origin;
    • 50% renewable share in hydrogen consumption.

The CO2 standards for cars and vans set technology neutral targets to reduce emissions by 2030 and by 2035. Hydrogen can be part of the solution, in particular for heavy-duty vehicles, if the industry chooses to invest in this technology.

The Alternative Fuel Infrastructure regulation will also support the deployment of alternative fuels infrastructure, including refuelling points for hydrogen. One refuelling station will be available every 150 km along the TEN-T core network and in every urban node.

The FuelEU Maritime proposal covers all renewable and low-carbon fuels in maritime transport, including decarbonised hydrogen and decarbonised hydrogen-derived fuels (including methanol and ammonia).

The EU ETS proposal will include the production of hydrogen with electrolysers under the EU emissions trading scheme, making renewable and low-carbon facilities eligible for free allowances.

The Energy Taxation Directive sets preferential tax rates for the use of renewable and low-carbon hydrogen for end-consumers.

The policy framework for hydrogen will be completed in December. The Commission will put forward proposals for hydrogen and the decarbonisation of gas markets, to set the regulatory approach for these sectors.

Hydrogen Factsheet