E.ON: weak hydrogen development in Germany

(CercleFinance.com) - E.
ON announces that hydrogen development in Germany remains weak despite public subsidies.

Indeed, only funding decisions by the IPCEI fund (for Important Projects of Common European Interest) are stimulating production capacity and investment decisions.

The proportion of projects under construction or the subject of an investment decision has risen from around 3% to around 9% of projected production capacity by 2030. This figure has risen from 10.1 gigawatts in February 2024 to 11.3 gigawatts.

Current electrolysis capacity stands at 111 MW (+68% since February 2024), but large-scale projects are expected to increase this capacity.

An EWI study estimates that Germany could import up to 2,700 TWh of hydrogen per year via pipelines and shipping by 2032.

However, rigid rules and a complex definition of green hydrogen are holding back competitiveness.

Finally, hydrogen-powered cars are losing out to electric vehicles, but heavy transport is seeing a rise in hydrogen-powered trucks.

Copyright (c) 2024 CercleFinance.com. All rights reserved.