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EU approves €200m in German state aid for joint green hydrogen auction with Canada

2026-01-16
Source:hydrogeninsight

Abstract

The European Commission has given the green light for Germany to provide up to €200m ($173.5m) in state aid towards a joint H2Global tender with Canada.

Both countries plan to put up the equivalent of €200m each, to cover the gap between what renewable hydrogen costs and the price that potential H2 users in Europe are willing to pay.
The European Commission reveals that the auction is scheduled to be completed in 2027, and that the process will support the installation of up to 300MW of capacity.
Like previous H2Global auctions, only hydrogen and derivatives that meet the definition of a “renewable fuel of non-biological origin” (RFNBO) will be considered.

The German government had opened a consultation on its proposed bilateral tender with Canada in July 2025, which closed in September of that year.

The consultation suggested that the auction would be run slightly differently to other H2Global tenders, where rather than an intermediary buying H2 on long-term contracts and selling volumes on a short-term basis, companies would directly enter into offtake agreements with one another.

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