Innovative Approach to Financing Clean Hydrogen Projects in Europe
Key Ideas
- European energy experts suggest creating an institution in Europe to purchase surplus hydrogen with transparent pricing to overcome challenges in financing clean hydrogen projects.
- Government support and long-term commitments are highlighted as crucial for the bankability of clean hydrogen projects.
- The European Commission has allocated nearly €1bn in public funding to 15 green hydrogen projects, with significant production expected over the next decade.
- The UK government has shortlisted 27 low-carbon hydrogen projects under the Second Hydrogen Allocation Round in April.
At the FT Hydrogen Summit 2025 in London, Christian Stuckmann, VP of Hydrogen at Uniper, proposed a novel approach to finance clean hydrogen projects in Europe. Stuckmann suggested the creation of an institution to purchase surplus hydrogen with transparent pricing, as traditional long-term offtake agreements are complex and unlikely to be signed. This idea was discussed by a panel of industry experts, emphasizing the importance of government support and long-term commitments for the bankability of clean hydrogen projects. The European Commission has recently allocated nearly €1bn in public funding to 15 green hydrogen projects, part of the EU's efforts to promote renewable energy sources. Additionally, the UK government has taken steps by shortlisting 27 low-carbon hydrogen projects under the Second Hydrogen Allocation Round. The discussions at the summit highlighted the need for innovative financing models and ongoing support to accelerate the adoption of clean hydrogen in Europe.
Topics
Europe
South America
Renewable Energy
Green Energy
Finance
Government Support
Public Funding
Long-term Commitment
Debt Finance
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