NorthwestEuropean

HydrogenMonitor2025

INTERNATIONALENERGYAGENCY

TheIEAexaminesthefullspectrumofenergy

issuesincludingoil,gasandcoalsupplyand

demand,renewableenergytechnologies,

electricitymarkets,energyefficiency,accesstoenergy,demandsidemanagementandmuch

more.Throughitswork,theIEAadvocates

policiesthatwillenhancethereliability,

affordabilityandsustainabilityofenergyinits32Membercountries,13Associationcountriesandbeyond.

Thispublicationandanymapincludedhereinarewithoutprejudicetothestatusoforsovereigntyoveranyterritory,tothedelimitationof

internationalfrontiersandboundariesandtothenameofanyterritory,cityorarea.

Source:IEA.

InternationalEnergyAgencyWebsite:

IEAMembercountries:

Australia

Austria

Belgium

Canada

CzechRepublic

DenmarkEstonia

Finland

France

GermanyGreece

HungaryIrelandItaly

Japan

Korea

Latvia

Lithuania

LuxembourgMexico

Netherlands

NewZealand

Norway

Poland

Portugal

SlovakRepublic

Spain

Sweden

Switzerland

RepublicofTürkiyeUnitedKingdom

UnitedStates

TheEuropeanCommissionalsoparticipatesintheworkoftheIEA

IEAAssociationcountries:

Argentina

Brazil

China

Egypt

India

Indonesia

Kenya

Morocco

Senegal

Singapore

SouthAfricaThailand

Ukraine

BriefingnoteonrecentLNGmarketandcontractingtrends

Introduction

ThisisthethirdeditionoftheNorthwestEuropeanHydrogenMonitor.Itprovidesanannualupdateoflow-emissionshydrogenmarketdevelopmentsinNorthwestEuropeandistheresultofcollaborationamongthecountriesinvolvedintheHydrogenInitiativeoftheCleanEnergyMinisterial(CEM-H2I)workstreamentitled“RoundtableontheNorth-WestEuropeanRegion”andthehydrogenworkinggroupofthePentalateralForum.

ThecountriesanalysedinthisMonitorareAustria,Belgium,Denmark,France,Germany,Luxemburg,theNetherlands,Norway,SwitzerlandandtheUnitedKingdom.Marketmonitoringisaccompaniedbyregulardialogueswithkeystakeholderstofacilitatetheexchangeofinformationanddatacollection.

Abstract

NorthwestEuropeisattheforefrontoflow-emissionshydrogen

1

development.Thisregionaccountsforaround40%ofEurope’stotalhydrogendemand,andithasvastanduntappedrenewableenergyandcarbonstoragepotentialintheNorthSea.Italsohasawell-developed,interconnectedgasnetworkthatcouldbepartiallyrepurposedtofacilitatethetransmissionanddistributionoflow-emissionshydrogenfromproductionsitestodemandcentres.

Thedevelopmentofthelow-emissionshydrogenmarketinNorthwestEuropecouldgraduallyscaleupintheshort-tomedium-term.NorthwestEuropeancountriesnowhaveambitiontodevelopupto30to35gigawatts(GW)ofelectrolysercapacityby2030.However,mostlow-emissionshydrogenprojectsarecurrentlyintheearlystagesofdevelopment.Theirsuccesswilldependlargelyonsupportivepoliciesandregulatoryframeworks.Thecost-efficientdevelopmentoflow-emissionshydrogenmarketsalsonecessitatesaregionalapproachthatmaximisesexistingsynergiesamongnationalmarkets.

ThisdoesnotnecessarilyreflecttheofficialdefinitionsofthecountriesinvolvedintheMonitoronthecarbonintensityorsustainabilityofhydrogenproductionmethods.

1Whentheterm“l(fā)ow-emissionshydrogen”isused,theInternationalEnergyAgencyrefersto

hydrogenproducedviaelectrolysiswheretheelectricityisgeneratedfromalow-emissionsource(renewablesornuclear),biomassorfossilfuelswithcarboncaptureusageandstorage(CCUS).

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NorthwestEuropeanHydrogenMonitor2025

Tableofcontents

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Tableofcontents

Executivesummary 5

Hydrogenandregulation 10policies

Subsidyschemesandmechanisms 19support

Hydrogendemand 29

Hydrogen 38supply

Productioncostsand 58pricediscovery

Hydrogentrade 64

Infrastructure 73

Annex 93

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Executivesummary

Low-emissionshydrogencanplayasignificantroleindecarbonisingenergysystemsandiscriticaltomanycountries’effortstomeettheirenergyandclimatetargets.Itcanalsoreducerelianceonfossilfuelimportsoverthelonger-term,bolsteringenergysecurity.

NorthwestEuropeisattheforefrontoflow-emissionshydrogendevelopment.Theregionaccountsforaround40%ofEurope’stotalhydrogendemand.IthasvastanduntappedrenewableenergypotentialintheNorthSea,aswellassubstantialcarbonstoragecapabilities.Theregionhasawell-developed,interconnectedgasnetworkandundergroundstoragesitesthatcouldbepartiallyrepurposedtofacilitatethetransmission,distributionandstorageoflow-emissionshydrogen.Despitetheregion’ssignificantpotential,thedevelopmentoflow-emissionshydrogenhasfacedchallenges.Theseincludelimitedprogressondemandcreation,relativelyhighproductioncosts,complexlogisticsandremainingtechnologicalhurdles.

Low-emissionshydrogenisdefinedhereashydrogenproducedviaelectrolysiswheretheelectricityisgeneratedfromalow-emissionssource(renewablesornuclear),biomass,orfossilfuelswithcarboncapture,utilisationandstorage(CCUS).AdetailedoverviewoftheterminologyisprovidedinAnnexI.

Theregulatoryandpolicyframeworkforlow-emissionshydrogenhascontinuedtoevolve

Settinghydrogenstrategies,includingtheestablishmentofmedium-andlong-termtargets,isconsideredessentialtoprovidethenecessaryimpetusandguidanceforthedevelopmentofhydrogenmarkets.

Todate,themajorityofthecountriesinNorthwestEuropehaveadoptedproductiontargetsforelectrolytichydrogen,whileNorwayhasoptedforatechnology-neutralapproach.InApril2025,Francepublisheda

revisedNationalHydrogenStrategy

.Whilerecognisingprogressmadeinthehydrogensector,theStrategyloweredtheinstalledelectrolysercapacitytargetfor2030to4.5GW(from6.5GWpreviously)andaddeda2035targetof8GW.InJuly2024,Germanyadoptedits

hydrogenimportstrategy

,followingtheupdateofthecountry’sNationalHydrogenStrategyin2023.InDecember2024,Switzerlandreleaseditslong-awaited

NationalHydrogen

Strategy

,highlightingtheimportanceofdevelopingitshydrogenmarketsothatitiscloselyintegratedwithneighbouringmarkets.

Altogether,NorthwestEuropeancountrieshaveambitiontodevelopasmuchas30to35GWofelectrolysercapacityby2030.However,recentmarketdevelopments,inflationandcostincreasescoulddrivecountriestofurtheradjusttheirtargetsand/ordelaytheimplementationoflow-emissionshydrogenprojects.

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Greaterpolicyattentionisrequiredondemandcreation

HydrogendemandinNorthwestEuropeancurrentlystandsataround3milliontonnes(Mt)peryear,makingup3%oftotalglobaldemand.UnabatednaturalgasistheprimarysourceofhydrogensupplyinNorthwestEurope,withdemandlargelyconcentratedintherefiningandchemicalssubsectors.

Creatingdemandforlow-emissionshydrogen,includingviaquotas,fuelstandardsandpublicprocurementrules,isakeyinstrumenttostimulateinvestmentinsupply.Meanwhile,demandsecurityisessentialfortheconclusionoflong-termofftakeagreements,whichinturncanhelptode-riskinvestmentandimprovetheeconomicfeasibilityoflow-emissionshydrogenprojects.

IntheEuropeanUnion,

therevisedRenewableEnergyDirective

(REDIII)cameintoforceinNovember2023,withadeadlineformemberstatestotransposeitsstipulationsintonationallawbyMay

2025.REDIIIestablishesbindingtargetsfortheshareofrenewablehydrogeninindustryandtransport.Thoughthetranspositionprocessismovingahead,itisunderstoodthatitsimplementationislaggingbehindinseveralmemberstates.

Inaddition,NorthwestEuropeancountriesarepromotinghydrogen-derivedfuelsforuseinthemaritimesector,primarilydrivenbynewinternationalregulations.Thisyear’sMonitorprovidesaspecialfocusonthepotentialuseofhydrogen-derivativesasamarinefuel.

Regionallow-emissionshydrogenproductioncouldreachalmost8Mtby2030,thoughlessthan8%ofprojectsareinadvancedstagesofdevelopment

BasedonthelatestIEAanalysis,NorthwestEurope’sproductionoflow-emissionshydrogen(andderivatives)couldreachcloseto8Mtperyearby2030ifallplannedprojectsbecomecommerciallyoperational(takingintoaccountassumptionsonefficiencyandutilisationfactors).Thiscouldcoverapproximately2%oftheregion’stotalprimaryenergydemand.

Basedontheprojectpipeline,electrolytichydrogensupplywouldaccountforalmost60%oftotallow-emissionshydrogenproduction,whilefossilfuel-basedhydrogenprojectsequippedwithCCUSwouldaccountforaround40%.Basedonannouncedprojects,Denmark,Germany,theNetherlandsandtheUnitedKingdomareexpectedtoaccountforthree-quartersofNorthwestEurope’slow-emissionshydrogenproductionby2030.

AccordingtotheHydrogenProductionProjectsDatabase,lessthan8%oftheprojectsthatcouldprovidelow-emissionshydrogensupplyby2030havebeencommitted,meaningtheyareinoperation,havereachedafinalinvestmentdecision(FID)orareunderconstruction.Morethan90%arecurrentlyundergoingfeasibilitystudiesorareintheconceptphase.

Thisyear’sMonitorprovidesaspecialfocusongas-basedlow-emissionshydrogen.SeveralmajorCCUSinfrastructureprojectsinNorthwestEuropereachedFIDin2023and2024thatcouldsupport

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itsdevelopment.TheseincludethePorthosCO2transportandstorageprojectintheNetherlandsandtheNorthernLightsCO2transportandstoragefacilityinNorway.Additionally,inApril2025,afinancialclosewasreachedfortheLiverpoolBayCCSprojectintheUnitedKingdom.

NorthwestEuropeisatthecoreoftheEuropeanelectrolyserindustry,butcompaniesfacegrowingchallenges

Anotherfocusofthisyear’sMonitoristhedevelopmentofelectrolyserproductioncapacities.NorthwestEuropeishometo85%ofelectrolysermanufacturingcapacityinEurope,withFrance,GermanyandNorwayaccountingforthemajorityoftheregion’selectrolyserplants.

ExpandingelectrolyserproductioncapacitycouldsupportNorthwestEurope’sambitiontoscaleuprenewablehydrogenproductionoverthemedium-termwhilestrengtheningtheregion’stechnologicalleadershipalongtheemerginglow-emissionshydrogenvaluechain.TotalproductioncapacityinEuropecouldincreaseeight-foldfrom2023levelsifallannouncedprojectsareimplemented,reachingmorethan36GWperyearby2030.NorthwestEuropecouldaccountforaround70%ofthiscapacity.

Whileseveralcompaniesaimtoexpandtheirproductioncapabilities,lackofelectrolyserdemandduetoprojectdelaysandlower-than-expectedordershaverecentlyledsomemanufacturerstorationaliseproductionrates,revisedownwardexpansionplansand,insomecases,fileforin-courtrestructuring.Thisyear’s

MonitorexploresthedevelopmentofelectrolyserproductioncapacitiesinNorthwestEurope.

Steepcostreductionsareneededtomakerenewableelectrolytichydrogencompetitivewithunabatedgas-basedhydrogen

Initialpricediscoverysuggeststhatrenewablehydrogenpricesin2024werealmosttwo-and-a-halftimestheassessedlevelisedcostofhydrogen(LCOH)fromunabatednaturalgas.Thishighlightstheneedtoimprovethecost-competitivenessoflow-emissionshydrogen.Basedontoday’spolicysettings,acarbonpriceofUSD140pertonneofCO2-equivalentcouldensurethatthelevelisedcostofgas-basedlow-emissionshydrogencouldbecomparablewiththehydrogenfromunabatedgasintheregionbytheendofthedecade.

Ensuringtheeffectivenessofhydrogensupportmechanismsrequiresaholisticandcross-regionalapproach

Therelativelylowshareofcommittedprojectsunderscorestheneedforacomprehensiveapproachtosupportthenascentlow-emissionshydrogensector.Scalingitupwillrequireaneffectiveframeworkofsupportmechanismsalongtheentirevaluechain–includingresearchanddevelopment,production,transportationand,inparticular,demandcreation.

TheMonitorprovidesadetailedoverviewofthevarioussubsidyschemesandsupportmechanismsavailablebothattheEuropeanUnionlevelandnationallyinNorthwestEuropeancountries.

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NorthwestEuropecouldplayakeyroleindevelopinginternationaltradeinlow-emissionshydrogen

Basedontheannouncedprojectsthataimtotradehydrogenorhydrogen-basedfuelsanditsderivatives,8milliontonnesofhydrogenequivalent(MtH2-eq)couldbemovedaroundtheglobeby

2030.Almosthalfoftheexport-orientedprojectsby2030havedefinedadestination.NorthwestEuropeancountriesaccountforcloseto60%ofglobalimportvolumeby2030forwhichafinaldestinationhasbeenidentified.

Instrumentslikeauctions(suchasGermany’sH2Globalauction-basedmechanism)canbeusedtocreatecompetitionforcontractsandhelpclosethegapbetweenproductioncostsandthepricesconsumersarewillingtopay.InDecember2024,

theEuropean

CommissionapprovedthesecondroundofH2Globalauctions

withabudgetofuptoEUR3billion.Inaddition,theEuropeanCommissionisplanningtolauncha

hydrogenpilotmechanism

bySeptember

2025.ThenewmechanismwillaimtoconnectinternationalhydrogenproducerswithofftakersinEurope.

NorthwestEurope’shydrogennetworkcouldreachnearly13000kmbytheearly2030s,thoughfirminvestmentsarelacking

Achievingambitioustargetsforlow-emissionshydrogendeploymentwillrequireacceleratingthedevelopmentofhydrogeninfrastructurefortransportandstorage.Basedonthepipelineofprojectannouncements,thelengthoftheregion’shydrogennetworkcould

reachalmost13000kilometres(km)bytheearly2030s.However,only6%ofprojectsannounced(measuredbylength)havereachedFID.

Almosthalfofhydrogenpipelinesthatcouldbeoperationalby2030couldberepurposednaturalgaspipelines.Repurposingexistingnaturalgaspipelinestoservehydrogencanresultinsubstantialcostsavingsandshorterleadtimescomparedwithnew-buildhydrogennetworks.

Undergroundstoragewillbekeytoenhancingtheflexibilityoftheregion’sfuturelow-emissionshydrogennetwork

Developingundergroundstoragecapacityforhydrogenwillbecrucialforittoreachitsfullpotentialasanenergycarrierandrespondtotheevolvingflexibilityrequirementsofamorecomplexenergysystem.AccordingtoIEAanalysisofhydrogeninfrastructureprojects,NorthwestEuropecoulddevelopalmost16terawatt-hours(TWh)ofhydrogenstoragecapacityby2030.However,just3%ofthepotentialcapacityby2030hasreachedFIDand/orisunderconstruction.Consideringtherelativelylongleadtimesfornew-buildhydrogenpipelinesandhydrogenstorageprojects,immediateactionbyallstakeholdersisrequiredtomeetthetargetssetfor2030.

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Morethan90%oflow-emissionshydrogenprojectsinNorthwestEuroperemaininearlyphasesofdevelopment

Potentiallow-emissionshydrogenproductioninNorthwestEuropebystatus,2023vs2030

2023

2030

0

500

1000

1500

20002500

GWh

Operational

FID/underconstruction

Feasibilitystudy

Conceptstage

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Hydrogenpoliciesandregulation

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Hydrogenpoliciesandregulation

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EUpolicyadvancescontinuetobuildclarityaroundafuturehydrogenmarket

In2024,theEuropeanUnion(EU)hydrogenpolicyandregulatoryevolutionfocusedonprovidinggreaterclarityandstructuretothefledglingsector,notablythroughthreekeymeasures.Longintheworks,thefourthgaspackageoffersaregulatoryframeworkforfuturemarketdevelopment,basedonthefundamentalprinciplesunderpinningthecontinentslong-standingintegratednaturalgasmarketandcross-bordertrade.

Facedwithanenergyaffordabilityandeconomiccompetitivenesscrisis,theEuropeanUnionrespondedwiththeCleanIndustrialDeal,highlightingitspoliticalandlegalwilltotackleenergyandeconomicchallengessimultaneously.

Finally,theEuropeanUnionaimstoimprovetransparencyaroundhydrogendemandandsupply,developingavirtualplatformthatcanactnotonlyasamarketplace,butalsoasatoolforhydrogenpricediscovery.

TheEuropeanUnioncontinuestomakeprogressinconstructingahydrogenmarket

TheEuropeanUnionadoptedits

hydrogenandgasdecarbonisation

package

commonlyreferredtoasthefourthgaspackageinMay2024,updatingEUgasmarketruleswhilealsointroducinga

regulatoryframeworkforhydrogeninfrastructure.EUmemberstatesareexpectedtotransposethenewrulesintonationallawbymid-2026.

ThepackageappliessomeofthefundamentalEUnaturalgasmarketregulationprinciplestothenascenthydrogenmarket,ensuringtheunbundlingofnetworkoperationactivitiesfromproductionandsupply.ItalsomakesstridesinEU-widehydrogeninfrastructureplanning,settingthegroundworkforcreationofaEuropeanNetworkofNetworkOperatorsforHydrogen(ENNOH)toco-ordinatetheplanning,developmentandoperationofEUhydrogeninfrastructure.Finally,itsetsoutguidelinesforconvertingexistingnaturalgasinfrastructureforhydrogenuse.

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Asthepackageseekstofacilitatetheintegrationofhydrogenandotherrenewableandlow-carbongasesintotheenergymix,itrecognisesthedifferentleadtimesrequiredtoscaleupeachtechnology.Thus,low-carbonfuelscouldplayagreaterroleintheshorttermbecausescalinguprenewablehydrogenproductionanddemandtakeslonger.Discountednetworktariffsforlow-carbongasesisoneofthetoolsthatcouldbeusedtosupporttheuptakeofthesealternativegases,asisahydrogenblendingallowancethatwouldallowupto2%byvolumetobeintegratedintothegasgrid(althoughdirectapplicationsforhydrogentakepriorityoverblending).

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InFebruary2025,theEuropeanCommissionpublishedthe

Clean

IndustrialDeal

toaddressthedualchallengesofeconomiccompetitivenessanddecarbonisation.TohelptheEuropeanUnionshiftitsheavyindustrytomoreclimate-friendlyfuelsandtosupporttheclean-techsector,theDealisexpectedtoboostdemandforrenewableandlow-carbonfuelssuchashydrogen.Targetinghydrogenspecifically,theEuropeanUnionisexpectedtofinaliseitsdelegatedactonlow-carbonhydrogenin2025,providingacleardefinitionforwhatconstitutes“l(fā)ow-carbon”hydrogen.

Furthermore,theEuropeanCommissionplanstolaunchahydrogenpilotmechanismbySeptember2025toconnectinternationalhydrogenproducerswithEuropeanofftakers.Toaddresscurrentsupplyanddemanduncertainty,theplatformisintendedtomakeinterestfrombothsidesofthemarketmorevisible,enhancingtransparencyandallowingforadegreeofpricediscovery.

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Designedtooperatethroughmultipleprocurementroundsperyear,themechanismwillgatherexpressionsofdemand-sideinterestfromEuropean(notjustEU)buyersandthenallowproducers(Europeanandinternational)torespondwithsupplyoffers.Thisincreasedvisibilitywithinanorganisedmarketplaceisexpectedtosupportthedevelopmentofotherhydrogenmarketelements,notablyinfrastructure.DevelopingmarketstructuresfortradeisakeystepinestablishingtheinternationalsupplychainsneededtosupportEUambitionstoimportlargequantitiesoflow-emissionshydrogen.

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Europeancountriesremaincommittedtobuildingregulatoryframeworkforaburgeoninghydrogensector

KeyhydrogenpolicyandregulatoryevolutionsintheEuropeanUnionandNorthwestEuropeanmarket,2024-2025

FromMarch2025

Discussionson

updatedAustria

RenewableGas

Act

December2024

UKHydrogen

strategyupdateto

themarket

July2024

Luxembourg

Integrated

NationalEnergy

andClimatePlan

April2024

Denmark:newhydrogenagreement

April2025

Frenchrevised

NationalHydrogen

Strategy

July2024

Germanhydrogenimportstrategy

February2025

EUClean

IndustrialDeal

December2024

SwissNational

HydrogenStrategy

May2024

EUhydrogenand

gas

decarbonisation

package

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MostNorthwestEuropeancountriescontinuetodevelophydrogen-relatedregulatoryandpolicystructures

Austriaislookingtobolstertheregulatoryframeworkaroundthehydrogenmarketandinfrastructure

AustriaisintheprocessofupdatingandreissuingitsGasandHydrogenMarketAct(GWG),aimingtobolstertheregulatoryframeworkaroundafuturehydrogenmarketandinfrastructure.Simultaneously,thegovernmentisworkingonthetranspositionofREDIIIrequirementsthroughitsproposedRenewableExpansionAccelerationAct.

ThenewgovernmentthattookofficeinMarch2025hasalsoannouncedtheformulationofanewhydrogenimportstrategy,integratingaparticularfocusonde-riskingprojectsalongstrategicsupplycorridors.

Belgiumreiteratesitsambitionstobeahydrogenhubfortheregion

InApril2024,theBelgiangovernmentannouncedtheappointmentofFluxysasthecountry’shydrogennetworkoperator(HNO),inlinewiththeprocedureestablishedinits2023HydrogenAct.Followingthisappointment,andinlightofthepossibleroleofrepurposednaturalgaspipelinesinbuildingahydrogentransmissionnetwork,inJuly

2024theBelgianenergyregulator(CREG)publishedanassetvaluation

methodology

todeterminethenetwork’sregulatedassetbase.

InFebruary2025,thenewBelgiangovernmentreiteratedthecountry’sambitiontoactasahydrogenhub,connectingwithneighbouringmarketsbypipeline,whilewideningthescopeofitshydrogenpolicytowardslow-carbonhydrogeninallitsforms.

Denmarkshowspoliticalwillforhydrogenconnectionswithneighbours

InthewakeofDenmark’sPower-to-XStrategy(2022)andafirstpoliticalagreementonhydrogeninfrastructureownershipandoperation(May2023),anallianceofthecountry’spoliticalparties(bothgovernmentandopposition)presentedanew

hydrogen

agreement

inApril2024.ThedocumentreiteratessupportforDenmark’shydrogenleadershipinEuropeandclarifiesthestate’sroleinsupportinghydrogentransportandexportinfrastructure.

Furthermore,itrecognisestheneedforaclearhydrogenmarketregulatoryframework,particularlyfortransportinfrastructure.Becausehydrogeninfrastructurecompaniesareexpectedtobe

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naturalmonopolies,theywillbesubjecttotherevenuecapregulationsbeingdeveloped.TheagreementalsohighlightsanumberofregulatoryprinciplestobeappliedintheDanishmarketinlinewithEUlegislation,notablythird-partyaccesstoinfrastructureandinfrastructuretariffsforallusers(althoughitalsoindicatestheneedforflexibilityaroundthesetariffs).

Additionally,tosupportthenascenthydrogenmarket,theagreementsetsouttheconditionsbywhichthestatewilltakeonriskandinvestcapitaltodevelophydrogeninfrastructure.TheriskinvolvedinbuildinghydrogeninfrastructureparticularlytheJutlandhydrogenbackboneconnectedtoGermanyssystemistobebornebythestate,thenetworkoperator,marketplayersandGermancounterparties.However,progressonstateparticipationinbearingriskwillrequire(amongotherspecificities)contractualcapacitycommitmentsbymarketplayersandcross-borderagreementsbetweennetworkoperators.

InJanuary2025,theDanishgovernmentannouncedits

commitment

toprovidebothsubsidiesandloans

todevelopthehydrogenbackbone.

Finally,whiletheagreementdoesnotholdregulatoryorpolicyweight,itrecognisescleartiesbetweenhydrogendevelopmentandrealisationofthecountrysoffshorewindpotential.

FrancesnewNationalHydrogenStrategyrecognisesslowerprogressthanexpected,butdoublesdownonhydrogensectorimportance

Fiveyearsafterreleasinganinitialplan,inApril2025theFrenchgovernmentpublishedits

revisedNationalHydrogenStrategy

.Theupdatedstrategyhighlightshowhydrogensectordevelopmentwouldhelpdecarbonisetheenergysector,supporteconomicandindustrialresilience,andenhancethecountrysenergyindependence.

Whilerecognisingprogressmadeintheburgeoninghydrogensector,thenewdocumentalsoacknowledgesslowerprogressindeployinghydrogentechnologiesandindevelopingamarket.Assuch,thestrategyemphasisestheimportanceof:1)supportingtheentirehydrogenvaluechain,includingformanufacturingandexportingelectrolysertechnologies;2)promotinggrid-basedelectrolysistoproducelow-carbonhydrogen;3)refocusingthedecarbonisationpotentialofhydrogentowardsindustryandcertaintypesofheavytransport;and4)relyingentirelyondomestichydrogenproductionthrough2035.

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