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European Commission, European electrolyser industry agree to manufacturing framework conditions

Electrolyser industry
May 10, 2022

by nfdeklerk 0 comment

European Commission, European electrolyser industry agree to manufacturing framework conditions

The European Commission and the European electrolyser industry have signed a joint declaration containing a range of initiatives to improve framework conditions for electrolyser manufacturers in Europe.

In March, the European Commission announced its increased ambitions to double the previous European Union (EU) renewable hydrogen target to ten-million tonnes of yearly domestic production, plus an additional ten-million tonnes of yearly hydrogen imports.

According to industry estimates, reaching this target will require an installed electrolyser capacity of 90 GW to 100 GW in Europe, depending on utilisation factors and efficiency rates.

Consequently, the electrolyser production capacity must be scaled-up significantly.

The joint declaration was signed by EU Commissioner for Internal Market Thierry Breton and hydrogen company Nel and other representatives from the electrolyser industry at the Electrolyser Summit in Brussels on May 6.

The joint declaration provides a solid foundation for the EU’s ambitious Hydrogen Accelerator, which will be a part of the EU’s plan to make Europe independent from Russian fossil fuels.

This plan, which is called RePowerEU, is expected to be communicated by the European Commission on May 18.

“Clean hydrogen is indispensable to reduce industrial carbon emissions and contribute to our energy independence from Russia. We have no time to lose, which is why this European electrolyser summit is so opportune.

“Today, industry agreed to a tenfold increase in electrolyser manufacturing capacities in Europe. The Commission will support this important industrial upscaling for an industrial leadership in the clean energy technologies of the future,” says Breton.

Electrolyser manufacturing capacity must be scaled-up significantly to meet the expected European demand for renewable hydrogen. There is no Hydrogen Accelerator without an acceleration in electrolyser manufacturing. There is no acceleration in electrolyser manufacturing in Europe without adequate regulatory and financial support, says Nel CEO Jon André Løkke.

“Cost-effective and scalable solutions are key qualification criteria. It’s time to walk the talk. We are looking forward to May 18, when the Commission is expected to present its RePowerEU plan.

“Demand for green hydrogen is growing extremely fast and we are glad to see the willingness from the European Commission to help us meet our common goals for green hydrogen production and the upscaling of electrolyser manufacturing capacities,” he says.

Further, Nel in April officially opened its new and fully automated electrolyser facility at Herøya, in Norway.

Currently, the factory has a production capacity of 500 MW, which can be increased to 2 GW.

The company has previously communicated an ambition to reach a 10 GW production capacity in Europe, Asia and the US by 2025, if required by the market.

The company has also stated that it will start a site selection process for additional production capacity in Europe, Løkke says.