Spain Allocates 440.5 Million from the Recovery Plan for Renewable Hydrogen

The Institute for Energy Diversification and Saving (IDAE) has set a new milestone in the national energy landscape with the launch of the second call for grants under the European Hydrogen Bank’s “Auction as a Service” program. This initiative, implemented through Components 9 and 31 of the Recovery, Transformation, and Resilience Plan (PRTR) and financed with NextGenerationEU funds, mobilizes a total budget of 440.5 million euros aimed at scaling up the production of renewable hydrogen (RFNBO).

Among the beneficiary initiatives, the Aragonese industrial ecosystem stands out in particular through the “ZARAGOZA H2V” project, promoted by ACCIONA PLUG S.L. The proposal has already received a final resolution for the direct award of grants, after passing the rigorous evaluation by the European Climate, Infrastructure, and Environment Executive Agency (CINEA).

Zaragoza, a Strategic Hub for Industrial Decarbonization

The project involves the deployment of a renewable electrolytic hydrogen production plant within the municipality of Zaragoza. The facility will feature a 10 MWe electrolyzer and is expected to produce an estimated 1,435 metric tons of green hydrogen per year. The hydrogen produced will be used to meet the demand for sustainable mobility and industrial processes in the region, accelerating the transition away from fossil fuels.

The grant will be structured as a fixed subsidy disbursed semiannually during the plant’s first ten years of commercial operation, contingent upon actual production and certification of the energy vector. Furthermore, regulatory requirements stipulate that the Final Investment Decision must be formalized within a maximum of 2.5 years, while the facility must enter service no later than 5 years after the decision is made.

Reallocation of Resources and Consolidation of the Sector

The IDAE’s final resolutions reflect agile management of EU resources. Following the changes resulting from the withdrawals filed by Iberdrola Clientes S.A. regarding its NOON II and ODIN projects, the Investigating Body proceeded to reallocate public funds (transferring more than 300 million euros among PRTR components) to cover projects ready for implementation.

Alongside the Aragonese project, the call for proposals gives the green light to other megaprojects nationwide, such as “ATLAS” and “Puertollano Hydrogen Network” (led by Repsol Renewable and Circular Solutions) and “Quixotgen-phase 1” in Villarrobledo.

The Aragon Hydrogen Foundation views this decision as a decisive boost that reaffirms the autonomous community’s strategic position as a European leader in the hydrogen technology value chain, integrating technological innovation, investment, and industrial capacity.

Discover all the details of the Second Call for Direct Grants for Spanish Renewable Hydrogen Production Projects here