2022 to 2024 has been pivotal for the hydrogen industry with the announcement of multiple subsidy programs for the production of clean hydrogen. With this being the first time for hydrogen production subsidies, there is an almost even split between countries opting for fixed subsidy and CfD strategy to subsidize either low carbon or green hydrogen, while some countries stand out by the exceptionally low/high ratio of subsidy amount per tendered capacity.
Subsidy programs have been initiated for the long term with countries establishing ambitious decarbonization targets while there is a clear preference for subsidizing domestic production capacity, except for Japan and Germany. With multiple programs starting with varied bid requirements, there are more expected to come to bridge the current gap between fossil fuel-based hydrogen and clean hydrogen.
Here’s our take at Yamna!
