EU hydrogen auction 2025 unlocks €3 billion for RFNBO & low-carbon hydrogen

Hydrogen pipeline infrastructure representing projects supported by the EU hydrogen auction.

The EU hydrogen auction for 2025 has opened with up to €3 billion in combined EU and national funding, supporting RFNBO and low-carbon hydrogen production alongside maritime and aviation offtake.

The new round strengthens Europe’s hydrogen rollout by expanding funding baskets, accelerating permitting, and drawing major national contributions from Germany and Spain.

The European Commission has launched the third auction under the EHB via the Innovation Fund (IF25). The auction allocates €1.3 billion from ETS-revenues, complemented by €1.7 billion in national top-ups, to support hydrogen projects across the EU.

Funding is split into three strands: €600 million for RFNBO-only hydrogen, €400 million open to both RFNBO and low-carbon hydrogen, and €300 million earmarked for maritime and aviation hydrogen offtake.

Participation from national funds adds scale: Germany alone committed €1.3 billion, while Spain allocated €465 million.

The IF25 call further expands low-carbon hydrogen eligibility and strengthens price-discovery via fixed-premium bidding — a signal that Europe is ramping up its hydrogen supply chain for hard-to-decarbonise sectors.

Massive EU and national co-funding in the latest hydrogen auction underscores Europe’s intent to build a competitive domestic hydrogen market and reduce reliance on imports.

Source: EU Commission

 

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