EU is funding 41 innovative energy projects with 3,6 billion euros

(Brussels Belgium) - The EU Commission has allocated more than 3,6 billion euros for 41 major projects in the field of clean technologies. The funding focus is on the REPowerEU plan and the gradual phase-out of the import of Russian fossil fuels into Europe.

The selected projects are located in 15 EU Member States and cover a wide range of industries, including cement and steel, biofuels, sustainable aviation fuels, wind and solar energy, and renewable hydrogen and its derivatives. All funded projects are scheduled to go into operation before 2030 and, according to the information, have “the potential to avoid 221 million tons of CO2 emissions in the first ten years of operation.”

Projects in four subject areas

The projects cover four subject areas: In the area “General decarbonization” Eight projects will receive funding totaling 1,4 billion euros, including three projects in refineries and five projects in the cement and lime sector.

In segment “Electrification of Industry and Hydrogen” 13 projects worth almost 1,2 billion euros are being funded. These include six projects for the production of renewable hydrogen and seven for the use of hydrogen in various sectors.

Under the title “eClean Tech Manufacturing” Eleven projects worth almost 800 million euros are financially supported. These include the production of electrolysers (four), batteries (four) and solar cells and modules (three).

In the “Medium-sized pilot projects” Nine projects will receive funding worth 250 million euros. This includes, among other things, the areas of wind energy, marine energy and the glass industry.

Funded hydrogen and PtX projects

The projects in the segment that received funding in the areas of hydrogen and Power-to-X General decarbonization include:

• The Biorefinery Östrand AB (Sweden) plans the large-scale production of renewable sustainable aviation fuels (SAF) and the use of a “Anything to Liquid” (XTL) called process by gasification of solid biomass using 100 percent renewable energy.

• The Project “H2Sines.Rdam” (Portugal, Netherlands) by GDF International SA will demonstrate the potential of using liquid hydrogen (LH2) to transport low-cost renewable energy from Portugal to the Netherlands via LH2 ship. A 400 megawatt electrolyser, a large-scale liquefaction plant, an export facility and an LH2 storage facility will be built in the port of Sines to deliver liquid hydrogen by fuel cell ship to the import terminal in Rotterdam.
• The "IRIS"-Project of the Greek oil company Motor Oil Corinth Refineries SA wants to advance low-carbon hydrogen and methanol production through large-scale carbon capture. This is intended to dramatically reduce the refinery's carbon footprint while demonstrating an industrial ecosystem for the production of low-carbon hydrogen and its use as a clean energy source.

Projects in the segment with funding in the area of ​​hydrogen and Power-to-X Electrification of industry and hydrogen:

• “Ground Phase 1” of H2 Green Steel AB (Sweden) aims to build an industrial-scale green steel plant in northern Sweden. It will use hydrogen-based direct reduction (DRI) technology to replace the traditional coke-fired blast furnace method of iron production.

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  Port of Sines, Portugal. © Green H2 Atlantic

  A consortium of 13 companies is planning as part of a Green H2 Atlantic mentioned project in Sines, Portugal, the development of a scalable and flexible system for the production of green hydrogen with an output of 96 megawatts, based on alkaline printing technology. The electricity required for hydrogen production will be provided by additional solar and wind power capacity, delivered through the power grid via power purchase agreements (PPAs).

• Elyse Energy (France) receives funding for the project “Electro Methanol Rhône” to produce e-methanol through the production of renewable hydrogen and the capture and use of carbon. The carbon comes from a cement plant. Elyse plans to produce 500.000 tons of e-methanol in four factories in France, and plans to produce another million tons on the Iberian Peninsula.
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  SHYNE foundation in 2022 on the Repsol campus. © Robert Bosch España, SLU

  The Spanish companies Repsol SA and Circular Solutions SA want with “T-Hynet” produce renewable hydrogen and oxygen using a 150 megawatt alkaline pressure electrolyzer in the industrial area of ​​Tarragona in southern Spain and sell it to local customers. A digital twin is intended to enable what is described as a “flexible and optimized operating platform”. The T-Hynet project is part of the consortium “Spanish Hydrogen Network” (SHYNE).

• The Belgian electricity supplier Engie Electrabel SA want with that "Columbus"project will find a scalable solution to decarbonize industry by combining captured CO2 from lime production with green hydrogen to produce carbon-neutral synthetic e-methane to be fed into the national natural gas network, but also by industrial users or as an alternative fuel in the transport sector can be used.
• The Spanish electricity producer Iberdrola SA receives funding for the production of green e-methanol in Galicia. The project consists of an integrated plant with a hybrid H2 production system comprising alkaline, proton exchange membrane (PEM), solid oxide electrolysis cells (SOEC) and SOEC co-electrolysis systems, as well as an integrated e-methanol production system and a CO2 capture system.
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  Future location of the Uniper electrolyzers on the Maasvlakte, a large industrial and port area in Rotterdam. © Uniper SE

  Uniper Hydrogen Netherlands BV (Netherlands) wants in the region Maasvlakte produce green hydrogen in the area of ​​the Port of Rotterdam. The electrolyser will be installed on the site of an existing coal-fired power plant and uses existing utility infrastructure. The system uses demineralized water. The proceeds are intended for use in refineries in the port of Rotterdam, for example for the production of synthetic biofuel.

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  EDP's Aboño coal-fired power plant will soon be taken off the grid and green hydrogen will be produced here in the future. © EDP

  The “Asturias H2 Valley” mentioned project by H2 Aboño, SA (Spain) is a power-to-hydrogen hub for the production and delivery of hydrogen using electricity from renewable energy sources such as wind and solar. The production facility will be located within the facilities of the existing conventional coal-fired power plant northeast of Gijón on the Spanish Atlantic coast, which will go offline in 2025. EDP ​​Renewables, a subsidiary of the energy supplier EDP Energias de Portugal, is behind the project.

• “EnergHys” of Total Energy (Netherlands) aims to build a complete value chain for the production of hydrogen from renewable energy all the way to the end consumer. The project benefits from the proximity to the North Sea port and from the future connection to the local hydrogen network.
• Forestal del Atlantico, SA (Spain) has dealt with “Triskelion” The goal is to produce green methanol from hydrogen and CO2. The electricity for electrolysis comes from a wind farm in the immediate vicinity of the project facilities. The CO2 is captured from an existing combined heat and power plant.
• The Iqony GmbH (Germany) will develop, build and operate a PEM electrolyzer in Duisburg-Walsum. The system will be integrated into an existing renewable energy power plant and supported by a battery. The first expansion stage includes 157 megawatts, the commissioning of “HydrOxy” is planned for 2027. The renewable hydrogen is said to be “largely supplied to a local steel company”, as well as to the transport sector and other industries. The heat generated is fed into a district heating system. The maximum output of 520 megawatts is reached after three expansion stages.

• The 300 megawatt project planned in Norway “Holmaneset” of the Australian company Fortescue Future Industries (FFI) is intended to produce green hydrogen and green ammonia. The Electrolyzer works with excess renewable energy from the power grid. The ammonia is delivered by ship to the domestic and European markets.
• The Verbund AG (Austria) wants to do so within the framework of the “Gramly”-Project produces renewable ammonia suitable for the production of melamine, fertilizers and technical nitrogen products. The PEM electrolyzer for hydrogen production will be built in Linz and operated with renewable energy from the power grid. Operations will be controlled so that more electricity is consumed when the proportion of renewable electricity is high.

Projects in the segment with funding in the area of ​​hydrogen and Power-to-X eClean Tech Manufacturing:

• The “Topsoe SOEC”-Project by Topsoe AS (Denmark) involves the construction and operation of a factory for innovative SOEC (Solid Oxide Electrolyser Cell) stacking modules used for electrolysis in green hydrogen production. The technology enables higher electrical efficiency compared to conventional electrolysis.
• The Robert Bosch AG (Germany) wants to go with that “Smart ELectrolYsis Module Manufacturing” (Ely) to industrialize a novel “Smart Electrolysis Module” (SEM), which combines the “Ely stack” with cost-efficient power electronics, control units and sensors, including global service offerings. The pre-assembled system solution is intended to reduce the effort required to commission large electrolyzers and at the same time increase their efficiency.
• AGFA (Belgium) is commercializing the development of membranes with improved electrical efficiency on an industrial scale. This leads to a reduction in the need for renewable electricity in electrolysers. The membrane of the “Giga Scales”project would have improved electrical stack efficiency and higher power density compared to other options.
• The main goal of “Hyncrease” is Nora Germany GmbH is to increase production capacity for electrolysers and fuel cell components. The focus is on the development, construction and validation of highly efficient production lines that ensure a low ecological footprint of the products. This reduces the operating costs of production lines for electrolysers and fuel cell components, making market launch easier.

Projects in the segment supported with funding in the area of ​​hydrogen and Power-to-X Medium-sized pilot projects:

• The e-fuel project from Nordic Electrofuel AS (Norway) aims to demonstrate competitive production of liquid synthetic hydrocarbons (Syncrude) using the Fischer-Tropsch process, based on renewable energy, water and CO/CO2 from industrial exhaust gases from a ferro/silicon-manganese plant. Different conversion processes are used. Once refined, Syncrude replaces fossil products such as kerosene and can be used in existing engines and infrastructure, particularly to decarbonize the aviation industry.
• “Seaworthy” of Floating Power Plant AS (Spain) is a medium-scale project to demonstrate a renewable energy supply by integrating wave energy converters, a wind turbine and a complete hydrogen system (electrolyser, storage and fuel cells) on a single “semi-submersible” platform. The aim is to further develop the company's P2X technology by building, testing and operating a prototype at a scale considered representative of validating commercial-scale applications.

The selected projects were evaluated by independent experts based on five award criteria: ability to reduce greenhouse gas emissions compared to traditional technologies, level of innovation, operational, financial and technical maturity, scalability and cost-effectiveness. A total of 239 applications were submitted for this round of tenders following a call for proposals in November last year. Of these, 196 were eligible and accepted for evaluation.

In addition to the 41 projects selected for financing, the European Investment Bank will support the development of “other promising but not sufficiently mature projects”. These would be announced in the fourth quarter of 2023.

New call for tenders at the end of the year

At the end of the year, the Commission will publish the next call for proposals for major projects under the Innovation Fund, with an increased budget of four billion euros. The funds come from the EU ETS CO2 certificate trading and, according to the EU, “thus directly drive decarbonization”. The resulting estimated revenue would be around 40 billion euros. The Innovation Fund awards the grants through regular calls for proposals and, in the future, also through auctions.

Photos
Berlaymont building in Brussels, headquarters of the European Commission. © European Commission