Non-fossil electricity to be included in the Low-carbon hydrogen delegated act?

In an open letter to the European Commission, several associations, federations and companies are asking Brussels to recognise the role of PPAs with non-fossil electricity sources in the Low-carbon hydrogen delegated act. Among the signatories, there are France Hydrogène (the French hydrogen association), Hydrogen Europe, EDF, ArcelorMittal or Hy24 to name a few.

For the uninitiated, PPAs (Power Purchase Agreements) are long-term renewable energy contracts. They are becoming increasingly popular with large companies, SMEs and local authorities. They offer a reliable way of decarbonising their electricity consumption, thereby contributing to the energy transition.

As you can see, a large part of the signatories of the open letter are French. The problem for the French is that nuclear-generated electricity – while largely carbon-free – is not considered green. But it is becoming vital to launch hydrogen production using all available non-fossil electricity sources. 

An opportunity for industry

The signatories of the letter believe that the future Low-carbon hydrogen delegated act is precisely an opportunity to revitalise the industry. They are therefore calling on the Commission to establish fair conditions for the production of low-carbon electrolytic hydrogen, as a complement to the production of Renewable Fuels of Non-Biological Origin (RFNBO), the so-called e-fuels for heavy transport. 

This will be essential to launch projects in the ramp-up phase of the sector, and to turn the Fit for 55 package into an industrial reality. The letter, which is addressed to Members of Parliament and several Commissioners, also refers to the report of the European Court of Auditors.

This letter is signed by Hydrogen Europe, France Hydrogène and a number of players in electrolysis (John Cockerill, McPhy), the steel industry (ArcerlorMittal, Gravit’Hy), green hydrogen production (H2V), energy (EDF) and research (CEA). The French signatories also include H2X, Elyse Energy, the Hy24 fund, Genvia and the nuclear energy association SFEN. 

Do you want to find out more about the signatories? Then our latest articles on these key hydrogen players should be of interest to you. You can access all our articles sorted out by key players here.

Article written by Laurent Meillaud and translated by Logan King