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Ditching losers: Why the EU should end support for unviable hydrogen applications

  • Green hydrogen has become a cornerstone of the EU's industrial policy and decarbonisation plans. The EU plans to spend billions in hydrogen subsidies and provide extensive legislative support. However, its current approach risks throwing good money after bad. Producing renewable hydrogen requires a lot of energy, which means hydrogen will always remain comparatively scarce and expensive. Consequently, many hydrogen applications do not make sense at scale, neither economically nor for the climate. Yet, the EU supports all hydrogen applications without sufficiently factoring in their prospects. This policy brief argues that the EU needs to start ditching losers. Hydrogen applications that are unlikely to be viable should not get public money. To enable the EU to filter out losers, the Commission needs to take a stronger guiding role and bolster its administrative capacities.

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Metadaten
Document Type:Working Paper
Language:English
Author(s):Philipp Jäger
Publication year:2022
Publishing Institution:Hertie School
Number pages:9
Related URL:https://www.delorscentre.eu/en/publications/ditching-losers
Release Date:2023/02/24
Hertie School Research:Jacques Delors Centre
Jacques Delors Centre / Policy Briefs
Licence of document (German):Metadaten / metadata
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