In a major boost to the renewable energy sector, Germany’s Federal Ministry for Economic Affairs and Climate Action (BMWK) has dedicated €3.53 billion to the H2Global Foundation. This significant investment is aimed at supporting the country’s initiative to import renewable hydrogen and its derivatives, marking a critical step forward in Germany’s energy transition efforts.
On February 12, H2Global announced that its subsidiary, HINT.CO, received a grant notification for €3.53 billion from the BMWK. Operating within the H2Global funding framework, HINT.CO acts as a pivotal intermediary, tasked with buying and selling green power-to-X (PtX) products. Its primary role involves orchestrating competitive bidding processes for the acquisition and distribution of clean hydrogen-based products alongside other low-carbon commodities.
Based in Hamburg, the foundation elaborated that this grant would fuel the next series of double-sided tenders, a model fashioned after the H2Global mechanism. This latest funding, combined with the initial €900 million from the first funding window and additional resources allocated to a joint initiative with the Netherlands, brings the total public investment in the H2Global strategy to €4.73 billion.
H2Global expressed optimism about the progress, stating, “As we approach the conclusion of the first round of tenders, we’re encouraged by the continued confidence in the H2Global mechanism’s effectiveness and efficiency. We are eager to present the initial outcomes and escalate our endeavors to forge a global hydrogen market.”
Founded in 2021, H2Global was conceived as a pioneering funding model designed to secure green hydrogen or its derivatives from international markets through long-term contracts, with the aim of reselling these resources within Germany via annual auctions.
In 2023, the initiative aligned with the European Hydrogen Bank, a scheme launched by the European Commission to bolster renewable hydrogen production within the EU and streamline imports. This alignment aims to expedite the global expansion of hydrogen, opening the H2Global mechanism to all EU Member States interested in conducting their hydrogen tenders. Furthermore, the initiative plans to collaboratively develop a European auction framework specifically targeting the import of international hydrogen, reinforcing the EU’s commitment to a sustainable and renewable energy future.
