Renewable additionality requirements could stall the growth of Europe’s green hydrogen market
Renewables access challenges EU green hydrogen growth
Access to additional renewable power and ammonia import capacity could constrain EU green hydrogen growth, Japanese bank MUFG tells Hydrogen Economist forum
The growth of Europe’s green hydrogen market could be limited in the near term by shortages of renewable power generation and insufficient import capacity, according to Andrew Doyle, executive director of energy project finance at MUFG, Japan’s largest bank. EU additionality rules are likely to mean electrolysers must be powered by new renewables capacity, requiring a significant increase in such capacity just for the green hydrogen sector. “Just from a capacity perspective, building all that additional renewables capacity is going to be a challenge,” Doyle told Hydrogen Economist’s recent Financing the Hydrogen Economy event in Milan. Under load-following requirements, operators must also
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