The European Commission (EC) has initiated the Hydrogen Mechanism under the EU Energy and Raw Materials Platform to enhance the competitiveness of Europe’s industry.
The mechanism is part of a broader strategy to ensure a more secure energy supply, diversification, and decarbonisation.
The Hydrogen Mechanism is designed to facilitate the market development of renewable and low-carbon hydrogen and its derivatives, including ammonia, methanol, and electro-sustainable aviation fuel (eSAF).
The newly launched mechanism aims to empower market participants by matching and aggregating demand and supply.
It will assist in identifying infrastructure development needs and provide easier access to information on financial solutions, thus supporting the EU’s decarbonisation and energy independence objectives.
European Commissioner for Energy and Housing Dan Jørgensen said: “With the Hydrogen Mechanism launched …, we empower the European industry to seize competitive opportunities while advancing towards greater security of supply and decarbonisation. This is only the beginning of our work under the EU Energy and Raw Materials Platform, which shows that Europe is not just adapting to the future, it is actively shaping it.”
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By GlobalDataThe stakeholders can register on the platform and subscribe to the EU Hydrogen Mechanism, with the first demand and supply matching session scheduled for September 2025.
The Raw Materials Mechanism and the Gas Mechanism are set to be introduced in the forthcoming months.
Hydrogen is increasingly recognised for its role in decarbonising industries where reducing carbon emissions is both urgent and challenging.
The EU’s commitment to climate neutrality by 2050 and its goal to become independent from Russian fossil fuels by the end of 2027 underscore the importance of hydrogen and its derivatives.
The EU/2024/1789 Regulation mandates the EC to establish and manage a mechanism under the European Hydrogen Bank to support hydrogen market development until the end of 2029.
