Spain confirms support for five hydrogen ‘common interest’ projects
Jonathan Spencer Jones
Posted on: 24 June 2025
Grants for five hydrogen ‘important projects of common European interest’ in Spain have been confirmed by the country’s Secretary of State for Energy.
Grants for five hydrogen ‘important projects of common European interest’ (IPCEI) in Spain have been confirmed by the country’s Secretary of State for Energy.
The five grants totalling €524 million ($600 million) out of a total allocation of €794 million ($910 million) announced in July 2024 – and greenlit for funding by the EU in September 2022 – form direct government aid to accelerate the production and use of renewable hydrogen in industrial applications in Spain.
The projects, selected within the IPCEI Hy2Use programme, encompass the construction of both high capacity electrolysers and a hydrogen generation project.
In addition to the grants the projects are anticipated to mobilise over €1 billion in resources initially, increasing to over €6 billion over their lifetime.
The five projects are as follows.
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The Asturias H2 valley project promoted by EDP Group subsidiary H2 Aboño, which receives €78 million in state aid, is developing a 150MW electrolysis plant at EDP’s Aboño thermal power plant site to produce and supply renewable hydrogen to local industrial offtakers, including a refuelling station, located in the town of Aboño in northern Spain.
The Green H2 Los Barrios project promoted by a second EDP subsidiary H2 Los Barrios, which also receives €78 million, is undertaking a similar development with a 130MW electrolyser at EDP’s Los Barrios thermal power plant site for local offtakers including steelworks and a chemical plant in the Bay of Gibraltar town of Palmones in southern Spain.
The Cartagena large scale electrolyser project being promoted by the Cartagena Hydrogen Network, a Repsol subsidiary, which receives €155 million, is developing a 100MW alkaline electrolysis plant within Repsol’s Cartagena refinery to advance the local use of hydrogen primarily within the plant but also in mobility and in the gas and electricity sectors.
The Bilbao large scale electrolyser project being promoted by Bay of Biscay Hydrogen, a Petronor subsidiary Alba company, which receives €160 million, is developing a complete hydrogen ecosystem with a 100MW electrolyser to supply hydrogen mainly to the Petronor refinery but also other industrial consumers in the Port of Bilbao area connected as part of the Basque Hydrogen Corridor.
The Ver-amonia project being developed by Iam Caecius and EDP, which receives €53 million, is aimed to develop an integrated 25MW electrolysis plant to produce 15,000t/year of green ammonia as a fertilizer compound in the eastern Spain province of Teruel.
The grants are being provided through Spain’s Recovery, Transformation, and Resilience Plan, which is supported by the European Union through its NextGenerationEU initiative.
Two further green hydrogen projects – Iberdrola’s Puertollano project for the production of green ammonia and fertilizers and Endesa and Enel Green Power’s Magallón project – are receiving the balance of €270 million of the original allocation, although these were not mentioned in the latest government announcement.
