The potential of hydrogen for decarbonising EU industry
Given the vast potential for renewable electricity generation, the production of renewable hydrogen, i.e. using renewable electricity for producing hydrogen via water electrolysis, is seen as a promising option for decarbonising EU industry, in particular the hard-to-decarbonise energy-intensive sectors. Even more, transforming the EU’s energy system to a hydrogen economy is perceived to provide benefits with respect to job creation, economic growth, innovation and air pollution. Accordingly, the European Commission has published its Hydrogen Strategy in 2020 with the aim to boost hydrogen use in the industry and transport sectors, while fostering the uptake of renewable hydrogen production. However, there are huge economic implications for the current stock of production technologies, the energy system and operational costs. The infrastructure required is another aspect that has not yet been resolved. The STOA study 'The potential of hydrogen for decarbonising EU industry' takes stock of the current situation with respect to the realization of the EU Hydrogen Strategy and identifies policy options addressing gaps in the current hydrogen policy landscape. The study and a policy brief were published in December 2021.