Spain
February 7, 2025

BP, Iberdrola, Repsol, CEPSA, and Capital Energy, some of the companies admitted in the Hydrogen Valleys call

The Spanish government, through IDAE, has announced the first call results for renewable hydrogen incentives. With €1.2 billion in funding, selected projects will enhance large-scale hydrogen production, strengthen industrial applications, and advance Spain’s leadership in Europe’s energy transition.
By Milena Giorgi

By Milena Giorgi

February 7, 2025
BP, Iberdrola, Repsol, CEPSA, and Capital Energy among companies selected for spain’s hydrogen valleys incentives program

The Government of Spain, through the Institute for Energy Diversification and Saving (IDAE), has published the list of selected companies in the First Call for Incentives for Renewable Hydrogen Production and Consumption Projects (Clusters or Valleys).

This initiative, funded with €1.2 billion from the Next Generation EU fund, aims to establish renewable hydrogen as a key pillar of the energy transition.

The selected companies will lead the implementation of green hydrogen infrastructure across different regions of Spain, promoting industrial and logistical development.

The approved projects are distributed across various autonomous communities, ensuring balanced territorial deployment.

The following companies have been admitted in the pre-evaluation phase and will receive funding to develop their initiatives:

Valencian Community

  • BP Energía EspañagH2 Project – Castellón Phase II.

Galicia

  • Forestal del AtlánticoValdoEume.
  • Armonia Green Galicia – IGNISA Coruña Hydrogen Valley.

Andalusia

  • Iberdrola ClientesOnubense Renewable Hydrogen Cluster (COLÓN).
  • H2 Los Barrios – EDPCHALLENGE 2.0.
  • Hyren Almonte – HYRENROCIOH2.
  • CEPSA, now MOEVEAndalusian Green Hydrogen Valley: ONUBA Project.

Aragon

  • Ci Etf i Renato Ptx Holdco – Copenhagen Infrastructure Partners + ENAGASCATALINA.
  • Turboleta E-fuel – SOLARIGTurboleta SAF.

Catalonia

  • Tarragona Hydrogen Network – REPSOLTarragona Hydrogen Network (T-HYNET).

Basque Country

  • Heidelberg Materials Hispania CementosLarge-Scale Green Hydrogen Production for Industrial Use in Bilbao (HERMES).

Murcia Region

  • Repsol Renewable And Circular SolutionsCartagena Electrolyzer Phase II.

Principality of Asturias

  • H2 SOTO – EPDGH2 SOTO 250.

Castilla y León

  • Desarrollo Renovable Mahogany – REOLUMLeón Green Hydrogen Valley.
  • Perseus Power – RIC ENERGYSustainable Aviation Fuel (SAF) Production Plant “COMPOSTILLA GREEN – Hydrogen and eSAF Plant”.

Rejected Project: Walia Energy

One of the projects submitted for this call, “Green H2 Generation for the Production of RFNBO-derived Fuels in the Ebro River Valley (HyBERUS)”, by Walia Energy – Capital Energy, was not admitted in the pre-evaluation phase.

According to the resolution published by IDAE, the reason for inadmissibility was a voluntary withdrawal submitted by the company on October 31, 2024. Despite not being selected in this phase, this project could be reconsidered in future calls, as the renewable hydrogen sector continues to grow, and Spain aims to position itself as a leader in green hydrogen production in Europe.

A Key Step for the Hydrogen Economy

The program aims to promote the creation of green hydrogen production and consumption infrastructure, strengthening Spain’s role as a strategic hub in Europe. With the implementation of these projects, the government expects to:

  • Reduce CO₂ emissions in industrial and transport sectors.
  • Boost technological innovation in hydrogen production and storage.
  • Generate jobs in strategic regions, supporting a fair energy transition.
  • Strengthen the supply chain of renewable hydrogen at the national and European levels.

In this context, Brais Armiño Franco, partner at AtlantHy, highlights the positive impact this call will have on the sector. 

“This program is the best available, even better than the European Hydrogen Bank. The facts speak for themselves—several projects, considering the available funding, could receive up to €90 million each, which is more than what many will request from the European Hydrogen Bank”, says in conversation with Strategic Energy Europe.

Additionally, he underscores that the competition is much lower compared to other European funding schemes, increasing applicants’ chances of success.

“I believe many Spanish companies will regret not participating in this call, as it will have an immediate effect on investments”, adds the executive.

Selection Criteria and Project Requirements

The beneficiary companies were selected under a competitive bidding process, based on economic efficiency, technical maturity, and environmental feasibility. To receive funding, projects must meet specific technical requirements, such as:

  • Achieving a minimum 100 MW electrolysis capacity.
  • Securing at least 60% of production consumption through pre-agreed purchase commitments.
  • Ensuring compliance with the Do No Significant Harm (DNSH) principle.
  • Demonstrating financial viability and execution capability within 36 months.

Spain’s Hydrogen Outlook

The deployment of renewable hydrogen is a priority within the Recovery, Transformation, and Resilience Plan, aligned with the European Hydrogen Strategy. Investment in these strategic projects will help establish Spain as a leader in clean energy production, promoting a more sustainable and competitive energy model.

The transition towards a renewable hydrogen-based ecosystem is not only an economic opportunity, but it also reinforces the country’s leadership in renewable energies on a global scale. With this call, the Government and the private sector are working together to build a strong and efficient hydrogen infrastructure, essential to achieving climate neutrality by 2050.

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