| Scheme(s) | EU ETS Innovation Fund – first auction to support renewable hydrogen production due to launch in December 2023 | Hydrogen Business Model - Net Zero Hydrogen Fund, launched in 2022 and negotiations with selected projects were anticipated in Q3-4 2023 | National Hydrogen Mission | Inflation Reduction Act (2022) - section 45V clean hydrogen credit / DOE Regional Clean Hydrogen Hubs Grant Program / California Low Carbon Fuel Standard (LCFS) |
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| Objectives | Stimulate the commercialisation of clean hydrogen and other advanced technologies via a dedicated funding window of €800M | Support 1GW of renewable hydrogen and 1GW of low carbon hydrogen (derived from natural gas with CCS), aiming to achieve 10GW of low-carbon hydrogen by 2030 | Incentivize production of renewable hydrogen via a $500M scheme (part of an overall $2B scheme to stimulate demand for hydrogen and enhance domestic manufacturing capacity, backed by support in Phase 2 for commercial-scale projects in the steel, mobility, and shipping sectors) | Stimulate the commercialisation of clean hydrogen and other advanced technologies / Transport GHG reductions in California and western states |
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| Focus | Support first commercial-scale production projects | Support first commercial-scale production projects | Establishment of Hydrogen Ecosystem / Commercial production projects | Establishment of Hydrogen Ecosystem / Commercial production projects |
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| Mechanism | Contracts-for-difference to provide a fixed premium per kg of hydrogen produced for a maximum of 10 years | Contracts-for-difference to provide price support through a variable premium model over a 10–15-year contract length for electrolyser projects of >5MW and up to 250 MW capacity | Green hydrogen incentives of at least 10% of project OPEX | New Clean Hydrogen Production Tax Credit (45V) for 10-years. Four tier payment based on carbon intensity (kg CO2e/kg H2) / Regional Hydrogen Hubs $8 Billion in grants / LCFS is similar to EU ETS |
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| Target payment | Will depend on submitted bids, with emphasis on supporting those asking for least support to cover the funding gap between the Levelized Cost of Hydrogen (LCOH) and envisaged offtake levels | Will depend on submitted bids, linked to a project’s specific delivered LCOH (i.e., it will include the costs of hydrogen transport to the offtaker) / Projects with a lower LCOH will score more highly | At least 30 Indian rupees ($0.7)/kg | Max rate for hydrogen production of USD 3 per 0-0.45 kg CO2e per kg H2. Lowest rate is $0.60 per 2.5-4 kg CO2e per kg H2 / 50% Cost Share Grants for Selected Hydrogen Hub Projects |
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