CertifHy has awarded RFNBO pre-certification to Greenko subsidiary AM Green for its under-development hydrogen and ammonia production facility in southern India. By 2030, Greenko aims for a capacity of one million tons per year of electrolytic hydrogen, feeding the production of 5 million tons per year of ammonia.
The Green Hydrogen Organisation (GH2) has released a report sketching out considerations for hydrogen off-take agreements. It emphasises the importance of balancing risks between prospective buyers and sellers, given the challenges facing a nascent market. It also analyses the respective merits of fixed & variable pricing models, supply regulation and other key off-take provisions.
Approved by the national cabinet, the draft law aims to create a legal framework for rapid development and expansion of hydrogen infrastructure, including ammonia import and cracking facilities. Relevant planning, approval and procurement procedures will be simplified and digitalized where possible, and projects covered by the Act will also be considered in the “overriding public interest”, with some important caveats. Germany’s national cabinet also approved a CCS Act this month, aimed at decarbonising hard-to-abate industrial processes.
Mizuho Financial, one of Japan’s largest banks, has outlined its near-term investment strategy for the “production and supply of hydrogen and related technologies by 2030”. Mizuho is offering ¥2 trillion worth of financing that will be committed to various projects and players globally, and is also engaged in various hydrogen and ammonia initiatives.
The European Hydrogen Bank has awarded nearly €720 million to seven renewable hydrogen and ammonia projects. The funding will act to bridge the price gap between the cost of hydrogen production and the price buyers are willing to pay. Recipients will receive €0.37 - €0.48 in subsidies per kilogram of renewable hydrogen, and will collectively produce 1.58 million tons of renewable hydrogen over ten years. In conducting a transparent auction process, the European Commission has also provided vital insights into trends in demand for renewable hydrogen and ammonia.
The federal government of Canada has agreed to support Project Nujio’qonik via a US$95 million credit facility. The funding will help developers in the push towards long-term financing for the Newfoundland-based ammonia project.
The Port Bonython and Pilbara Hubs are part of a wider strategy by the Australian government to set up multiple hubs around the country to promote renewable hydrogen & ammonia production in Australia. Based on a common-user infrastructure approach and equal federal-state funding, other locations set to benefit from this initiative include Kwinana, Gladstone, Townsville, Bell Bay and the Hunter.
A new report from the World Bank and partners proposes a series of levers to help bridge the finance gap for clean hydrogen production projects. Although clean hydrogen projects emerging markets and developing countries account for 40% of the global pipeline and could attract investment of up to $100 billion per year, a significant finance gap exists to push these projects to “FEED-plus”.
The Canadian and German governments have agreed to establish a bilateral funding window for hydrogen derivative exports between the two countries. H2Global will conduct “coordinated supply and demand side auctions”, with ammonia-producing projects on Canada’s Atlantic coast likely frontrunners for funding. In related news, Pattern Energy, lead developer of one of these export projects, will work with Mabanaft to explore a renewable ammonia supply chain between Newfoundland and Hamburg.
The Egyptian Parliament has ratified an incentive package for renewable hydrogen producers, aiming to pave the way for a rapid expansion of the sector. The incentives range from tax concessions to administrative streamlining and will seek to create an attractive investment climate. Egypt is well-located to play a leading role in meeting European demand for hydrogen exports. It is not alone in this ambition, however. Similar schemes have been launched by countries such as Oman.