The European Commission should properly define green and low-carbon hydrogen to meet its emission targets by 2050, according to French hydrogen association France Hydrogène in its recently published position paper on the European Commission “Fit for 55” revision of environmental and energy laws.

“A common methodology to assess GHG reductions from different production pathways should be adopted. Definitions should be made clearer and more consistent by distinguishing between pure hydrogen and synthetic fuels," the association says.

Low-carbon and green hydrogen with carbon capture technology should also be recognised as a means to achieve the EU 2050 targets. The association encourages the EU to facilitate the production of green hydrogen by introducing free allowances for electrolysers, Kallanish notes.

“The extension of the EU-ETS to renewable and low-carbon hydrogen production facilities is a good step but should be implemented more quickly (before 2026) and more broadly (including units above 5 tonnes of hydroge/day instead of 25 t/d),” the association continues. It also warns of the importance of guarantees before any extension of the Carbon-Border Adjustment Mechanism (CBAM) to hydrogen.

"If the CBAM does not directly target hydrogen today, a hypothetical inclusion of this sector in the future should not be made before 2026 and on the condition, the scope of the carbon methodology is expanded to include direct and indirect emissions of imported hydrogen (scopes 1,2 and even 3),” it says.

Actions to fast-track the development of hydrogen mobility by 2030 and refuelling infrastructure are also essential. The association recommends that the EU defines the minimum levels of refuelling stations for each member state by 2025 instead of 2030. Minimums of 350- and 700-bar dual pressure should be required to fuel buses, LCV, and HDV.

The EU legislation on hydrogen should enable the development of a solid value chain “without inconsistency." Besides suggesting a long-term hydrogen tax system, the association adds that low-carbon hydrogen should benefit from a favourable minimum level of taxation after 2033.

On 14 July, the European Commission presented its “Fit for 55” revision of several environmental and energy laws. France Hydrogène concludes that despite the inconsistencies and need for improvement, the package will stimulate the green and low-carbon hydrogen value chain in Europe.