The European Hydrogen Bank is an initiative of the European Commission designed to accelerate the market for renewable (green) hydrogen in the European Union. Despite its name, it is not a deposit-taking bank; rather, it is a policy and funding mechanism focused on scaling production and uptake of hydrogen derived from renewable energy.
The initiative designs and runs competitive auctions that award time-limited, fixed-premium support to renewable hydrogen producers, primarily funded through the EU Innovation Fund, which is backed by EU Emissions Trading System revenues. By narrowing the cost gap with fossil-based hydrogen and fuels, it aims to de-risk early projects and enable industrial decarbonization in sectors such as chemicals, refining, fertilizers, and steel, as well as certain transport applications. The European Hydrogen Bank also supports market development through project assessment, offtake matchmaking, and coordination with Member State schemes, while aligning with EU rules on certification, monitoring, and state aid. Its activities are part of broader EU efforts to build a competitive hydrogen economy and reduce greenhouse gas emissions.
