Iberdrola and bp push green hydrogen project at Castellón refinery
- Up to €211 million from the IPCEI Hy2USE programme has been approved for reallocation to Castellón by the Ministry for the Ecological Transition (through IDAE).
- The project has also received an additional €15 million in funding through NextGenerationEU.
- The plant is expected to begin producing green hydrogen before the end of the year and to become Spain’s largest operational green hydrogen plant in 2026.
- The initiative involves Iberdrola España, bp and the Valencia Energy Technology Institute (ITE), and targets hydrogen use at bp’s Castellón refinery and in hard‑to‑decarbonise sectors such as ceramics and chemicals.
Funding and approvals
Iberdrola España and bp received approval from the Ministry for the Ecological Transition, via IDAE, for the reallocation to Castellón of up to €211 million from the IPCEI Hy2USE programme. The project has also secured an additional €15 million through NextGenerationEU funds.
Timeline and scale
The facility is expected to start producing green hydrogen before the end of the year and is scheduled to become Spain’s largest operational green hydrogen plant in 2026.
Purpose and partners
The initiative is part of an alliance between Iberdrola and bp to promote replacing natural gas in industrial processes with domestically produced renewable energy. The project involves the Valencia Energy Technology Institute (ITE) and foresees allocation of green hydrogen to bp’s Castellón refinery and to hard‑to‑decarbonise sectors such as the ceramics and chemicals industries.
Source: Iberdrola
