IPCEI stands for “Important Projects of Common European Interest.” These are transnational projects in the fields of technology and infrastructure that are intended to make a significant contribution to the growth of the European economy through public funding. The term IPCEI was established in 2014 as part of EU state aid law.
IPCEI projects support sectors that are of key importance to European competitiveness and the single market. These are typically large-scale projects that go beyond what the market alone can achieve. They include, among other things:
- Microelectronics
- Battery Cells
- Cloud Infrastructure and Services
- Pharmaceutical Industry and
- Hydrogen.
The IPCEI Hydrogen Waves
The IPCEI projects for hydrogen are divided into several phases or “waves.” Each of these waves focuses on specific aspects of the hydrogen economy. The areas receiving funding include the production, storage, and distribution of hydrogen, as well as the development of fuel cells and other hydrogen technologies. The IPCEI waves are composed of several individual projects, which are in turn referred to as “IPCEI projects.”
The European Union and the participating member states provide substantial financial support for IPCEI projects: funding typically amounts to several billion euros. IPCEI projects generally have a duration of five to ten years. This long-term funding is intended to ensure that the projects go through the necessary development phases and achieve sustainable results.
First Wave: Technology (Hy2Tech)
On July 15, 2022, the European Commission approved the first hydrogen IPCEI. It comprises 41 subprojects involving 35 companies from 15 EU member states.
The Hy2Tech projects cover a large part of the hydrogen value chain: from production through storage, transportation, and distribution to end uses such as fuel cells.
The participating member states are providing up to 5.4 billion euros in public funding for the projects. The European Commission estimates that these funds will attract an additional 9 billion euros in private investment.
Second Wave: Industrial Applications (Hy2Use)
On September 21, 2022, the European Commission approved Hy2Use as the second IPCEI in the hydrogen sector. A total of 29 companies from 13 EU member states and Norway are participating in the project, which comprises 37 subprojects.
Hy2Use also covers a large part of the hydrogen value chain. It supports the construction of hydrogen-related infrastructure, particularly large-scale electrolysers and transportation infrastructure, as well as hydrogen storage facilities. In addition, it is intended to support the development of new technologies for integrating hydrogen into industrial processes (especially in sectors that are difficult to decarbonize, such as steel, cement, and glass).
For the second wave of the IPCEI initiative, participating countries will provide up to 5.2 billion euros in public funding. This is expected to attract an additional 7 billion euros in private investment.
Third Wave: Infrastructure (Hy2Infra)
The European Commission approved the third IPCEI in the field of hydrogen, Hy2Infra, on February 15, 2024. Thirty-two companies from seven member states are participating in the third wave with 33 projects.
The IPCEI Hy2Infra initiative promotes the use of large electrolyzers to produce renewable hydrogen. The total capacity of these electrolyzers is expected to reach 3.2 GW. A pipeline network approximately 2,700 km long is to be built for transportation, consisting of both new and repurposed pipelines, and transshipment terminals with the associated port infrastructure for LOHC, with a capacity of 6,000 metric tons of hydrogen per year, are to be constructed. In addition, plans call for the development of large-scale hydrogen storage facilities with a capacity of at least 370 GWh.
The seven member states will provide up to 6.9 billion euros in public funding over the next few years. This funding is expected to leverage an additional 5.4 billion euros in private investment, bringing the total amount available for the projects to over 12 billion euros.
Fourth Wave: Mobility & Transportation (Hy2Move)
The European Commission approved the fourth IPCEI Hy2Move on May 28, 2024. Eleven companies from seven member states are participating in the Hy2Move projects, which comprise 13 projects.
Hy2Move is designed to support the development of mobility and transportation applications (road, maritime, and air transport), including, for example, fuel cell vehicle platforms for use in buses and trucks. In addition, the project plans to develop high-performance fuel cell technologies for powering ships and locomotives, as well as the next generation of on-board storage solutions (lightweight yet robust hydrogen tanks are particularly necessary for use in aviation). The project also addresses the supply of hydrogen refueling stations locally.
Up to 1.4 billion euros in public funds are to be allocated for the fourth wave. In addition, the European Commission expects a further 3.3 billion euros from private investments.
For more information, visit the European Commission's website "Back"
