National Hydrogen Strategy

A national hydrogen strategy defines the policy framework for developing a hydrogen economy in a country. More than 40 countries worldwide have already published such strategies. While the strategies differ in their specific objectives and priorities, the majority are guided by the Paris Agreement on climate change.

Many strategies outline how much hydrogen a country will need at a given point in time, where it should come from, and in which specific sectors it will be used. In addition to climate policy goals, economic factors also play an important role—many countries see hydrogen technologies as offering significant opportunities for their industrial development.

Germany's National Hydrogen Strategy

The German National Hydrogen Strategy was adopted on June 10, 2020, by the CDU-led federal government. On July 26, 2023 , the “traffic light” coalition approved an update to the first hydrogen strategy under the name “NWS 2.0.” It provides the framework for the production, transport, and use of hydrogen as a key element of the energy transition in Germany. One of the strategy’s core elements is the promotion of hydrogen produced from renewable energy sources. It also calls for the expansion of hydrogen infrastructure and supports research and innovation in this area. A particular focus is on strengthening Germany’s technological leadership in the hydrogen sector.

Objectives of the National Hydrogen Strategy

1. Accelerated Market Rollout: The market rollout of hydrogen, its derivatives, and hydrogen application technologies is to be accelerated.
2. Ensuring Sufficient Availability: The target for domestic electrolysis capacity in 2030 is 10 GW. Imports are expected to cover the remaining demand (approximately 50 to 70 percent).
3. Import Strategy: Imports from partner countries are necessary to ensure a steady supply of hydrogen. To this end, the Federal Cabinet adopted the Import Strategy for Hydrogen and Hydrogen Derivatives on July 24, 2024.
4. Development of a hydrogen infrastructure: To this end, the Federal Cabinet approved the legal and regulatory framework for the future core hydrogen network—as the first phase of hydrogen infrastructure development—at the end of May through an amendment to the Energy Industry Act (EnWG). On July 22, 2024, the transmission system operators submitted the final application for the core hydrogen network to the Federal Network Agency. Through this expansion, the goal is to connect all major generation, import, and storage centers with the relevant consumers by 2030.
5. Establishment of hydrogen applications: By 2030, hydrogen and its derivatives are expected to be used primarily in industrial applications, in heavy-duty vehicles, and, to an increasing extent, in aviation and maritime transport. In the electricity sector, hydrogen is intended to enhance energy security. To this end, H₂-ready
   gas-fired power plants and electrolysers will serve as variable, system-supporting stabilizers and flexible loads, respectively. With a view to the future use of hydrogen in heat supply, the government will further develop the framework conditions in the GEG, in heat planning, and in the European Gas Market Package.
6. Becoming a Leading Provider of Hydrogen Technologies: German providers should expand their technological leadership. Germany should cover the entire value chain of hydrogen technologies, from production to various applications.
7. Creating an appropriate framework: The government intends to work toward establishing a coherent legal framework at the national, European, and, if possible, international levels. This includes, in particular, efficient planning and permitting procedures, uniform standards and certification systems, and a well-resourced and coordinated administrative apparatus.

The 2020 National Hydrogen Strategy The 2023 Update to the National Hydrogen Strategy

Hydrogen Strategies in Other Countries

An international comparison reveals a wide range of strategic approaches: While European countries such as Germany are primarily focusing on green hydrogen and anticipate significant import needs, countries such as Australia, Chile, and Morocco are positioning themselves as potential exporters due to their favorable conditions for renewable energy. A total of 25 countries have stated their ambition to export hydrogen. Other countries, such as the Netherlands and Italy, are aiming to play a role as transit countries.

Worldwide, the electrolysis capacities that various countries aim to build by 2030 add up to impressive figures: In Europe alone, 17 countries together plan to install approximately 52 GW. There are also different areas of focus when it comes to applications—while some countries are focusing primarily on the transportation sector, others see great potential in industry or energy supply. What most of these strategies have in common, however, is the goal of generating both climate policy and economic benefits by establishing a hydrogen economy.