The Ministry for Ecological Transition and Demographic Challenge (MITECO) approved the second call under its Renoval scheme, which will draw on the country’s post-Covid recovery funds.

Under the scheme, hydrogen technologies like electrolysers and fuel cells will be able to claim up to 15% of eligible costs, up to €150m ($175m) per project aimed at converting existing manufacturing lines.

Spread into two incentive programmes, aimed at supporting small businesses and larger firms, projects will be able to stack the incentives with other EU programmes provided those schemes do no cover the same costs.

Projects will also need to add social and environmental benefits, as well as job creation.

However, hydrogen projects will be competing against “all types” of clean technologies, including solar, wind, batteries, heat pumps, biogas, grid, hydroelectric, and more.

Applications are open until 25 February.

The funding call is part of Spain’s broader ambition to position itself as a European hydrogen hub, leveraging strong renewable resources, port infrastructure, and rising domestic demand.

In 2024, the government unveiled plans to see green hydrogen meet 74% of its industrial hydrogen demand by 2030 and treble its installed electrolyser capacity target to 12GW.

Major companies, including Repsol and Moeve, have since reached final investment decisions on large-scale hydrogen projects.