Prime Minister Pedro Sanchez said on Monday his cabinet will approve a new decree today to regulate the first four of 11 green hydrogen projects, and will approve a €74m ($79.12m) initial subsidy, according to reports.

The market competition for renewable hydrogen production has become increasingly fierce. Spain strives to become a ‘green hydrogen bank’ in Europe and targeting the completion of 4GW of green hydrogen by 2030.

Its favourable natural gas storage and transportation system, coupled with plenty of sunshine and windy hillsides, gives Spain advantages in green hydrogen production. By 2050, Spain is expected to export green hydrogen to many international markets.

However Spain will be eager to ensure its hydrogen expansion goes smoother than its solar development, as investors over an earlier green energy boom claim to be owed millions over state incentives that were later withdrawn by Madrid.

At a micro and macro level, there is no shortage of activity. Confirmation of the H2Med pipeline last month, linking France, Spain and Portugal, provides an opportunity to build a ‘European hydrogen backbone’, according to Ursula von der Leyen, President of the European Commission.

It will be the first major hydrogen corridor for the European Union, and carry 10% of hydrogen consumption, equating to around 2m tonnes per year. The cost will be around €2.5bn.

Read more:  H2Med hydrogen pipeline can build ‘a European hydrogen backbone‘

The Port of Valencia, Spain is set to host its first hydrogen tests for its refuelling station this month, as it looks to introduce hydrogen-powered operations. H2 View understands hydrogen loading tests will begin on the Hydrogen Generator, a supply station for the energy carrier, located on the Xità quay.

Cepsa will produce green hydrogen at its San Roque Energy Park (Cádiz) by reusing recycled water from a wastewater treatment plant (WWTP), it announced shortly before Christmas. The company has reached an agreement with the public company Aguas y Servicios del Campo de Gibraltar (Arcgisa) for the supply of recycled water from the urban effluents of the municipalities of San Roque and Los Barrios at its industrial facilities.

The agreement marks another step in the development of Cepsa’s Andalusian Green Hydrogen Valley, the largest green hydrogen project in Europe which will be located at its Energy Parks in Huelva and San Roque, and is backed by a €3bn investment.

Connecting Green Hydrogen Europe (CGHE2023) 2023 – ‘Advancing Towards Europe’s Green Hydrogen Roadmap’ – will take place between July 5-6 at Riu Plaza España Madrid, it was announced today.

The conference will unite the hydrogen value chain to focus on developing solutions and innovations for low-carbon hydrogen production, efficient storage and distribution, and applications in various stationary and mobile applications in Europe.

The Oil & Gas & IPP will include ENGIE, Enel Green Power, Shell, Bp, TotalEnergies, E.ON, ACCIONA, Repsol, Iberdrola, Air Liquide, EDP Renewables, Snam, Enagás, INEOS, Galp, Vattenfall, Naturgy, RHI Magnesita, BASF, Aperam, Hynamics, OMV, Hive Energy, EWE AG, Messer SE & Co. KGaA, PGNiG SA, Axens, PRF, H2 Green Steel, Verbund, and Nortegas Energia Grupo among others.