Hydrogen: Council Calls for Swift Implementation of EU Law and Coordinated Action for Networks, Industry and Investors

The Council has today adopted conclusions on the special report of the European Court of Auditors on the EU’s industrial policy on renewable hydrogen. The conclusions welcome the report, call for swift implementation of the EU’s regulatory framework, encourage development of an interconnected transportation network, and call on the European Commission to take measures that support both the competitiveness of EU industry and security of investment.

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Milestones towards clean hydrogen

The Council conclusions adopted today follow an in-depth analysis of the Special Report on the EU’s industrial policy on renewable hydrogen. The report evaluates the Commission’s effectiveness in creating the right conditions for the emerging renewable and low-carbon hydrogen markets. The report assesses the EU’s policy communications and legislative proposals (i.e., the Hydrogen Strategy of the EU, the REPowerEU Plan, the Renewable Energy Directive (RED III), the ReFuelEU Aviation Regulation, the FuelEU Maritime Regulation, the Net-Zero Industry Act, and the Gas Package), as well as funding programmes aimed at developing the hydrogen value chain.

The conclusions note that the Council and the European Parliament have already adopted important legislative proposals (i.e., the Gas and Hydrogen Package and the Net-Zero Industry Act), which will help the EU reach its energy and climate objectives and strengthen the competitiveness of the EU’s strategic net-zero industry. However, for these legislative acts to contribute to the emergence of the European hydrogen ecosystem, it is important that the existing legal framework is implemented swiftly.

The conclusions attach particular importance to Member States’ national energy and climate plans when considering EU-level targets for the production and import of hydrogen.

According to the conclusions adopted today, the interconnection of European networks will be of great importance for facilitating cross-border hydrogen transportation and storage, and for linking producers and buyers.

The conclusions urge the Commission to consider the recommendations of the European Court of Auditors’ report and to follow up with coherent actions, while striking the right balance between ensuring a competitive edge for European industry on the one hand and investor security on the other.

Background

When the European Court of Auditors publishes a special report, the Council drafts conclusions with a view to finding solutions to the problems raised.

The European Court of Auditors’ special report entitled ‘The EU’s industrial policy on renewable hydrogen - Legal framework has been mostly adopted - time for a reality check’ was adopted on 17 July 2024.

• Council conclusions on the European Court of Auditors’ Special Report No 11/2024: ‘The EU’s industrial policy on renewable hydrogen - Legal framework has been mostly adopted - time for a reality check’, 5 November 2024

• Special report 11/2024: The EU’s industrial policy on renewable hydrogen | European Court of Auditors

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