EU unlocks €6 billion for hydrogen and clean tech in 2025 funding calls
The European Commission has launched two major funding opportunities that could bring over €6 billion to the hydrogen sector and wider clean energy technologies.
The new funding calls include the third European Hydrogen Bank (EHB) auction, with a total allocation of €3 billion, and the Innovation Fund 2025 (IF25) call for Net-Zero Technologies, worth €2.9 billion.
These schemes mark a significant step in scaling hydrogen production, accelerating decarbonisation, and boosting the competitiveness of Europe’s clean tech industries.
European Hydrogen Bank Auction: €3 billion now available
The third EHB auction includes an EU budget of €1.3 billion, topped up by an additional €1.7 billion from national funds — bringing the total to €3 billion for renewable and low-carbon hydrogen.
The auction supports projects in three categories:
- €600 million for renewable fuel of non-biological origin (RFNBO) hydrogen
- €400 million for RFNBO and low-carbon hydrogen
- €300 million for projects with off-takers in the maritime or aviation sectors
Germany and Spain are contributing national top-ups through the Auction-as-a-Service (AaaS) model:
- Germany will invest €1.3 billion to support renewable hydrogen production linked to the Denmark–Germany pipeline and the German Kernnetz.
- Spain will provide €415 million: €278.6 million for renewable hydrogen and €136.4 million for maritime and aviation, in addition to €487.5 million it committed during the previous auction.
What is the Auctions-as-a-Service (AaaS) model?
It allows Member States to “top up” EU auctions with their own national funding while benefiting from the EU’s evaluation system. This helps scale hydrogen projects more efficiently across borders.
The deadline to apply for this auction is 19 February 2026.
Innovation Fund 2025: €2.9 billion for Net-Zero Technologies
The Innovation Fund 2025 (IF25) Net-Zero Technologies call dedicates €2.9 billion to clean tech, including hydrogen production, manufacturing of renewable energy components, and decarbonisation projects. The funding is split across five categories:
- €1 billion for cleantech manufacturing
- €1.2 billion for large-scale projects
- €300 million for medium-scale
- €300 million for pilot projects
- €100 million for small-scale projects
The deadline for this call is 23 April 2026.
What EU leaders say
“By channelling €5.2 billion of EU ETS revenues into net-zero technologies, hydrogen and industrial heat decarbonisation, Europe is not just setting the stage for a greener future and technological leadership but investing in its own future,” said Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition.
“The first-ever pilot auction of the Decarbonisation Bank is delivering on one of the key pillars of the Clean Industrial Deal, opening the way for the €100 billion that is foreseen to be channelled into the decarbonisation of our industry,” said Wopke Hoekstra, Commissioner for Climate, Net Zero and Clean Growth.
“Innovation is the driving force that will power Europe’s journey to net-zero. With this new €5.2 billion call, we are backing the net-zero technologies and industries that will secure Europe’s leadership in the global clean-tech race.
“These investments will help scale up solutions that cut emissions, strengthen our competitiveness, and create sustainable jobs across the continent.”
Hydrogen Europe’s response
Hydrogen Europe welcomed the funding announcement, highlighting both the opportunities and remaining challenges.
“The launch of the 3rd auction and call for grants is excellent news as we continue to support the growth of a decarbonised hydrogen market,” said Daniel Fraile, Chief Policy Officer of Hydrogen Europe.
The organisation praised several changes, including:
- Inclusion of low-carbon electrolytic hydrogen (in line with the Low-Carbon Delegated Act)
- Increased support for maritime and aviation sectors
- Stricter readiness criteria for project applicants, such as equity commitments
- Revised cumulation rules allowing EU funding to support hydrogen consumption OPEX (with safeguards)
However, Hydrogen Europe raised concerns over new resilience criteria based on component origin, warning it may allow circumvention and weaken safeguards for EU industry.
Why it matters
With €6 billion on the table, this marks the EU’s biggest push yet to scale up renewable and low-carbon hydrogen.
The combination of EU-level and national support is also a strong signal to industry — especially as projects must now demonstrate technical maturity and clear demand.
But challenges remain.
The complexity of auction design and the competitive pay-as-bid model means only the most advanced and cost-effective projects will succeed.
Still, with strong coordination and implementation, the EU’s hydrogen strategy just gained serious momentum.
