en.Wedoany.com Reported - Spain's Ministry for Ecological Transition and the Demographic Challenge, through its Renoval 2 program, has allocated €17.8 million from the EU's Recovery, Transformation and Resilience Plan to support four hydrogen companies. This funding comes from a Spanish €162 million economic recovery investment plan related to the pandemic.

Madrid-based Quantum Hydrogen, a specialist in hydrogen storage and transportation, is the largest beneficiary, receiving €9.3 million to expand its manufacturing capacity. Nano4Energy, which produces carbon-coated products for PEM fuel cells, ranks second with €3.9 million, also for capacity expansion. The European subsidiary of U.S. electrolyzer manufacturer Electric Hydrogen received €2.6 million; the company had previously indicated it might invest in building local manufacturing capacity in Europe. PEM fuel cell developer Kinergy Fuel Cell also received €655,000 in funding.

According to funding requirements, each company must use the funds within two years of approval, in line with the technical, financial, and operational objectives specified in their applications. Miteco stated that the Renoval 2 program has provided funding to a total of 40 companies, aiming to help them comply with the EU's Clean Industrial Deal, a key strategy to enhance industrial competitiveness and accelerate the transition to a climate-neutral economy. The funding also seeks to strengthen Spain's overall industrial value chain. Previously, Miteco had granted a total of €439.4 million in production subsidies to three green hydrogen projects that failed to secure support from the European Hydrogen Bank.

Although Spain remains one of Europe's most ambitious green hydrogen markets, with plans to install 12 GW of electrolyzer capacity by 2030, it still faces challenges such as insufficient offtake demand and delays in infrastructure construction, similar to many European countries.