Wedoany.com Report-Nov 18, MIBGAS Derivatives, the Iberian gas futures market operator, and DH2 Energy, a green hydrogen developer and producer, have launched the first auction for the purchase of renewable hydrogen on the Iberian market. The process began on the 15 November with the publication of the documentation on the public MIBGAS website for those interested in participating in the open auction.

The auction is aimed at all companies interested in acquiring renewable hydrogen, both nationally and internationally, without restrictions on the type of application for the hydrogen. Different lots will be offered depending on the volume of supply and the duration of the contract, starting from a base price for each lot.

The first phase is the pre-qualification phase. The next phase will be the qualification stage, and subsequently, there will be another phase solely for the qualified companies to submit their bids. This final phase will be competitive. As a result, the companies that present the best offers and are selected, along with DH2 Energy, will negotiate the final agreements bilaterally, which may lead to the corresponding contracts.

Participants will be able to submit bids to purchase the renewable hydrogen generated by DH2’s Hysencia plant. The plant is in Aragón and construction is expected to begin in mid-2025, with operations anticipated to commence in 1H27.

The Hysencia plant, with an electrolysis capacity of 35 MW, 49 MW of photovoltaic power, and 10 MW of grid connection is a pioneering initiative that was a winner in the first European auction, funded by the Innovation Fund under the umbrella of the EU Hydrogen Bank. Hysencia, which obtained integrated environmental approval earlier in 2024, is one of the first commercial green hydrogen projects on the Iberian Peninsula. The renewable hydrogen produced by Hysencia will help decarbonise the industrial and mobility sectors.

The chairman of MIBGAS, Raúl Yunta, is hopeful that projects like these will stimulate an emerging market essential for the decarbonisation process and energy transition. He stated: “At MIBGAS we are convinced of the potential that green hydrogen has, and projects like Hysencia are crucial to start laying the foundations for a renewable hydrogen market. We are delighted to help drive decarbonisation by developing the green hydrogen market”.

For his part, the managing director of DH2 Energy, Marcos López-Brea Baquero, added: “For the first time, the operator behind the Iberian market is launching an auction for renewable hydrogen, and it does so with the production from DH2 Energy’s Hysencia plant, which will serve as a benchmark in the sector. This auction marks a milestone for the development of renewable hydrogen, and we are confident that it will help stimulate demand and advance the establishment of a stable market for renewable hydrogen”.