Bavaria is speeding up the expansion of regional hydrogen production.

Bavaria is investing heavily in the hydrogen future / funding programs for regional hydrogen production, industrial projects and infrastructure / technological leadership and climate protection sought.

Bavaria is speeding up the expansion of regional hydrogen production. To this end, the Council of Ministers today commissioned the design of a new funding program: From 2023, the construction of up to 50 electrolysis plants, each with a minimum output of one megawatt, is to be subsidized with a total of 150 million euros. For an optimal integration of the electrolysers into the energy system, the creation of energy concepts in companies and municipalities is also supported from the funding pot. Through green hydrogen production with short transport routes, the Free State can cover its increasing hydrogen demand and at the same time reduce its dependence on energy imports. In addition, Bavaria demonstrates technological competence and in this way creates competitive and locational advantages for its economy.

The Council of Ministers also gave the go-ahead for Bavaria’s participation in subsidizing large-scale industrial hydrogen projects. Together with the federal government, Bavaria wants to promote projects that map the entire value chain in the field of hydrogen – from generation to transport to use. Funding is provided within the framework of so-called “Important Projects of Common European Interest” (IPCEI). The EU Commission declared in the summer that the funding is compatible with the strict EU rules for business subsidies.
In the next step, the state government will regulate the financing modalities in an administrative agreement with the federal government. The companies can then submit binding applications for funding.

In addition, the Council of Ministers gave the green light to strengthen existing funding programs for hydrogen filling stations and publicly accessible e-charging points. For this purpose, 30 million euros are to be made available in the 2023 budget, subject to the approval of the state parliament. With today’s decisions, the state government is taking further steps towards climate neutrality and strengthening Bavaria’s pioneering role in the field of hydrogen.