EU approves P2X Solutions and Solar Foods projects

Business Finland will make the final funding decisions for the Finnish projects in autumn 2022.

The European Commission has selected the projects of P2X Solutions Oy and Solar Foods Oy for a new European value chain for the hydrogen economy, which will boost clean hydrogen production and develop new uses for hydrogen.

In all, projects in 13 Member States will receive public support of up to € 5.2 billion. This public support is also expected to generate private investments of € 7 billion.

The Commission approved projects for the first value chain in July 2022, including Neste Oyj’s project on clean hydrogen technology. These Important Projects of Common European Interest (IPCEI) are subject to separate and lighter state aid rules under which the states can support companies more flexibly than usual.

The Commission aims to produce 10 million tonnes of clean hydrogen by 2030. The objective of the approved projects is to generate cross-border cooperation between companies in the Member States. Cooperation is needed for Europe to become a leading player in producing and exploiting hydrogen at the industrial level.

In the second application round, the Commission selected projects that support the introduction of the first hydrogen value chain and the construction of related infrastructure. The projects selected from Finland promote the production of renewable hydrogen and carbon dioxide capture and their processing and innovative use.

P2X Solutions Oy’s project promotes carbon neutrality and environmental objectives in both industry and transport by producing green hydrogen and renewable synthetic fuels. P2X Solutions will construct 70 MW of green hydrogen production capacity in its project and a methanation plant to produce renewable synthetic methane. The company is constructing a 20 MW green hydrogen and synthetic methane production plant in Harjavalta.

Meanwhile, Solar Foods produces protein by utilising carbon dioxide and renewable electricity. Solar Foods is constructing the first industrial-scale factory where the hydrogen technology used is completely new. The project’s first stage is a demonstration plant, Factory 01, to be built in Vantaa.

The 35 projects now approved by the Commission include 29 companies operating in one or more Member States. SMEs and start-ups are also involved. The projects will support the government’s objective to achieve a carbon-neutral Finland by 2035.

Minister of Economic Affairs Mika Lintilä, said, “Now, if ever, Europe must invest in producing renewable hydrogen and its innovative use. Finland has a long record in supporting investments in hydrogen economy. I am pleased that more Finnish projects are now part of the European cooperation.”

Zohaib Ali

Zohaib is the editor of H2 Bulletin. Please click on the email icon to contact me if you want to talk about a news.
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