Atlantic hydrogen firms welcome €200M EU commitment to back exports to Germany

The European Commission approved a €200-million commitment to support renewable hydrogen production in Atlantic Canada and to unlock matching Canadian funds for fuels destined for Germany, completing a regulatory step in the Canada‑Germany clean hydrogen cooperation.

The European Commission has approved a €200-million commitment to support renewable hydrogen production and related fuels in Atlantic Canada, with the funding intended to unlock matching contributions from the Canadian government for exports to Germany. This decision is described as the EU's final regulatory step to implement a Canada‑Germany joint declaration of intent on clean hydrogen. That pact was signed in western Newfoundland in 2022 by then‑prime minister Justin Trudeau and then‑chancellor Olaf Scholz to reduce Germany's reliance on Russian energy after the invasion of Ukraine. Atlantic Canadian companies and project leaders say the EU action clarifies demand signals as some developers seek contracts and environmental approvals. Key details: - The EU commitment is €200 million, reported as about $323 million Canadian. - The funding is meant to support renewable hydrogen and derivatives produced in Canada that would be exported to Germany, and it will unlock matching Canadian government funds. - Auctions for Canadian suppliers to obtain rights to supply Germany are scheduled for 2027, with up to 300 megawatts of capacity on offer; the EU estimates that amount could avoid almost 2.5 million tonnes of CO2. - Everwind Fuels has projects on Newfoundland's Burin Peninsula and in Point Tupper, Nova Scotia, and its CFO said offtake agreements with European buyers are needed before major construction begins. - Abraxas Power, in a joint venture for a Botwood, N.L., plant, plans the Exploits Valley project to produce about 180,000 tonnes of hydrogen and roughly one million tonnes of green‑certified ammonia annually. - Some earlier wind‑to‑hydrogen proposals in Newfoundland and Labrador have been withdrawn or refocused toward wind power, and project timelines have shifted. Summary: The EU funding decision is intended to strengthen the commercial link between Atlantic Canadian producers and German buyers and to mobilize matching Canadian funds. The next steps reported include the 2027 auctions for supply rights, ongoing pursuit of offtake contracts by developers, and companies seeking required environmental approvals, with construction timelines dependent on those outcomes.