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2024

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French government agrees €149m grant for large green hydrogen project at industrial port

Author:

Hydrogeninsight


 

Lhyfe is in talks with Yara for potential offtake via Le Havre fertiliser plant

 

The French government has confirmed a €149m ($161.7m) grant for developer Lhyfe’s planned 100MW green hydrogen project at the industrial port of Le Havre.

 

The proposed facility had been included as one of the EU’s Important Projects of Common European Interest (IPCEIs), which allows major state aid to be allocated.

 

However, last month's IPCEI notification listed 200MW of electrolysis capacity for Lhyfe in France — suggesting that another 100MW of projects are still under negotiation for state aid.

 

Lhyfe notes in a press release that the green hydrogen facility, scheduled to begin operations in 2028, would be located near fertiliser giant Yara’s own ammonia plants next to the port in Le Havre.

 

The two firms are in discussions for potential offtake to decarbonise Yara’s fertiliser production, although no agreements have yet been signed.

 

Additionally, Lhyfe notes that it has not yet secured operating and construction permits, while a final investment decision has not been taken.

 

The French developer has also not disclosed details on how it will source power for the Le Havre facility, although its start date would be two years away from when the EU’s Delegated Acts defining “renewable” hydrogen switch from monthly to hourly matching between H2 production and renewable electricity.

 

While the Le Havre project would be Lhyfe’s largest in France, it had last year announced plans to build an 800MW facility in Germany, scheduled to start operations in 2029 with an eye toward supplying the country’s national network of pipelines.

 

Source:Hydrogeninsight

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