Activities of Mauri PEKKARINEN related to 2023/2123(INI)
Shadow opinions (1)
OPINION on the European Hydrogen Bank
Amendments (38)
Amendment 6 #
Draft opinion
Recital B a (new)
Recital B a (new)
Ba. whereas hydrogen based and hydrogen-derived synthetic fuels offer great potential to reduce climate emissions and enable the progress of the green transition; whereas the EU is now aiming for a 70 percent share by 2050 for various green aviation fuels, including synthetic fuels.
Amendment 7 #
Draft opinion
Recital B b (new)
Recital B b (new)
Bb. whereas creating functioning hydrogen markets actions addressing both supply and demand is required.
Amendment 8 #
Motion for a resolution
Recital B
Recital B
B. whereas hydrogen can be used as a feedstock, a fuel or an energy carrier and has the significant potential to decarbonise hard-to- abate industries and heavy transport;
Amendment 8 #
Draft opinion
Recital B c (new)
Recital B c (new)
Bc. whereas the member states have the possibility to use their national revenues from the emissions trading system and other sources to launch national, competitive auctions for renewable hydrogen production.
Amendment 9 #
Motion for a resolution
Recital B
Recital B
B. whereas hydrogen can be used as a feedstock, a fuel or an energy carrier and has thea significant potential to decarbonise hard-to- abatsectors like industriesy and heavy transport;
Amendment 9 #
Draft opinion
Recital B d (new)
Recital B d (new)
Bd. Whereas other financial instruments alongside auctions which contribute to supporting the European hydrogen market are needed to promote especially small-scale breakthrough projects based on the use of green, renewable and emission-free hydrogen.
Amendment 28 #
Motion for a resolution
Recital F a (new)
Recital F a (new)
Amendment 29 #
Motion for a resolution
Recital F a (new)
Recital F a (new)
Fa. whereas apart from hydrogen production, it is also necessary to expand on hydrogen distribution networks and other relevant transport infrastructures in order to avoid bottlenecks;
Amendment 39 #
Draft opinion
Paragraph 5 a (new)
Paragraph 5 a (new)
5a. Calls for highlighting excellence in auctions and considering only the non- subsidized price; calls for ensuring that the competitiveness of technologies is evaluated without external financial support.
Amendment 40 #
Draft opinion
Paragraph 5 b (new)
Paragraph 5 b (new)
5b. Acknowledges that in the current market situation, there should be flexibility in the application of the restrictions of different financing systems, for instance IPCEI funded projects, in order to make the first wave of hydrogen projects economically viable worldwide.
Amendment 41 #
Draft opinion
Paragraph 5 c (new)
Paragraph 5 c (new)
5c. Highlights that hydrogen production requires significant amounts of water in the process; recalls that there exists a shortage of clean water in many areas; points out that when evaluating the suitability of high-end projects for auction, projects that pose even the slightest risk to the availability and purity of water should be excluded from the auction
Amendment 42 #
Draft opinion
Paragraph 5 d (new)
Paragraph 5 d (new)
5d. Highlights that state aid maximums given as state aid or as support through EU financial instruments must be comparable and the basis shall be transparent; calls for common practices for supporting projects to be emphasized in the hydrogen policy; stresses that projects of the same type must be treated in the same way, regardless of the member country.
Amendment 43 #
Draft opinion
Paragraph 5 e (new)
Paragraph 5 e (new)
5e. Notes that the Commission estimates the necessary market premium to be up to €5 per kilogram of hydrogen produced; stresses that quick and effective actions are needed to create functioning, competitive markets to drive down such high premium level.
Amendment 44 #
Draft opinion
Paragraph 5 f (new)
Paragraph 5 f (new)
5f. Highlights that the production of renewable energy increases volatility in the electiricty markets; stresses that active measures are needed in the EU area in the electricity storage and demand; considers that hydrogen produced by nuclear power brings predictability and stability to the market;
Amendment 45 #
Draft opinion
Paragraph 5 g (new)
Paragraph 5 g (new)
5g. Highlights the need to create a stable and less fluctuating price path for renewable hydrogen; considers that stability gives confidence to potential investors and stakeholders and encourages them to commit resources and funds to hydrogen-related projects.
Amendment 46 #
Draft opinion
Paragraph 5 h (new)
Paragraph 5 h (new)
5h. Emphasizes that the auctions should increase competition in the internal market by supporting emerging companies like startups and SMEs to enter the market and in doing so also supporting the regionally balanced development of the European hydrogen market.
Amendment 52 #
Motion for a resolution
Paragraph 3
Paragraph 3
3. Considers that, to secure the EU’s industrial sovereignty in a context of open strategic autonomy, the EHB should strongly prioritisesupport ramping up domestic production;
Amendment 54 #
Motion for a resolution
Paragraph 3 a (new)
Paragraph 3 a (new)
3a. Notes that a predictable and less volatile price path is necessary to create investment certainty for indispensable investments in hydrogen production and hydrogen infrastructure;
Amendment 56 #
Motion for a resolution
Paragraph 3 b (new)
Paragraph 3 b (new)
Amendment 57 #
Motion for a resolution
Paragraph 4
Paragraph 4
4. Underlines that hydrogen production via electrolysis is water- intensive, and that clean water is already in short supply in many regions; points out that, in assessing the suitability of premium projects at auction, projects which pose the slightest risk to the availability and cleanliness of water must be excluded from the tendering procedure; calls on the Commission and the Member States to pay specific attention to resource efficiency and to the Water Framework Directive, in particular for regions at risk of drought;
Amendment 61 #
Motion for a resolution
Paragraph 5
Paragraph 5
5. Emphasises that Hydrogen Valleys play an important role in fostering innovation and contributing to the local economy; notes that a Hydrogen Valley is defined as a geographical area – a city, a region, an island or an industrial cluster - where several hydrogen applications are combined into an integrated hydrogen ecosystem, including hydrogen production, transportation, storage and use in industry, mobility and buildings; notes that, for the purpose of the European Hydrogen Bank, European Hydrogen Valleys qualify as such if they have received funding from the Clean Hydrogen Partnership under the Horizon Europe Hydrogen Valley calls or if they are listed on the Mission Innovation Hydrogen Valleys Platform;
Amendment 66 #
Motion for a resolution
Paragraph 5 a (new)
Paragraph 5 a (new)
Amendment 73 #
Motion for a resolution
Paragraph 6 a (new)
Paragraph 6 a (new)
6a. Points out that the EU money provided by the EHB is to be managed by emission allowances based on ETS revenue and the proceeds from their sale; points out that the size of the Innovation Fund will depend on the market price of allowances; takes the view that, as the Innovation Fund already provides funds for many other purposes, the EUR 3 billion for the EHB should also be secured in the Innovation Fund’s own regulations;
Amendment 89 #
Motion for a resolution
Paragraph 9
Paragraph 9
Amendment 92 #
Motion for a resolution
Paragraph 9
Paragraph 9
9. Stresseuggests that the design of future auctions should restrictmainly concentrate on the sale of renewable hydrogen to hard-to- abate industries and heavy transport; , while also keeping an eye on other potential applications in the market;1a _________________ 1a The market should remain as open as possible in the beginning.
Amendment 95 #
Motion for a resolution
Paragraph 9 a (new)
Paragraph 9 a (new)
9a. Stresses that the restriction of hydrogen use only to hard-to-abate industries and heavy transport will hamper the fast ramp-up of the hydrogen market; stresses the importance of an open and market-based framework;
Amendment 100 #
Motion for a resolution
Paragraph 10
Paragraph 10
10. Asks the Commission to not only consider price, but also to include a clear system of bonus points for the ranking of bids; notes that such a system should reward bids that deliver the highest level of sustainability or lead to significant job creation and promote high-quality traineeships and the reskilling or upskilling of workers; , increase competition in the internal market by supporting emerging companies (start-ups/SMEs) to enter the market, and/or support a regionally even development of the European hydrogen market; 2a _________________ 2a It is important that also other factors than pricing are considered. However, the bonus points should be granted in a clear manner to projects that support the market creation. For instance, the creation of high-quality traineeships is not a clear criterion and does not directly support the market development.
Amendment 101 #
Motion for a resolution
Paragraph 10
Paragraph 10
10. Asks the Commission to not only consider price, but also to include a clear system of bonus points for the ranking of bids; notes that such a system should reward bids that deliver the highest level of sustainability or lead to significant job creation and promote high-quality traineeships and the reskilling , increase competition in the internal market by supporting emerging companies (start-ups/SMEs) to enter the market, and/or supskilling of workersport a regionally even development of the European hydrogen market;
Amendment 111 #
Motion for a resolution
Paragraph 11 a (new)
Paragraph 11 a (new)
11a. Points out that EHB funding should only be allocated to European clean hydrogen production;
Amendment 117 #
Motion for a resolution
Paragraph 12
Paragraph 12
12. Welcomes the Commission’s idea of launching the concept of ‘auctions as a service’; considers that this could lower the administrative costs for the Member States; Recognises that, in the current market situation, there should be flexibility when applying restrictions on the cumulation of different funding schemes (e.g. IPCEI & EHB), in order to make the first hydrogen projects economically viable in the global context;3a _________________ 3a It is important not to apply the cumulation rules too strictly in the current market situation. For instance, IPCEI funding granted by Member States is not automatically sufficient to make the business cases of projects economically viable as not all Member States have the funds to cover the entire funding gap notified by the Commission.
Amendment 119 #
Motion for a resolution
Paragraph 12 a (new)
Paragraph 12 a (new)
12a. Notes that the effectiveness of the ‘auctions as a service’ concept in reaching the fundamental goal of maturing the European hydrogen economy has yet to be proven; asks the Commission to conduct an extensive study after the first auction into the EHB effectiveness, the macro-economic and industrial consequences, and take subsequent action;
Amendment 134 #
Motion for a resolution
Paragraph 15 a (new)
Paragraph 15 a (new)
15a. Stresses that some regions of the world have much better conditions for the production of renewable hydrogen due to an abundance of space and renewable electricity; stresses the mutually beneficial nature of energy partnerships with third countries; stresses the need for hydrogen diplomacy;
Amendment 138 #
Motion for a resolution
Paragraph 16
Paragraph 16
16. Recalls that the CBAM will apply to hydrogen; calls on the Commission to deliver a robust certification scheme for imports of renewable hydrogen, equivalent to the rules applying to domestic production; calls on the Commission to ensure that the inclusion of hydrogen in the CBAM does not lead to burdensome bureaucratic processes and therefore hinder hydrogen imports to the EU;
Amendment 147 #
Motion for a resolution
Paragraph 17
Paragraph 17
17. Urges the Commission to prepare guidelines with clear criteria for the selection of producers from non-EU countries that would be eligible for support, based on geopolitical risks, alignment with EU values and commitment to sustainabilitythe Sustainable Development Goals and EU values;
Amendment 162 #
Motion for a resolution
Paragraph 19
Paragraph 19
19. Takes note of the budget of EUR 3 billion for the EHB that was announced in the 2022 State of the Union address; calls on the Commission to significantly increase this budget;
Amendment 178 #
Motion for a resolution
Paragraph 21 a (new)
Paragraph 21 a (new)
21a. Expresses concern that industries are currently dealing with a patchwork of different financial support instruments for the production of hydrogen; calls on the Commission to make the EHB an one- stop-shop for the financing of hydrogen;
Amendment 181 #
Motion for a resolution
Paragraph 22 a (new)
Paragraph 22 a (new)
22a. Notes that according to the draft design of the pilot auction, the realisation period after the funding commitment until the start of hydrogen production is set at 3.5 years with a 6 months transition period; suggests that, due to unpredictable events like long delivery times for electrolysers or permitting problems, an extension of the realisation period to at least 5 years should be considered;
Amendment 190 #
Motion for a resolution
Paragraph 23 a (new)
Paragraph 23 a (new)
23a. Stresses that attention should be given to the creation of a robust EU market regulatory framework for hydrogen in order to establish a well- functioning market for hydrogen, which in turn supports price discovery and risk transfers;