Meeting the European Commission’s planned mandates for green hydrogen in 2030 would increase electricity demand by 17% at a time when power prices are already at an all-time high, according to the independent non-profit organisation Transport & Environment (T&E).

This would increase pressure on electricity demand at a time when energy prices are at an all-time high, T&E says.

As part of its ‘Fit for 55’ package, the European Commission put forward several proposals for boosting the use of renewable hydrogen.

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This includes a 2.6% target for renewable fuels of green hydrogen and e-fuels to be used in transport, as well as replacing 50% of grey hydrogen (hydrogen produced from fossil fuel gas) used in industry.

Equivalent electricity consumption of France

An analysis by the group finds that the EU’s green hydrogen plan would increase demand for renewable electricity by almost one-fifth of overall electricity demand in 2030.

This is the equivalent of the electricity consumption of France (500 TWh).

“The European energy grid is gradually decarbonising with more renewables and less fossil fuel, coal and gas-powered electricity.

"But without additional renewables tied to hydrogen targets, the EU’s plan will likely result in renewables being diverted from the grid and undercut the emissions savings from electric vehicles by making the grid dirtier,” the group states.

“With gas the most-common marginal fuel to plug gaps, this strategy would be punishingly expensive with high gas prices,” it continues.

Twice as high as needed

Electricity and energy manager at T&E Geert Decock said: “The EU is playing a high-risk hydrogen strategy. We do need hydrogen for ships and planes, but it is reckless to heap unnecessary pressure on wind and solar when clean electricity will be needed to power the growing number of electric cars and heat pumps for homes.”

The commission for hydrogen in transport is almost twice as high as what is needed for ships and planes during this period, says T&E.

Geert Decock says: “The EU must ensure that any hydrogen production is coupled with new renewable energy generation. Otherwise, today’s high gas and electricity prices will feel like a bargain compared with what’s to come.”

The group supports a lower target of 1.6%.