Spanish utility Naturgy Energy Group SA and gas grid operator Enagas SA are poised to receive a EUR 42 million (USD 45.1 million) grant from the European Union to support their La Robla green hydrogen project in the region of Castile and Leon, Spain.
The European Commission has proposed the project for funding under the Innovation Fund, and the Robla Hub joint venture (JV), consisting of Naturgy and Enagas Renovable, the renewable gases unit of Enagas, has been invited to formalize the grant agreement.
First introduced nearly a year ago, the La Robla green hydrogen production plant is part of a plan to invest approximately EUR 485 million. The plant is expected to feature up to 280 MW of electrolysis capacity and will be situated on the site of Naturgy's now-closed La Robla thermal power plant, set to be fully dismantled by 2024. The project also includes the installation of several solar farms in municipalities around La Robla to power the electrolysers.
The La Robla green hydrogen initiative plays a vital role in the decarbonization of mobility and industrial processes, particularly for fertiliser producer Fertiberia. Fertiberia, a proponent of the funding proposal, is anticipated to become the primary off-taker of green hydrogen from the future plant, according to Monday's announcement.