The role of hydrogen economy in the REPowerEU plan

On 8th of March 2022, European Commission proposed an outline of a plan to reduce Europe’s dependence on fossil fuels from Russia and respond to the rising energy prices. The plan aims to reduce usage of Russian gas by 66% in the EU market.

REPowerEU aims to make Europe independent from Russian gas based on two verticals: first vertical focuses on more renewable gases thus diversifying the supply and the second vertical aims to expedite clean energy transition by increasing PV and offshore wind capacity.

A hydrogen accelerator is proposed as part of the first pillar to significantly increase the production of hydrogen, developing an improved infrastructure and giving EU member states access to renewable hydrogen.

Already today, hydrogen is an important part of the global energy transition. Green hydrogen is considered the main enabler for the green transition. Hydrogen can be used for many purposes. It is utilized in many industrial processes, for different products and also as a fuel in transportation. In the future, green hydrogen can be utilized as a carrier and storage of renewable energy. Green hydrogen can be considered a new tool for decarbonizing industrial processes and the energy sector.

Countries around the world are preparing their own hydrogen strategies and securing their spots in the upcoming hydrogen ecosystems. Finland is not preparing its own hydrogen strategy, but hydrogen will have a crucial part in the forthcoming climate and energy strategy. It is vital to open a serious conversation about what hydrogen could mean for Finland’s climate and export targets.

Hydrogen Cluster Finland has published a white paper last year to clarify Finland’s strengths and weaknesses in view of the aim to develop a competitive hydrogen value network and business environment in Finland. The fundamental strength in Finland is a clean, modern, and highly reliable electric power system. In addition, there are extensive sector coupling opportunities to integrate hydrogen across industries and energy sector to create a highly optimized, cost-efficient hydrogen economy.

To reach the ambitious target of climate neutrality in Finland by 2035, new innovations, investments and collaboration are needed to promote the hydrogen economy in Finland. This will not only help us reach our climate targets, but also attract investments in Finland and create a totally new export industry. CLIC will be coordinating the Hydrogen and Carbon Value Chains in Green Electrification project funded by Business Finland aiming to create comprehensive understanding of market, regulation, techno-economic, sustainability and security factors in developing value chains for green hydrogen, through various case studies.

As part of the GreenE2 ecosystem managed by CLIC, we are updating the research and market roadmaps for four focus areas of Hydrogen, P2X& CCU, sector integration and system efficiency. If you are interested in shaping the hydrogen economy and infrastructure in Finland, join our market shaping event on May 17th and contribute to the focus area of Hydrogen. You can sign up for the event here.


REPowerEU: Joint European action for more affordable, secure and sustainable energy, Press release:

REPowerEU: Joint European Action for more affordable, secure and sustainable energy, Communication from the commission to the European parliament, the European council, the council, the European economic and social committee and the committee of the regions:

Factsheet on REPowerEU:

Hydrogen Cluster Finland White Paper


Merie Kannampuzha, RDI Manager, CLIC Innovation
Pia Salokoski, Head of Co-Innovation, CLIC Innovation