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Status: Planned – Last reviewed: 30 September 2026

IF26 Hydrogen Auction: €500 Million for Renewable and Low-Carbon Hydrogen

The IF26 Hydrogen Auction is the fourth auction under the European Hydrogen Bank. The Commission plans to launch it in December 2026 with a budget of up to €500 million raised from the auctioning of EU Emissions Trading System allowances.

The auction is divided into two topics and supports production of renewable fuels of non-biological origin (RFNBO) hydrogen and electrolytic low-carbon hydrogen.

National contributions may top up the auction budget via the Auction-as-a-Service (AaaS) feature.

What the IF26 Hydrogen Auction Funds

The auction supports hydrogen production through a competitive bidding process. It is the fourth in the European Hydrogen Bank series.

The Two Auction Topics

TopicSuggested budgetScope
Topic #1€350 millionProduction of RFNBO hydrogen
Topic #2€150 millionProduction of RFNBO hydrogen and/or electrolytic low-carbon hydrogen

Topic #2 accommodates projects producing either RFNBO hydrogen, electrolytic low-carbon hydrogen, or both.

How the Auction Works

MechanismDetail
Award mechanismCompetitive bidding
Support typeTo be defined in Final Terms and Conditions
Payment basisPer unit of hydrogen produced over the support period (subject to final T&Cs)
Budget€500 million planned

Applicants submit bids through the auction platform. The current Commission page states that, following the public consultation, feedback will be considered towards the final design of the auction. The final Terms and Conditions should be linked here once published.

Compare with the IF26 Heat Auction.

Consultation and Terms and Conditions

Draft Terms and Conditions were published on 9 July 2026. A seven-week public consultation concluded on 8 September 2026 with an open webinar. The Commission will consider feedback received towards the final design of the auction.

Timeline

DateMilestone
9 July 2026Draft Terms and Conditions published
8 September 2026Public consultation concluded (webinar)
December 2026Auction planned to launch
February 2027Auction planned to close (expected)

Always verify current dates in the official Terms and Conditions.

Preparing a hydrogen production project for the IF26 Hydrogen Auction?

All Innovation Fund calls

FAQ

What does the IF26 Hydrogen Auction fund?

Production of RFNBO hydrogen and electrolytic low-carbon hydrogen.

What is the budget?

€500 million planned, raised from the auctioning of EU ETS allowances.

How is the budget split?

Topic #1: €350 million for RFNBO hydrogen. Topic #2: €150 million for RFNBO hydrogen and/or electrolytic low-carbon hydrogen.

What is RFNBO hydrogen?

RFNBO stands for renewable fuels of non-biological origin – hydrogen produced from renewable sources that are not biomass-based.

When does the Hydrogen Auction open and close?

The Commission currently plans the auction to launch in December 2026 and close in February 2027. Verify the final dates in the published Terms and Conditions.

What is Auction-as-a-Service?

A mechanism allowing national contributions to top up the auction budget using the Innovation Fund’s process.

IF26 Hydrogen Auction scope, timelines, eligibility and funding routes depend on the official Terms and Conditions and European Commission decisions. This page is for general information and does not constitute legal advice or a guarantee of funding.

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