Germany has launched a market consultation for a pioneering €400 million ($440 million) green hydrogen auction in partnership with Canada, aimed at accelerating the global hydrogen economy and establishing a transatlantic supply chain. The bilateral initiative—part of Germany’s H2Global mechanism—seeks to address the cost differential between green hydrogen production and end-user affordability by allocating €200 million each from both countries.
The tender will focus on the procurement of renewable fuels of non-biological origin (RFNBOs), specifically green hydrogen and its derivatives produced in Canada for export to Germany. The consultation, announced by Germany’s Federal Ministry for Economic Affairs and Energy (BMWi), is currently open to industry stakeholders. Companies are invited to participate via a detailed questionnaire, with feedback informing the structure and scope of the tender while ensuring alignment with EU state aid rules.
This bilateral initiative stems from a 2024 memorandum of understanding between Germany and Canada and represents a key step in operationalising their clean energy collaboration. At the heart of the mechanism is H2Global, a strategy managed by the non-profit H2Global Foundation. Its subsidiary, HINT.CO GmbH, will be responsible for deploying the funds to mitigate pricing gaps between production costs and consumer willingness to pay—offering market stability and predictability for early-stage hydrogen players.
Unlike previous H2Global auctions, this tender reflects distinct goals specific to the German-Canadian partnership. It focuses on cross-border logistics, long-term offtake agreements, and strategic price signalling, positioning the auction as a template for similar international collaborations.
As Germany pushes forward with decarbonisation and Canada leverages its renewable energy resources, the green hydrogen auction sets a global precedent for bilateral clean energy cooperation. It is expected to significantly contribute to the formation of a commercially viable, international hydrogen market.
Source:
https://fuelcellsworks.com/2025/07/29/news/german-government-launches-consultation-on-400m-green-hydrogen-auction-with-canada