The Netherlands – The Netherlands is taking proactive steps to accelerate its transition to a greener future by offering substantial incentives to climate technology manufacturers.
The Ministry of Economic Affairs and Climate has unveiled a consultation plan aimed at providing financial support, including a significant subsidy of up to €50 million ($54 million) per company investing in electrolyser factories.
At the forefront of this initiative is the promotion of green hydrogen projects, which play a pivotal role in reducing carbon emissions and advancing sustainable energy solutions. The proposed subsidy covers 15% of eligible costs for facilities involved in producing electrolysers and critical components essential for green hydrogen infrastructure. These components include electrodes, membranes, compressors, storage tanks, heat exchangers, hydrogen detectors, and purification systems.
Tailored support
Recognizing the importance of regional development, the Dutch government offers enhanced support for factories located in EU-approved regional aid areas. In such regions, the subsidy increases to 20%, further incentivizing investment in climate technology manufacturing.
The subsidy scheme provides additional benefits for small and medium-sized enterprises (SMEs). Small companies with a maximum of 50 employees and a turnover or balance sheet of up to €10 million could receive up to 25% of eligible costs. Meanwhile, medium-sized enterprises, defined by a maximum of 250 employees and specific financial thresholds, stand to gain a subsidy of up to 30%.
Balancing investment
While the proposed incentives offer substantial financial support, the Dutch government has set a cap of €50 million per company to ensure responsible fiscal management. This limit aims to balance the need for investment with prudent budgetary considerations.
With the consultation set to conclude on March 3, 2024, the Dutch government is on track to roll out the electrolyser and hydrogen equipment subsidies in the second quarter of the year.
