Leaked EU Draft Would Scrap Hydrogen Mandates for EU-Wide Target
A leaked European Commission impact assessment working document for the upcoming Renewable Energy Directive, RED IV, signals a potentially significant shift in renewable fuels policy after 2030. The draft's "preferred pacage" would replace binding national renewable hydrogen mandates with a more flexible EU-wide target, while giving greater room to crop-based biofuels and favoring advanced…
A European Commission draft for the upcoming Renewable Energy Directive, RED IV, suggests a major change in renewable fuels policy after 2030, potentially scrapping binding national hydrogen mandates in favor of an EU-wide target. This shift would give more flexibility to crop-based biofuels and favor advanced biofuels made from European feedstocks, while emphasizing energy security, cost, and national flexibility alongside emissions reduction.
For hydrogen, three policy pathways are outlined for the post-2030 period. The preferred option replaces binding national mandates with an indicative EU-wide renewable hydrogen consumption target of 8 million tonnes for industry and refineries by 2040. This could significantly impact the European hydrogen market, potentially concentrating production in lower-cost regions but risking separate pockets of development.
For biofuels, the draft supports energy security by proposing a common 7% EU ceiling for crop-based biofuels, which could increase eligible conventional biofuel volumes by around 30% and preferentially treat advanced biofuels produced from EU-sourced feedstocks.
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