Hungary
Green Hydrogen Vision
Hungary is positioning itself as a key player in the green hydrogen revolution, leveraging its strategic location, robust energy infrastructure, and commitment to sustainability to accelerate the transition to a low-carbon economy. Recognizing the potential of green hydrogen as a cornerstone for achieving climate neutrality, the Hungarian government has outlined ambitious goals to integrate this clean energy source across sectors. Hungary's vision focuses on using its renewable energy capacity, particularly solar and wind, to power electrolysis technologies that produce hydrogen without carbon emissions. The country aims to develop a comprehensive hydrogen ecosystem that includes production, storage, distribution, and utilization in transportation, energy generation, and manufacturing industries.
Efforts are underway to establish hydrogen corridors, promote fuel-cell technology, and support public-private partnerships to drive innovation and investment. As part of the European Union's Green Deal and Hydrogen Strategy, Hungary collaborates with neighbouring countries to create a transnational hydrogen network that fosters regional energy security and reduces dependency on fossil fuels. These initiatives align with Hungary’s environmental objectives and enhance its economic competitiveness by creating jobs, attracting green investments, and reinforcing its role in the global energy landscape. With continued focus and strategic planning, Hungary is poised to become a leader in adopting and scaling green hydrogen technologies.
National Strategy
Hungary's 2021 National Hydrogen Strategy outlines a roadmap for transitioning to a hydrogen-based economy to achieve decarbonization, enhance energy security, and support economic growth. The vision focuses on developing a sustainable hydrogen ecosystem leveraging green hydrogen produced through renewable energy sources like solar and low-carbon alternatives for immediate needs. Central to the strategy are targeted R&D, industrial collaboration, and policies fostering the hydrogen value chain to maintain economic competitiveness and environmental commitments.
The strategy prioritizes clean hydrogen adoption across key industry, transportation, and energy sectors. It promotes industrial decarbonization by replacing high-emission "grey" hydrogen with low-carbon and green hydrogen, emphasizing its use in petrochemical, chemical, and steel industries. For transportation, the focus is on introducing hydrogen fuel cells for heavy-duty vehicles, buses, waste collection, and establishing refuelling infrastructure. Seasonal energy storage through hydrogen and integration into the natural gas network is essential for enhancing energy resilience.
A robust regulatory framework, international collaboration, and public-private partnerships are identified as critical enablers for the hydrogen economy. Hungary plans to establish hydrogen valleys, or regional hubs, to demonstrate integrated hydrogen ecosystems and attract investments. Education and R&D initiatives are highlighted to build local expertise and develop innovative technologies, ensuring long-term success in domestic and export markets.
Beyond 2030, the strategy anticipates widespread adoption of hydrogen in diverse sectors like transportation, cement, and steel production. It emphasizes scaling infrastructure and international partnerships to integrate Hungary into the European hydrogen economy. The strategy commits to periodic reviews to adapt to technological advancements and ensure alignment with global trends in clean energy transition.
Capacity Targets
Hydrogen Production:
By 2030, Hungary aims to produce 36,000 tonnes/year of hydrogen:
- 20,000 tonnes/year of low-carbon hydrogen (blue/turquoise).
- 16,000 tonnes/year of green and other carbon-free hydrogen.
- Electrolyser capacity target of 240 MW by 2030.
Industrial Applications:
Use of 24,000 tonnes/year of hydrogen for industrial applications:
- 20,000 tonnes/year of low-carbon hydrogen.
- 4,000 tonnes/year of green and carbon-free hydrogen.
Transportation:
- 10,000 tonnes/year of green and carbon-free hydrogen for transportation by 2030.
- Deployment of 20 hydrogen refuelling stations with 40 refuelling points.
- Introduction of 4,800 hydrogen-powered vehicles.
Energy Storage and Infrastructure:
- Integration of hydrogen into the natural gas network with a 2% blending ratio by 2030.
- Development of hydrogen valleys to demonstrate ecosystems for hydrogen production, storage, and use.
Impact Targets
Carbon Emission Reductions:
- Avoid 95,000 tonnes of CO2/year in industrial processes by 2030.
- Avoid 130,000 tonnes of CO2/year in transportation by 2030.
Sectoral Decarbonization:
- Initial use of low-carbon hydrogen for petrochemical, chemical, and industrial heat applications.
- Gradual transition to green hydrogen by 2050 for fully decarbonized industrial processes.
- Expand hydrogen applications to cement, steel, and transportation industries post-2030.
Economic and Technological Development:
- Establish two hydrogen valleys by 2030 to support regional hydrogen ecosystems.
- Increase electrolyser manufacturing and hydrogen-related technology production, targeting domestic and regional markets.
Policy and Project Spotlight
- A Hungarian company operating refineries, petrochemical sites, and service stations across Central and Eastern Europe has unveiled plans to start commercial operations of a 10-MW green hydrogen production plant in Százhalombatta, Hungary. Based in Budapest, MOL Group announced that this facility, which will harness electricity from renewable sources, is projected to generate 1,600 tonnes of hydrogen annually. With an investment of €22 million ($23.45 million), this Danube Refinery plant will be the region's most significant green hydrogen facility. The company highlighted that this project is a key component of the Group's long-term corporate strategy, called SHAPE TOMORROW, which focuses on achieving carbon neutrality and fostering sustainability.
- The Hungarian Ministry of Innovation and Technology has released a new tender titled "National Hydrogen Infrastructure Development Program." Published on October 10, 2024, this tender invites submissions until December 15, 2024. This initiative will help Hungary's transition to green energy and lower carbon emissions through hydrogen solutions. The main goal of this tender is to create a strong hydrogen infrastructure that enables the production, storage, and use of hydrogen in various sectors across Hungary. The government aims to collaborate with organisations that can provide innovative hydrogen production solutions, particularly emphasising green hydrogen generated from renewable energy sources. Applicants must showcase their expertise in hydrogen technology development and execution. The tender highlights the necessity for scalable, cost-effective solutions that fit within existing energy frameworks. Projects should focus on improving the efficiency and reliability of hydrogen production and distribution systems, ensuring economic sustainability.
Financing
Priority Projects (Estimated Subsidy Requirements by 2030):
- Green Truck Programme: HUF 35–40 billion.
- Green Bus Programme Plus: HUF 10–20 billion.
- Hydrogen Valleys: HUF 10–15 billion.
- Hydrogen Highway Project: HUF 20–30 billion.
- Blue Hydrogen Project (industrial decarbonization): HUF 20 billion.
- R&D and Innovation: HUF 10 billion.
International Collaboration and EU Support:
- Participation in EU-level hydrogen initiatives (e.g., IPCEI projects and Horizon Europe).
- Explore synergies through partnerships and hydrogen corridor development.
Domestic Investment:
- Promote private sector involvement and SME participation in hydrogen technology manufacturing and service provision.
- Establish regulatory and financial support systems to attract investment in hydrogen production and infrastructure.
Hungary’s Hydrogen Strategy envisions transitioning from grey to low-carbon and green hydrogen production while integrating hydrogen into critical sectors, supported by robust R&D, international partnerships, and targeted funding.
Government Green Hydrogen Lead
Ministry of Energy
Ministry of Innovation and Technology