In an interview with Hydrogen Insight, Aitor Arzuaga, president of BH2C, emphasises the importance of cooperation between local governments and industry for the development of green hydrogen in Europe.

In an interview with Hydrogen Insight, Aitor Arzuaga, president of the Basque Hydrogen Corridor (BH2C), has highlighted the importance of regional cooperation between industry and public authorities in overcoming the challenges facing green hydrogen across the EU. Aitor Arzuaga argues that EU strategies may not reflect Europe’s geographical diversity and, therefore, European policies alone will not be sufficient for the roll-out of hydrogen infrastructure and technology across all regions. Local authorities have the capacity to design financial and governance mechanisms that work for their specific industrial base, adapting the sector to regional opportunities. It therefore makes sense for the public sector and private industry in Europe’s regional manufacturing hubs to collaborate on developing ecosystems centred on renewable energy that comply with EU regulations, whilst being tailored to the specific needs of manufacturers in that region. To illustrate the importance of this partnership, Aitor Arzuaga explains the relationship between the regional government and Basque industry in creating a hydrogen ecosystem in Bizkaia: the Basque Hydrogen Corridor. He notes that, thanks to the region’s fiscal autonomy, it was possible to boost business investment in the hydrogen ecosystem through a local system of transferable tax credits. This has enabled companies investing in eligible decarbonisation technologies to receive tax credits even if their projects were not yet generating a profit.

Source: Hydrogen Insight