Spain's Regulatory Shift Ignites Green Hydrogen Ambitions

Spain's decision not to extend the windfall tax on energy companies allows Moeve to advance its green hydrogen project. The initiative, aiming for 2 gigawatts of hydrogen production by 2030, marks a strategic shift towards sustainable energy. Moeve's CEO supports the move, facilitating industry investment.

Spain's recent decision to forego an extension of the energy windfall tax is paving the way for Moeve, the country's second-largest oil company, to expedite its flagship green hydrogen project. This comes after a parliamentary rejection of key decrees presented by the minority left-leaning government, including the contentious 1.2% windfall tax targeting energy giants.

The tax, implemented in late 2022, affected energy businesses generating over one billion euros in turnover. Maarten Wetselaar, Moeve's Chief Executive, underscored that regulatory challenges had hindered industry growth. The tax's removal now provides a green light for investment and advancement in the sector.

Moeve is pushing ahead with its ambitious project, planning to produce 2 gigawatts of green hydrogen by 2030 in southern Spain. The project aligns with Europe's broader strategy to reduce dependency on fossil fuels and Russian energy, supported by the European Commission's renewable hydrogen targets.

(With inputs from agencies.)