Dutch Hydrogen Policy Update Shows More Work to be Done

On the 23rd of September, the Dutch cabinet published its parliamentary letter outlining the progress in and planned next steps for its hydrogen policy. The letter provides details on the policy directions for the hydrogen sector, including imports specifically. This includes the realisation of critical infrastructure like Hynetwork, the pipeline backbone connecting major industrial and ports clusters, features prominently. For more details on the discussion surrounding the amortisation structure for Hynetwork, you can click here. The pipeline is one of several important subjects that will shape the hydrogen economy in the Netherlands.

Demand stimulation

Key to the maturing of this hydrogen economy is the establishment of stable, reliable and long-term demand. The parliamentary letter highlights some of the efforts undertaken by the Dutch government to this end. Earlier this year, the cabinet presented a legislative proposal to parliament on annual obligations for renewable fuels of non-biological origin (RFNBOs). This proposal was meant as a contributor to the European targets set for all member states of RNFBO-usage of 42% in 2030 and 60% in 2035 for industry. The initial aim was to bring the new legislation into force per January 1st, 2027, but this has now been postponed to January 1st, 2028. A subsidy scheme (called STIHWI) that has been developed in parallel to stimulate the use of RFNBO-hydrogen in industry is now intended to be opened in the second half of 2027. Given wider uncertainty on the realisation of the RFNBO targets set, both on the domestic and the European level, such delays risk negating steadily building momentum in the hydrogen sector. Both the near- and the long-term outlook for mandated demand are now unclear, which negatively impacts the investment willingness of companies.

The role of hydrogen import

The letter recognises the role import will play in diversification, security of energy supply and industrial competitiveness for the Netherlands and Europe. The government is committed to the development of the needed regulatory framework, infrastructure, instruments and energy diplomacy to enable such imports. The letter explicitly mentions a growing interest in the transport of liquid hydrogen, with a reference to the Oman value chain H2A-member EcoLog is developing with partners from India, Oman, Japan, the Netherlands and Germany. Parties active in the import sector have advocated for financial support for the delivery of import projects. This was captured during the World Hydrogen Summit earlier this year, when an import coalition, which included H2A-members EcoLog, Evos, North Atlantic, Port of Amsterdam and Silverpeak, offered the Hydrogen Trade Agenda to Minister Van Veldhoven. The letter references the deployment of the H₂Global mechanism to stimulate hydrogen imports, which auctions purchase contracts. Additionally, the letter outlines that the government will explore the ways to support the realisation of import infrastructure. The government commissioned TNO to perform an assessment on the preconditions to secure sufficient import capacity. On the back of this TNO-report, the cabinet will explore which policies could contribute to the realisation of international import supply chains. The results are expected to be presented in spring 2027.

Supply and demand deserve equal attention

The reiterated focus on imports and the realisation of sufficient infrastructural capacity is warmly welcomed by H2A. As indicated by Minister Van Veldhoven in the parliamentary letter, imports are vital to ensure energy security, industrial competitiveness and diverse energy flows, creating a more robust energy system. The announced step to further explore ways to support import projects comes not a moment too late, if the Netherlands and Europe as a whole want to take advantage of the strategic and economic value imports can bring. Import infrastructure will significantly bolster the supply side, but the demand side is equally important. Wavering legislation would jeopardise the realisation of projects at a critical juncture for the hydrogen sector. H2A is therefore a big proponent of a clear stance by the Dutch government on mandated demand, both in the near- and the long-term, and a high sense of urgency, so that the market can bank and act on guaranteed consistency.