Green Hydrogen Qota Systems - How to Set-up the Policy Framework

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Recording of Thursday, May 08, 2025 | The smarter E Europe Exhibition Program 2025 | Exhibition Program | Language: English | Duration: 11:44 .

Stoff 2 Calls for Swift Adoption of Hydrogen Quota Systems to Transform Germany's Energy Sector

Stoff 2, a German electrolyzer company, is pioneering the hydrogen sector by using surplus electricity to produce green hydrogen. This innovation aims to reduce grid strain and secure industrial supply. Despite Germany's efforts like constructing a 9,000-kilometer hydrogen network, funding challenges persist as current reliance on grants does not effectively promote market growth. The European carbon pricing systems (ETS1 and ETS2) are inadequate for driving new technology adoption due to low prices. Stoff 2 suggests expanding Germany’s Green Hydrogen Quota System beyond transportation into sectors dependent on natural gas through mandatory quotas—a concept supported by government agreements targeting lead markets and quota-based expansions. Implementing these systems requires strategic planning with testing phases while ensuring cost distribution among consumers without deterring investment or imposing excessive penalties when obligations aren't met. The proposal involves managing the quota system via existing gas infrastructure operators who would use virtual balancing similar to Power Purchase Agreements in electricity markets rather than direct physical fulfillment of receiving hydrogen instead of natural gas customers directly receiving it—fostering competition among green gases such as biomethane and blue hydrogen but necessitating careful consideration before introducing correction factors or sub-quotas that could complicate stakeholder adaptation processes further down line discussions around whether this should exclusively cover only certain forms remains open inviting engagement from interested parties online platforms like LinkedIn where Christian encourages ongoing dialogue about advancing projects efficiently addressing any questions raised along way too!

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Speaker

Dr. Christian Friebe
Head of Public Affairs & Projects
Stoff 2

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