France is looking to launch a second round of its decarbonized hydrogen support scheme, hence offering 250MW of electrolyzer capacity. Eligible bidders will be chosen in early September of 2026, and final bids by the selected bidders must be submitted by the end of the year.
France is to launch the second phase of its national support scheme for renewable and low-carbon hydrogen production, with assistance available for a further 250MW of electrolyzer capacity.
The Directorate General for Energy and Climate – DGEC said that the launch was looming and it hoped to identify suitable candidates in early September. Shortlisted candidates will be asked to provide final bids by the end of 2026.
Managed by the DGEC and administered by ADEME, the program supports hydrogen generated through water electrolysis and utilized directly by industry. The contracts are for 15 years, and bids are limited at a ceiling support price of €4 or $4.67 per kilogram of hydrogen.
First round has €778 million behind three projects
It is well to be noted that France completed the first round of decarbonized hydrogen support scheme in July 2026, offering €778 mn or $856 mn of 15-year support across three projects with 161.4 MW of eligible electrolysis capacity.
Notably, Elyse Energy has been awarded support for 61.1 MW of its proposed 210 MW electrolyzer at the eM-Rhône project located in Salaise-sur-Rhône – Isère. The hydrogen will be utilized to make low-carbon methanol, especially for industrial purposes.
Engie Solutions H2 is building the 5 MW Hydrozère project in Saint-Chély-d’Apcher – Lozère so as to supply decarbonized electrolytic hydrogen to ArcelorMittal steelworks, supplanting the hydrogen that it produces today from natural gas.
FertigHy’s FertHySomme project, which is located at Languevoisin-Quiquery in the Somme, has secured funding for 95.3MW of the planned 200MW electrolyzer. Its hydrogen is going to be used to make ammonia and low-carbon nitrogen fertilizers.
Maud Bregeon, the energy minister confirming the first-round results, said, “I am very proud to announce today the first three winners of the hydrogen production support mechanism. This marks an important step in the realization of the revised national hydrogen strategy presented in April 2025, which aims to make France a European leader in low-carbon hydrogen.”
France still has 550 MW left to award after round two
The program will back almost 1 GW of electrolysis capacity in three rounds, with 200 MW in the first, 250 MW in the second, and 550 MW as far as the third round is concerned. On March 23, 2026, the European Commission granted approval for the French state-aid scheme, having a total budget of €4 billion or $4.67 billion.
The updated hydrogen strategy by France has a national goal of as much as 4.5GW of electrolysis capacity by the end of the decade and 8GW by 2035.