New EU energy platform will enhance security of supply and enable decarbonisation

The Commission’s new digital hub, launched by the EU under Regulation (EU) 2024/1789, is designed to help European companies secure critical resources while accelerating the transition to a low-carbon economy. It will serve as a central marketplace for energy and raw materials, starting with the launch of its first mechanism – the hydrogen mechanism. 

Garrett Monaghan, renewable energy expert at Pinsent Masons, said: “The mechanism will enhance security of supply while also enabling the decarbonisation of sectors such as industry and transport where reducing carbon emissions is both difficult and urgently needed.”

The hydrogen initiative, launched on 2 July, will match suppliers of hydrogen and its derivatives, such as ammonia, methanol and electro-sustainable aviation fuel, to offtakers, building on the success of the AggregateEU platform that achieved similar goals within the gas market. The platform will also perform a number of other services, such as displaying information about available financing solutions as well as collecting and using market data to assess supply and demand. The hub will also use market insights to support the development of infrastructure for hydrogen transport and storage, providing a platform for assessing potential interest in infrastructure projects.

By aggregating and matching supply and demand, it is hoped that the hydrogen mechanism will help firms identify infrastructure needs, access financial solutions, and build long term partnerships. The first round of matching supply and demand is planned for September, and the mechanism is authorised to operate under the European Hydrogen Bank until 31 December 2029.

The hydrogen mechanism is just the first step, with the Commission set to roll out additional tools in the coming months. This includes a raw materials mechanism - to help industries secure access to essential minerals and metals – and the gas mechanism – to support the transition from natural gas to renewable gases like biomethane. These mechanisms will be integrated into the same online hub.

Stakeholders can now register on the platform and subscribe to the hydrogen mechanism, with the Commission encouraging companies of all sizes – from energy producers to industrial consumers – to participate.

The platform is part of the EU’s broader strategy to reduce dependency on fossil fuels and to meet its climate neutrality target by 2050.