H2.B: The driving force behind the ramp-up of the hydrogen economy in Bavaria

Bavaria has set itself the target of becoming climate-neutral by 2040, five years ahead of Germany as a whole. One key element to achieving this is through the ramp-up of the Bavarian hydrogen economy. The pathway is outlined in the “Bavaria Hydrogen Roadmap”, published by the Hydrogen Centre Bavaria (H2.B) in 2022 which Hubert Aiwanger, Bavarian Minister of Economic Affairs, Regional Development and Energy praised as “an outstanding stimulus for the climate-friendly revamping of our economy”.

Advising on policy is only one of many tasks performed by the Centre which was established by the Bavarian government in 2019. “Inform, advise, network – that’s our mission”, says H2.B Managing Director Dr. Fabian Pfaffenberger.

For instance, the Centre brings together experts from business and science, organises events, advises on matters like subsidies and technologies, and prepares market analyses. The H2.B also coordinates the Hydrogen Alliance Bavaria, a networking and knowledge platform consisting of 366 (as of June 2024) hydrogen players from industry, science, and politics with a registered office in Bavaria Furthermore, the H2.B organises exchanges and cooperations with other initiatives and institutions, both nationally and internationally.

Bavaria – a world leader in hydrogen research and technology

Bavaria offers outstanding conditions for ramping up the hydrogen economy. “Our state has a world-leading research landscape in the field of hydrogen”, Pfaffenberger explains. “One indication of that is the large number of applications for patents in the hydrogen field.” He points out that international rankings place Germany, and especially Bavaria, among the world’s most innovative regions for hydrogen. Also, the state’s manufacturers are very well positioned. “We have numerous companies in Bavaria that are technological leaders in the hydrogen sector”, Pfaffenberger adds.

For a successful ramp-up of the Bavarian hydrogen economy however, the demand for climate-friendly hydrogen is not growing as fast as it should right now. “Many companies are hesitating to convert their equipment and processes to hydrogen”, says Pfaffenberger. He sees multiple reasons for that –unclear regulatory frameworks, the rising costs of technologies and capital, the German government’s wavering policies on funding and regulation, and some doubts about the energy carrier’s availability in the near future.

So, Pfaffenberger calls for a more reliable political framework and wishes potential offtakers to be more daring. “We need more willingness to take risks, more willingness to innovate!” According to Pfaffenberger this will pay off for companies. “It will give them a head-start over the competition, both nationally and internationally.”

Text: Hydrogen Centre Bavaria, H2.B, Blog Article, Dr. Fabian Pfaffenberger