Racine advises Elogen on the clearance by the European Commission of 5.4 bn € State aid for a pan-European project in the hydrogen sector
Racine advises Elogen, one of the French leaders in PEM electrolysis and a GTT group company, in connection with the European Commission’s clearance of State aid totalling € 5.4 billion for an important project of common European interest (IPCEI) in the hydrogen sector.
The European Commission approved on 15 July 2022 the State aids granted by 15 European Member States, including France, to 35 participants in order to create a complete European hydrogen industry. This is the first wave of IPCEI projects approved in this sector. It is also the largest IPCEI ever approved to date in terms of number of participants and amount of aid.
The participating companies represent an important link in the value chain of the hydrogen sector insofar as they conduct projects that aim at developing the technologies necessary for (i) the generation of hydrogen (ii) fuel cells (iii) storage, transportation and distribution of hydrogen and (iv) end-users applications, notably in the mobility sector.
Elogen’s project consists, on the one hand, in increasing the intensity of its R&D to develop innovative stacks of electrolysers with proton exchange membranes, and, on the other hand, in building, in France, a factory allowing the industrialisation of these stacks.
Racine assisted Elogen to obtain State aid clearance before the European Commission.
Racine’s team was led by Bastien Thomas, partner, assisted by François Aubin, Cécilia Pataut and Lisa Ménétrier, associates.
The IPCEI in a few words
When private initiatives for innovation cannot materialise because of the high risks involved in such projects, the IPCEI communication of the Commission allows Member States to jointly fill the gap to overcome these market failures and stimulate the implementation of innovative projects that would otherwise not have been possible.
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