China's standards, various subsidies, job creation, and LOHCs

The clean hydrogen standards that have undoubtedly received the most attention globally have been those set by the EU. These have been set under frameworks such as ‘RED III’ and the much-argued ‘Delegated Acts’, and describe rules for renewable (green) hydrogen and, more recently, ‘low-carbon’ alternatives (e.g. ‘blue’ hydrogen).

Now another of hydrogen’s key locations, China, “has unveiled the draft version of its 2025 Clean and Low-Carbon Hydrogen Evaluation Standard”. This is the country’s own mechanism to create “enforceable carbon-intensity thresholds for hydrogen production”.

Tellingly, there is “a clear bid to align with international expectations, especially the EU's renewable fuels of non-biological origin (RFNBO) framework” – the benefit of which would be the ability of “Chinese hydrogen to meet export requirements in Europe and beyond”.

This is a big deal, given that “over 60% of China’s hydrogen output is currently derived from coal gasification” (and just 2% is ‘green’). Aside from the planet-friendlier outcomes this new, enforceable standard should help achieve, the government undoubtedly hopes it will “build investor confidence” and thus “catalyse private sector investment”.