Hydrogen in the Reformed EU ETS – Implications for Competitiveness and 
Emissions Reductions

Bruch, Nils; Ueckerdt, Falko; Knodt, Michèle

doi:10.48485/pik.2025.011

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Hydrogen in the Reformed EU ETS – Implications for Competitiveness and Emissions Reductions

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Bruch, Nils
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Ueckerdt, Falko
Potsdam Institute for Climate Impact Research;

Knodt, Michèle
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Ariadne-Analysis_Hydrogen in the EU ETS_June2025.pdf
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Bruch, N., Ueckerdt, F., Knodt, M. (2025): Hydrogen in the Reformed EU ETS – Implications for Competitiveness and Emissions Reductions, (Ariadne-Analysis), Potsdam : Potsdam Institute for Climate Impact Research (PIK), 27 p.
https://doi.org/10.48485/pik.2025.011

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The use of renewable hydrogen is considered an important element for the decarbonization of sectors that are hard to electrify, such as the steel and chemical industry or aviation. However, the volume of renewable hydrogen produced by electrolysis with renewable electricity is relatively small in comparison to conventional fossil-based hydrogen production.