30 JUN 2023

Iberdrola España's green hydrogen project in Huelva will be promoted by the Andalusian Project Accelerator Unit

  • Overall, the initiative will create around 3,600 jobs and an investment of 1.15 billion euros
  • Its objective is to concentrate in Huelva the largest green hydrogen production, transformation and consumption pole in Spain


Iberdrola España's 200 MW electrolyser green hydrogen project will be promoted by the Project Accelerator Unit, an entity created by the Government of Andalusia in 2019 to streamline, promote and coordinate projects considered important for the community. 

Iberdrola España's green hydrogen plant will have a production capacity of 23,000 tonnes of hydrogen per year by 2026. This initiative will mean the creation of more than 1,000 jobs and an investment of 450 million euros.

The objective of this plant, included in Iberdrola España's 800 MW project selected by the IPCEI Hy2Use initiative as a Major Project of European Interest, is to develop the 100% green hydrogen value chain, i.e. without any CO2 emissions. 

This plant, the central axis of the Puerta de Europa Cluster, will enable the concentration in the industrial area of Huelva, specifically in the town of Palos de la Frontera, of the largest centre in Spain for the production, transformation and consumption of green hydrogen, with the clear objective of decarbonising industry and heavy transport. 

Associated with this project, Iberdrola España will build Europe's first green ammonia plant, which will enable the export of renewable energy from southern Europe in the form of green derivatives through the Green Hydrogen Maritime Corridor established between Spain and the Netherlands. 

To market green ammonia and distribute it to end customers, Iberdrola España has signed agreements with Trammo (the world's largest ammonia trader) and ACE Terminal in the Port of Rotterdam, where a terminal will be built for the reception, storage and distribution of green ammonia.

In addition to the hydrogen plant, the initiative included in the Project Accelerator Unit contemplates the development by Iberdrola Renovables of 1,000 MW of photovoltaic plants in the province of Huelva. Iberdrola Renovables already has a 420 MW photovoltaic plant in the province, with administrative authorisation. This renewable development will involve an additional investment of 700 million euros.

Industrial decarbonisation

Committed to the energy transition towards a low-emission economy, Iberdrola España is pursuing the goal of driving the decarbonisation of industry through real green hydrogen projects. With three plants operational in 2023 and 60 projects under development in eight countries, it aims to respond to the electrification and decarbonisation needs of sectors such as industry and heavy transport.

Of note among the plants the company has in operation is the Puertollano plant, the largest green hydrogen production system in Europe (20 MW). Located in Ciudad Real, it is made up of a 100 MW photovoltaic solar plant, a lithium-ion battery system with a storage capacity of 20 MWh.

Renewable impulse

Andalusia is one of Iberdrola España's most promising regions. An example of this is that this is the third time that the Project Accelerator Unit has promoted the company's projects. In 2021, eight renewable facilities, seven photovoltaic and one wind, with a total capacity of 995 MW, an investment of 640 million euros and the generation of 2,100 jobs, were selected by the Andalusian entity. 

The company's second package of projects was included in June 2022. The initiative involves the hybridisation of energy facilities through the construction of photovoltaic plants next to existing wind farms in the provinces of Huelva, Granada, Cadiz and Almeria. With a combined capacity of 820 MW, they represent an investment of 500 million euros and the creation of 2,755 jobs.

With a renewable capacity of 1,000 MW, the company is the leading wind power developer in the region and is present in seven of its eight provinces. In addition, it currently has more than 170 MW under construction through three photovoltaic plants (Poleo, Cornicabra and Espliego) belonging to the Guillena project, in the Sevillian municipality of Castiblanco de los Arroyos, and the Cespedera plant in Medina Sidonia.