Topsoe's secures €94 mn from EU for 500 MW solid oxide electrolyzer factory

Danish firm Topsoe has signed a grant agreement with EU's Innovation Fund for a total of €94 million, in recognition to the company's solid oxide electrolyzer cells (SOEC) factory that is currently underway in Herning, Denmark. 

The 500 MW facility is claimed as "the biggest investment till date" for the company, and will manufacture advanced, energy efficient SOEC that are essential in the production of green hydrogen and its derivatives. The plant is expected to be operational by 2024. 

The latest funding is part of EU's emissions trading scheme (ETS), the Innovation Fund grant, which targets to aid the deployment of about 40 GW of hydrogen electrolyzer installation and 10 million tonnes of green hydrogen production by 2030. 

Roeland Baan, CEO at Topsoe, commented on the development, "I'm very proud that the Innovation Fund acknowledges our technology leadership and our decision to take the first steps in increasing European electrolyzer manufacturing capacity". 

He further added, "EU funding is key in supporting the industry's endeavors to back the green hydrogen economy and contribute to EU's 2050 climate neutrality target. We're facing an immense task to decarbonize energy-intensive industries and long-distance transportation, and at Topsoe we're doing our part. This grant from the EU demonstrates how public incentives and private innovation can bring us closer to net zero."

When used to produce green hydrogen, electrolyzers from Topsoe's factory will reduce emissions by approximately 7.5 million tonnes of CO2 equivalent over the first ten years of operation when compared to hydrogen produced from natural gas, according to the company.

"The energy transition demands careful use of resources to maximize outputs, and our SOEC technology is up to 30 percent more efficient than competing technologies", said Kim Hedegaard, CEO Power-to-X at Topsoe. Our Herning factory is hopefully the first of many, enabling Topsoe to take a leading role in decarbonizing shipping, aviation, steel, and more industries, he added.

Topsoe's modular design operates at significantly higher temperatures compared to other electrolyzer technologies, suited for industrial-scale production of green hydrogen using renewable electricity, the company adds.