Spain launches 1 billion euro green hydrogen project in Huelva

Spain is positioning itself as a major European producer of green hydrogen by leveraging its abundant solar and wind resources. The energy company Moeve, formerly known as Cepsa, has begun construction on the Onuba project in Palos de la Frontera, Huelva. This project serves as the first phase of the Andalusian Green Hydrogen Valley.

The investment exceeds 1 billion euros and will initially feature 300 megawatts of electrolysis capacity. Unlike grey hydrogen, which is produced from natural gas and emits CO2, green hydrogen is created through electrolysis using renewable electricity to split water molecules into hydrogen and oxygen.

Maarten Wetselaar, CEO of Moeve, noted that while Spain has historically lacked oil and gas reserves, its renewable energy potential offers a strategic opportunity to reduce energy dependence and become a key supplier to other European nations.