Carbon Price Needs to Triple to Spur Green EU Hydrogen Growth
- BNP Paribas reports on carbon’s role in hydrogen development
- EU Green Deal needs to see industry switch to green hydrogen
Tanks of hydrogen in Mainz, Germany.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
The cost of polluting in the European Union will need to triple to encourage emitters to use hydrogen instead of fossil fuels, according to a report by BNP Paribas Asset Management.
For the bloc to meet its 2050 goal of climate neutrality, emitters in the transport, buildings and manufacturing sectors will have to shift from fossil fuels to clean hydrogen. That switch would need carbon prices at around 79 euros a ton ($92.70 a ton), some 50 euros above the current price, the research said.