Contracts for Difference plan in the National Budget
Last night the political parties AP, SP and SV agreed on the National budget of Norway. Ocean Hyway Cluster is thrilled to see the budget includes a plan for introducing Contracts for Difference (CfD) for hydrogen.
CEO Kristin Svardal has high expectations to the plan for CfD.
The Norwegian Parliament Stortinget will ask the Government to come up with a plan to introduce a CfD system for hydrogen in 2023. CEO of Ocean Hyway Cluster, Kristin Svardal, is excited about this signal:
“The price of zero-emission fuels will initially be higher than the price of conventional fuels. The industry and the consumers can’t take the cost alone. Contracts for Difference are key to realising zero-emission shipping. It is important to introduce these contracts as soon as possible – we have no time to lose”, says Svardal.
External study expected in March
The Norwegian Government has initiated an external study of how the state can contribute to building a value chain for hydrogen with low or no emissions. The study will address the most important advantages and challenges related to hydrogen production in Norway and opportunities for export. It will shed light on various scenarios for further development of a hydrogen market and assess the need to use enhanced instruments. Oslo Economics, together with SINTEF, Greensight and NTNU, has been chosen as the supplier of the study. The final report from the study is expected in March 2023.
Foto: Benjamin A. Ward/Stortinget
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