SPDA urges the EU to exclude blue hydrogen from its upcoming low-carbon hydrogen definition, warning it could divert funding from truly green solutions and undermine global climate commitments.
May 16, 2025. By EI News Network
As the European Union gets ready to finalise its definition of ‘low-carbon hydrogen’ under the upcoming ‘Low Carbon Fuels Delegated Act’ on May 19, the Sustainable Projects Developers Association (SPDA) has raised a red flag.
The group is warning against allowing blue hydrogen, produced from fossil gas using carbon capture and storage (CCS), to be classified as a sustainable fuel.
SPDA, a global clean energy body, argues that such a move would seriously compromise climate goals. While the draft regulation sets climate thresholds, industry experts say it still leaves room for high-emission, fossil-derived hydrogen to qualify for public funding and state support. This, they believe, could undercut investment in truly clean alternatives.
“This decision will set a precedent for global hydrogen policy,” said Shekhar Dutt, Director General of SPDA. “We must not allow fossil-based workarounds to claim the space and capital meant for renewable solutions. Green hydrogen is the only long-term climate solution aligned with India’s and the world’s net-zero ambitions.”
A landmark study by researchers from Cornell and Stanford, published in Recharge News, showed that blue hydrogen could actually have a greenhouse gas footprint 20 per percent higher than burning coal or natural gas directly for heat. One of the key concerns is methane leakage, which is often underestimated. Methane, a highly potent greenhouse gas, is more than 80 times stronger than carbon dioxide over a 20-year time frame, according to the IPCC.
Moreover, capturing carbon itself is an energy-intensive process. Most carbon capture systems still rely heavily on fossil fuel inputs, which undermines their emission-reduction claims. The long-term viability of carbon storage at scale remains largely unproven, raising further doubts about the real benefits of blue hydrogen.
SPDA notes that even after the European Commission’s latest updates to the Delegated Act in April, the framework still needs tightening. It urges the EU to reflect the true climate impact of blue hydrogen by adopting stricter emission values. The association also cautions against allowing offsetting mechanisms like biomethane or fuel blending, which can obscure actual emissions data.
A core concern is the reliance on general assumptions or self-reported data from project developers. SPDA is calling for independent, site-specific verification of emissions performance for all hydrogen projects to ensure transparency and accountability.
The implications of this EU regulation extend far beyond Europe. As a global leader in climate policy, the EU’s definition of low-carbon hydrogen will influence hydrogen strategies and regulatory frameworks in countries like India, Japan, South Korea, and members of the Gulf Cooperation Council. Without clear safeguards, SPDA warns, billions in public funding could be funnelled into fossil-linked technologies, delaying the growth of green hydrogen infrastructure.
Dutt emphasised that every dollar spent on blue hydrogen is a dollar diverted from building a truly resilient, renewable future. He stressed that innovation, not compromise, should define the next phase of the energy transition.
With the May 19 vote approaching quickly, SPDA is urging the EU to take a firm stand in favour of green hydrogen and global climate integrity. “The world is watching,” said Dutt. “What the EU defines today will shape what the world builds tomorrow,” he added.
