Green hydrogen is consolidating its position as one of the strongest bets for decarbonizing heavy industry in Spain. The large plant planned for the Escombreras Valley in Cartagena has passed a key hurdle by receiving a favorable Environmental Impact Statement (EIS) from the Autonomous Community of the Region of Murcia. This administrative step paves the way for the construction of a 100-megawatt (MW) facility that will produce renewable hydrogen through water electrolysis.
The project, promoted by Cartagena Hydrogen Network (CHYNE)—a company jointly owned by Repsol and Enagás Renovable— is shaping up to be one of the most significant in southern Europe and forms part of the country's strategy to reduce its dependence on fossil fuels. The Environmental Impact Assessment (EIA), published in the Official Gazette of the Region of Murcia, establishes a series of environmental conditions that the developer must meet before starting construction.
A multi-million dollar investment to produce renewable hydrogen
The future plant will have a capacity of 100 MW and will require an investment exceeding €300 million , according to sources consulted. It is estimated that the facility will generate around 900 jobs, including direct, indirect, and induced employment, creating new job opportunities in green hydrogen plants during the construction and operation phases. Annual renewable hydrogen production will be around 15.000 tons, which will initially be used to replace the gray hydrogen used in the refining processes at the Cartagena refinery.
The process will be based on pressurized alkaline electrolysis, a mature technology that breaks down water into hydrogen and oxygen using renewable electricity . The hydrogen obtained will reduce CO₂ emissions associated with fuel production, while the generated oxygen can be used within the industrial complex itself. The project has been recognized as an Important Project of Common European Interest (IPCEI) under the Hy2Use program and has received €155 million in public funding through the Recovery, Transformation and Resilience Facility.
Environmental conditions and next steps
The favorable Environmental Impact Statement is not unconditional. Authorization is subject to compliance with a series of measures related to water consumption, soil quality, waste management, noise control, and the protection of archaeological heritage. Annual water consumption has been estimated at 332.000 cubic meters, which will come from the Taibilla Canals Association network, and the Segura River Basin Authority has confirmed that there are sufficient resources to meet this demand.
Regarding the land, previous studies detected the presence of total petroleum hydrocarbons above certain reference values, which necessitated a specific risk assessment and a soil investigation . The Administration concluded that the risk is compatible with industrial use but imposed an environmental monitoring program. No objections were submitted during the public consultation period, although Ecologists in Action expressed concern about water consumption and the risks of hydrogen storage. The Environmental Impact Assessment (EIA) is valid for four years before the project can begin, and it is expected to be operational by the end of 2029.
Hydrogen as a strategic vector for Europe
Beyond the Cartagena project, green hydrogen is becoming a key element in Europe's decarbonization strategy. Several reports and statements from industry leaders agree that this energy source is fundamental for reducing emissions in industries that are difficult to electrify , such as steel, chemicals, and the production of sustainable fuels. Europe's dependence on fossil fuel imports—nearly 60% of energy demand is met through imports—has highlighted the need to promote domestic and renewable energy sources.
Spain, for its part, boasts natural advantages such as abundant sunshine and wind, as well as a low population density that facilitates the deployment of renewable energy. Eighty percent of existing gas pipelines are equipped to transport hydrogen , allowing for the utilization of the existing network. However, the sector's development requires a stable regulatory framework that incentivizes investment and guarantees the economic viability of projects. The combination of projects like the one in Cartagena with European policies such as the Renewable Energy Directive (RED III) lays the groundwork for green hydrogen in Spain to become a cornerstone of the energy transition.
The Cartagena plant represents a tangible step towards that goal, demonstrating that the technology and financing are available to scale up renewable hydrogen production. With a multi-million euro investment, the backing of the IPCEI (Spanish Institute for the Promotion of Industrial Conservation), and environmental approval, this project is poised to become a benchmark for industrial decarbonization in Spain and Europe, as the continent seeks to strengthen its energy sovereignty and reduce its carbon footprint.
