Enova has announced its largest-ever allocation for maritime transport in a single application round, focusing on hydrogen and ammonia technologies.
Norway’s Minister of Climate and the Environment, Bjelland Eriksen, emphasized the critical importance of addressing climate change in shipping to achieve national climate goals. He praised the significant milestone of today’s funding, describing it as a substantial step forward. “I look forward to seeing what the industry can achieve in the future,” he remarked.
The competition for funding was fierce, resulting in a record allocation within Enova’s history. Nine projects involving hydrogen vessels and six involving ammonia vessels will collectively receive NOK 1.2 billion in support. The awarded companies include Höegh Autoliners, Amon Maritime (for ammonia), and HALTEN BULK AS, Napier AS, Møre Sjø AS, and Maris Fiducia (for hydrogen).
Nils Kristian Nakstad, CEO of Enova, highlighted the broader implications of the funding. “Enova aims to establish a functioning market for zero-emission sea transport. By supporting these vessels, we are stimulating demand for alternative fuels. This program also sets the stage for future support in hydrogen production, marking a significant shift in scale towards sustainable maritime solutions,” he explained.
The next application deadline for the Hydrogen and Ammonia in Vessels programs is September 27th.
The announcement was made today during an event for the maritime industry at DNV and the Green Shipping Programme at Høvik, attended by Minister of Climate and Environment Andreas Bjelland Eriksen.
Facts about Enova’s support for hydrogen and ammonia in vessels:
- The programs “Hydrogen in vessels” and “Ammonia in vessels” were launched in December 2023 and had an application deadline of March 22, 2024. The purpose of the programs is to establish the first functioning value chains for ammonia and hydrogen for maritime purposes.
- The programs aim to reduce barriers for actors using hydrogen and ammonia as fuel in vessels, so that the first functioning value chain for hydrogen and ammonia in Norway can be established.
- The programs support projects investing in new or converted hydrogen and ammonia vessels.
- The application and processing process was carried out according to the requirements under “competitive bidding,” which imposes strict process requirements.
- Applications that met the qualification criteria were ranked based on cost-effectiveness (70 percent) and project maturity (30 percent). This way, the projects that can most effectively realize the operation of vessels with hydrogen and ammonia will be ranked highest in the competition.
- Projects can receive support for up to 80 percent of approved additional costs, an increase from the previous 40 percent. The increased support rate is made possible by new state aid regulations that came into effect in Norway in December 2023. The increase in support requires a minimum 25 percent CO2 reduction in the project compared to a similar fossil project.
- The competition mobilized applications from 45 projects, of which 13 applications were from eight unique companies in the hydrogen program and 32 applications from 11 companies in the ammonia program.
- The next application deadline for the Hydrogen and Ammonia in vessels programs is September 27 at 12:00.
