European Commission’s forthcoming proposal for an Industrial Accelerator Act (IAA) represents a key opportunity to create the market conditions needed for low-carbon industrial production to compete at scale.

The latest draft risks falling short on its ambitions, by largely limiting demand-side measures to public sector procurement and support schemes, and potentially making low-carbon requirements optional rather than a default requirement. That is why, Hydrogen Europe and 39 other organisations have issued a joint statement calling for the inclusion of stronger lead market measures for low-carbon products. 

The statement calls for a more robust and predictable framework to create demand at scale, including:  

• Applying lead market measures across a wider range of industrial sectors;
• Providing  EU-wide, harmonised and performance-based product standards;  
• Implementing mandatory green public procurement, with complementary low-carbon and EU/EEA origin requirements;
• Creating a durable private demand through demand-side mandates and financial de-risking tools  

The hydrogen sector in particular is focused on clean fertilisers and green steel, which, if supported by the right measures, can set Europe on a path of reindustrialisation that will retain jobs, attract investment, and keep us competitive. 

By strengthening both public and private demand, the EU can support industrial decarbonisation, safeguard competitiveness, and advance towards climate neutrality.  

Laurent Donceel, Director for Transport, Industrial Policy and Sustainability, commented: “Bold proposals are needed to help our net zero industries adapt to structural changes. Creating demand, giving investment certainty, and avoiding critical dependencies will contribute to making Europe a technological and economic powerhouse. The Clean Industrial Deal can only be considered a success if the upcoming Industrial Accelerator Act delivers on these objectives.”

Read the full letter below: