Hydrogen aviation needs incentives to become cost competitive

If hydrogen stands a chance to become the dominant fuel for aviation in Europe, national and/or EU policies are needed to incentivize production. Hydrogen can become price-competitive and even cheaper if taxes and carbon pricing on conventional fuels are introduced. This is one of the conclusions in a report that was commissioned by the European lobby group Transport & Environment and the European Climate Foundation. Hydrogen aviation needs incentives to become cost competitive.

The report, which was completed in April by Steer, the Technical University of Hamburg, and cost consultants Doig + Smith, has analyzed the costs of developing, deploying, and operating hydrogen aircraft and supporting hydrogen infrastructure.