As Europe aims to cut fuel imports, green hydrogen must underpin its strategic autonomy, argues Mara Bălașa in an op-ed published by Energy Policy Group. She points out that by 2050, hydrogen is slated to supply up to 80 percent of final energy consumption in long-distance transport sectors such as shipping and aviation, and to produce nearly half of the iron used in steelmaking, thereby underpinning key industrial chains.

The author emphasizes that hydrogen could strengthen the European Union’s energy security in two distinct ways. First, it would directly diminish fossil-fuel imports, thus bolstering supply resilience. Second, it would support strategically vital industries — steel for defence applications and ammonia for fertiliser production — by giving them access to a stable, low-carbon energy vector and easing the transition away from costly carbon allowances under the Emissions Trading System.

Acknowledging the urgent need to decarbonize heavy industries and long-haul transport — major sources of greenhouse-gas emissions — Bălașa warns that procrastination could translate into heightened national-security risks as climate-driven natural disasters become more frequent. She maintains that swift hydrogen deployment is not merely an environmental imperative but also a safeguard against future extreme‐weather threats.

In her view, the current green-hydrogen price premium comes primarily from electricity costs, as electrolysis is energy-intensive and it only qualifies as green when powered by clean energy. Bălașa notes that regions like Scandinavia, with abundant hydropower, and the Iberian Peninsula, thanks to high renewable output and favorable market design, already enjoy lower electricity prices — advantages that other Member States must strive to replicate.

To bridge affordability gaps, she calls for targeted measures to drive down electrolysis costs: investments in research and development to create more efficient, durable electrolysers; accelerated rollout of renewable-energy infrastructure; grid modernization; and expanded energy-storage capacity. According to Mara Bălașa, such initiatives would collectively lower electricity prices and unlock the wider uptake of green hydrogen. Bălașa also urges the UE member states to exceed the minimum requirements of RED III when transposing it into national law. She suggests that setting more ambitious targets for renewable fuels of non-biological origin in transport would send powerful demand signals, giving investors and end‐users greater confidence in long-term hydrogen markets.

Finally, the writer insists that hydrogen should be woven into defence spending as a national-security investment. With EU nations increasing defence budgets, she said, now is the moment to view hydrogen infrastructure and supply chains as pillars of strategic autonomy — ensuring that Europe remains self-sufficient, secure, and resilient in the face of geopolitical and climate challenges.

This is a summary of the EPG publication “Hydrogen: A Story of Strategic Autonomy”, by Mara Bălașa, published on August 4, 2025.