European Parliament Adopts Net Zero Industrial Act to Boost Domestic Manufacturing of Net-Zero Technologies

The European Parliament (EP) has officially adopted the Net Zero Industrial Act (NZIA) in an effort to promote the production and deployment of domestically-made net-zero technologies, such as hydrogen equipment. The bill aims to boost manufacturing capability and deployment targets for EU-produced net-zero equipment, including electrolyzers, fuel cells, and other H2 kit.

The NZIA is seen as a step towards making the European market suitable for achieving net-zero goals. Christian Ehler, the Member of the European Parliament leading the bill, stated that the vote is positive news for European industry and sets the tone for future economic, climate, and energy ambitions. The bill includes provisions for streamlining permitting and offering regulatory perks to net-zero equipment manufacturers, with a goal of 40% of total electrolyzer deployment being “Made In Europe”.

The creation of “Net-Zero Acceleration Valleys” is also outlined in the text of the NZIA adopted by the EP. These valleys will support projects seeking to build new manufacturing facilities that produce net-zero technologies. Additionally, the bill sets a target for Europe to capture 15% of the global market for net-zero technologies. This will help counter increasing dominance of Chinese manufacturers in